• We invite you to join UKWorkshop.
    Members can turn off viewing Ads!

Any one buying gold coins?

UKworkshop.co.uk

Help Support UKworkshop.co.uk:

Trevanion

Greatest Of All Time
Joined
29 Jul 2018
Messages
3,764
Reaction score
561
Location
Pembrokeshire
It’s a little pointless now in my opinion since the price has gone up so much. Also if sterling crashes so will gold prices, it’s not a 100% safety net.
 

Garno

Grumpy Old Git
Joined
21 Oct 2017
Messages
1,475
Reaction score
524
Location
Dronfield
History shows that when there is a property crisis and the returns are small gold tends to rise in value, however when times are good for properties it usually mean lean times for gold buyers.
 

Cordy

Established Member
Joined
1 Dec 2014
Messages
1,102
Reaction score
262
Location
Wigan
In the past I have held gold coins, Sovereigns; really small in size btw :)
Found it boring and risky and sold them with no ££££ gain

Now heavy into Premium Bonds which give me a steady trickle, not won any large amounts but quite happy -- four prizes this month total of £100

No premium or charge to buy or sell
Easy to buy and check results on line

No advice intended
 

D_W

Established Member
Joined
24 Aug 2015
Messages
7,679
Reaction score
1,179
Location
PA, US
Garno":22l8fxfi said:
History shows that when there is a property crisis and the returns are small gold tends to rise in value, however when times are good for properties it usually mean lean times for gold buyers.
Here in the states, gold just got confiscated when it really became useful. i don't think it lends itself to transacting well, either. Currency is no longer on a gold standard, and in my opinion, if there's going to be a valuation issue, since it's dependent on debt and future economic output, you'll see it coming for a long time.

As a matter of investment, it's terrible. It appreciates with inflation only, at best, and it's volatile. It's not tied to economic value, so when the economy grows, it doesn't grow with it.
 

Trainee neophyte

[Known Putin apologist ]
Joined
12 Apr 2019
Messages
2,771
Reaction score
632
Location
Greece
Two years ago would have been better. Now is still good. If you want to remove wealth from the prying eyes of the government then definitely. If you want a hedge against inflation then yes.

Money in the bank doesn't belong to you, it belongs to the bank. Cash or gold are acceptable alternatives, as neither pay interest, just like the bank account. If you are planning on making gifts, or an inheritance (much, much later, obviously), then gold bypasses all the taxes (yes, tax evasion, which is probably illegal, unlike tax avoidance, but how would they know?).

The downside with buying gold is how do you know it is real? You can get guaranteed ingots, sealed in blister packs, but you aren't allowed to take them out to check them(!) without voiding the guarantee. You can buy direct from the Treasury, which ought to be reasonably safe, you would think,except they then know you have them. If gold ownership should be outlawed (as it was in USA for many, many years), you will be required to turn them over to the government.

It all comes down to your view of the future: if you think there will be low inflation, high economic growth, stability and comfortable prosperity for all, owning gold will be a poor investment. If you think there will be instability, high taxes, high inflation, and /or bank failures with bail-ins for depositors, buy gold hand over fist. If you are afraid of being seen as a tin-foil-hat wearing weirdo, buy second-hand jewellery, and impress your significant other (in this modern age, it doesn't do to presume and say "wife").

Oh, and there are lots of people on the internet who sell gold, and they all say, all the time, that the price of gold will rocket any day now. It won't, unless the economic system fails. This could happen, if the overlords print too much money, too fast. They have a history of always doing that at the end, so it doesn't hurt to have a bit of security tucked away. Allegedly 10% is a good amount for those with a wide portfolio.
 

Trainee neophyte

[Known Putin apologist ]
Joined
12 Apr 2019
Messages
2,771
Reaction score
632
Location
Greece
Jonathan S":11b6jymp said:
No gold......Bitcoin and gold backed crytpos.

Sent from my SM-J530F using Tapatalk
Cryptocurrency is far too volatile for my taste - I don't do loss very well, and cryptos are all over the place, all the time. They are also worryingly easy to steal, lose, or just evaporate. A bit like a bank account, these days.

A gold-backed cryptocurrency negates the entire point of owning gold - if it's not in your hand, you don't own it. You are relying on some bunch of allegedly upright people to run a system that is honest, fair and not a scam. A bank, in other words.

If you don't mind the third party risk, you can day trade gold online. Someone like billionvault.com, for example. But you are relying on them to be honest.
 

Rorschach

Guest
Joined
6 Jan 2016
Messages
7,021
Reaction score
1,108
Location
Devon
Cordy":npbyguw9 said:
In the past I have held gold coins, Sovereigns; really small in size btw :)
Found it boring and risky and sold them with no ££££ gain

Now heavy into Premium Bonds which give me a steady trickle, not won any large amounts but quite happy -- four prizes this month total of £100

No premium or charge to buy or sell
Easy to buy and check results on line

No advice intended
Premium bonds are ok but statistically you will not make more than base rate interest. That being said, a nice win every now and again bumps your numbers up for a while and there is always a chance of winning big.
We had a bigish win in that family that was several times more than the initial investment so that was good.
Myself so far I make a steady return of 1.5 to 1.7% per year, more than a basic savings account so I can't complain too much.
 

Simon_M

Established Member
Joined
14 Mar 2019
Messages
212
Reaction score
1
Location
Awbridge, Hampshire

marcros

Established Member
Joined
11 Feb 2011
Messages
11,302
Reaction score
731
Location
Leeds
Depending on how much you plan to buy etc, I found a smallish investment in coins (for the gold value) to not really be worth it.

Buying online, as cheaply as possible, there were a few coins available for about 4% above the scrap bullion value. When it came to selling, it was spot price less a couple of percent so the price needed to move a chunk before seeing any profit at all.

I looked a few months back, the % may be a bit out but the conclusion was about the same.
 

Trainee neophyte

[Known Putin apologist ]
Joined
12 Apr 2019
Messages
2,771
Reaction score
632
Location
Greece
Trevanion":3qefi27y said:
It’s a little pointless now in my opinion since the price has gone up so much. Also if sterling crashes so will gold prices, it’s not a 100% safety net.
If sterling falls, gold will rise commensurately. (Sorry to be contrary.) Gold is priced in dollars, so you could just buy dollars instead, but if the dollar falls, gold rises. All about views on future values, inflation, etc.

We might be about to have a change of monetary system, so local currencies could collapse. Gold might be a hedge against that - all the central banks have suddenly started buying gold again....don't know what that means. Also tier 1 assets that banks are allowed to hold have just been changed to include gold. China and Russia are buying hand over fist, and have been for several years.

The thing with gold is that no matter what its current value, you still have the same number of coins. Stocks, shares, currency can all evaporate to nothing, your gold is still there - it might just be that no one else will want to buy it. It is an investment for the paranoid, the weird, and drug dealers and money launderers.
 

heimlaga

Established Member
Joined
27 Sep 2009
Messages
1,314
Reaction score
77
Location
western coast of Finland
I rekon the finance maket has destabilized the monetary system worldwide by creating money out of thin air and by inflating the value of pretty much all they trade.
One day the bubble is going to burst. I only hope the air will come hissing out slowly providing us all time to adopt instead of a sudden burst sending the whole world economy down the crapper.
My investment money is tied up in a piece of woodland. We are heating my parent's house and building stuff with the interrest paid out on that investment.

By the way I did read somewhere about an anonumous lass who had pierced the partition wall of her nose and stretched the hole to accomodate a rather thick 24 carat gold ring. That way she rekoned her last financial resort was always kept right under her nose...... and to potential robbers she would look just like yet another uneployed penniless youth not worth robbing.
 

mbartlett99

Established Member
Joined
10 Aug 2010
Messages
880
Reaction score
1
Location
Hitchin, Hertfordshire
Buying physical gold is fairly easy and in such a case you would be well advised to keep it in the suppliers vault. If you take possession and then wish to sell it would need to be assayed to prove its purity.

Much simpler to buy into gold backed ETFs - watch a video on trustnet or citywire for more info.

Wheher its a good idea at all, well good luck with that goldbugs tend to be rather passionate about it all.
 

Droogs

Is that chisel shar ... Ow
Joined
14 Mar 2013
Messages
4,591
Reaction score
1,506
Location
Edinburgh
I'm sure if I ever bought any precious metal for keeping and not using as inlay in my woodwork, that I would want it to be physically in my possesion, the reason being I remember seeing a documentary which showed the amount of gold traded worldwide each day actually weighed more than the known amount of gold mined throughout history. Also When you buy they do their damnedest to get you to let them keep it for you.
 

Phil Pascoe

Established Member
UKW Supporter
Joined
29 Jan 2012
Messages
21,525
Reaction score
1,770
Location
Shaft City, Mid Cornish Desert
One problem with cryptocurrencies is that they have no value whatsoever as collateral, so if you needed the cash you'd have to sell at the going rate - my wife works for Handelsbanken, and they wouldn't touch them with a bargepole.
 

Trainee neophyte

[Known Putin apologist ]
Joined
12 Apr 2019
Messages
2,771
Reaction score
632
Location
Greece
mbartlett99":11zrtw4a said:
Buying physical gold is fairly easy and in such a case you would be well advised to keep it in the suppliers vault. If you take possession and then wish to sell it would need to be assayed to prove its purity.

Much simpler to buy into gold backed ETFs - watch a video on trustnet or citywire for more info.

Wheher its a good idea at all, well good luck with that goldbugs tend to be rather passionate about it all.
I wouldn't touch a gold ETF with someone else's bargepole. ETFs commingle their holdings,so it's not your gold. If you are buying gold it is because you don't want counterparty risk. Holding your own allocated gold in a vault is the same, but much less risky. Holding it in a tin can buried in the back garden would be even better. The paranoid US gold hoarder community have a thing for boating accidents - keep your gold at the bottom of a lake, and deny all knowledge. The USA does have a habit of outlawing ownership, which may have something to do with it.
 

lurker

Le dullard de la commune
Joined
2 Mar 2007
Messages
5,571
Reaction score
179
Location
Leicestershire
My nephew owns a small gold trading company based in Nottingham.
He is a clever lad and now moderately wealthy.
Even though I could buy gold from him without paying commission he advises me not to bother.
He says I should have got on the band waggon 10 years ago, problem is I had no spare funds back then :roll: :D
 
Top