Royal Gold offers various sizes of gold, silver, platinum, and palladium in bullion coins and bars from both government and private mints.

Government-minted coins tend to be the first choice of gold buyers as they are recognizable worldwide. Royal Gold sells industry-standard American Eagles, Canadian Maple Leafs, Australian Kangaroos, Austrian Philharmonics, and the South African Krugerrands. Although coins are typically more liquid, there is normally a higher premium because they are being produced by a government instead of a private mint. Bars, by contrast, offer lower premiums and come in higher denominations, including 10 ounces, 1 kilo (32.15 ounces), and up. Our bars are minted by the world-renowned Perth Mint in Western Australia.

As gold continues to increase in price, some buyers are also seeking smaller denominations than the 1 ounce bullion coin. These products are known as fractional gold coins. We carry Gold American Eagle and Canadian Maple Leaf coins in 1/2, 1/4, and 1/10 ounce weights. Their appearances are identical to their larger coin siblings, except for the relatively smaller size.

There is a more variety in the silver market. We sell government-minted American Eagles, Canadian Maple Leafs, and Austrian Philharmonics, but also carry privately minted rounds (the government reserves the word “coins” for its own products), as well as 10 ounce, 100 ounce, and 1000 ounce bars. In silver, there is less of a price difference between government and privately minted products. Private rounds and bars carry a lower premium and are popular for bartering.

For the truly cost-conscious, we also offer bags of junk silver. These are previously circulated US dimes, quarters, and half-dollars minted before 1964 – back when each of these US coins contained 90% real silver. The real junk is what’s in your change purse now, but “junk silver” got its name because it’s less-fine alloy of silver than coins minted for storage. You actually get more silver overall for your dollar, but there is less in each particular coin.

Lastly, we sell platinum and palladium 1 ounce American Eagle and Canadian Maple Leaf coins, as well as 1 ounce and 10 ounce bars. These are less common precious metals, but have their own attractive attributes.

The most important decision is not which product you choose but whether you want to preserve your capital from a collapsing US dollar. Any of these metals will help you do so. To find out which is the best choice for you, call one of our Precious Metals Specialists at 1-888-GOLD-160 to start the conversation.

Does a 22-Karat Gold Coin Still Contain an Ounce of Gold?

Yes.

We sell a variety of one ounce gold coins that vary in purity from 22-karats to 24-karats. These coins all share one common attribute: they contain one troy ounce of gold. We also sell 1/4 and 1/2-ounce gold coins, and the same holds true for the fractional coins. If you purchase a 1/4-ounce fractional gold coin, the coin will contain a 1/4 ounce of gold.

Gold purity tends to be measured by karats – abbreviated “kt” – with 24-karat gold designated as 0.999 fine or above. Pure gold fineness would be 1.000; however, the softness of gold would make such coins impractical to use, so 0.999 fine and above is considered pure gold. These coins contain only the most minuscule amount of another metal – or ‘alloy’ – needed to make them tradable. With a 22-karat coin or a 18-karat piece of jewelry, more alloy is mixed into the product to create strength and/or manipulate the color.

The American Gold Eagle and South African Krugerrand bullion coins, for instance, are made up of .9167 fine gold, thus making them 22-karat. But they still contain one troy ounce of gold – which is why they weigh 1.0909 troy ounces overall. The added alloy creates a more durable coin, and is considered desirable for bartering or home storage.

But since gold coins aren’t typically used for daily transactions (at least not today) and are most likely to be stored securely in protective packaging, gold coins with higher purity are also great for investment. The most well-known pure gold bullion coin is the Canadian Gold Maple Leaf, created by the Royal Canadian Mint. The Maple Leaf, American Gold Buffalo, Austrian Philharmonic, and Australian Kangaroo are all .9999 fine.

Many customers expect that a coin with a higher gold purity would be more expensive than a 22-karat coin. This is not always the case, and certainty not with the Canadian Gold Maple Leaf. This is our most popular product, with lower premiums than the American Gold Eagle. If you are looking for more gold for your dollar, and you plan to protect the coin from scratches and nicks, the Maple Leaf is the best bang for the buck.

What are the Pros and Cons of 24k vs. 22k Gold Coins?

We recommend that serious investors purchase only the most common gold bullion coins in the world, which are made of either 22-karat or 24-karat gold. All of these products contain the same amount of gold, but there are some notable differences.

24k gold is 99.99% pure, and the coins made from it weigh precisely 1 troy ounce.

22k gold is approximately 91.67% pure, with the remainder composed of other precious or semi-precious metals. These coins weigh about 1.1 troy ounces, ensuring the presence of a full troy ounce of gold in every coin.

Should I Buy Fractional (Less Than 1 Ounce) Gold Coins?

In today’s tough economy, many investors simply cannot afford to purchase as much gold as they would like. Some turn to silver products instead, which offer very attractive upside potential and should be part of every savings plan. However, gold has historically been less volatile, so it cannot be replaced as the “safe haven” asset in a portfolio.

For those wishing to keep their savings in less than ~$1700 increments, the solution is fractional gold coins. Fractional coins are any coins with a weight below 1 ounce. Common denominations are 1/2 oz, 1/4 oz, and 1/10 oz. At today’s spot prices, those coins would be worth approximately $900, $450, and $200, respectively. With more accessible price points, these coins are popular because they are easier to liquidate and barter.

If all else were equal, we would recommend getting the smallest-sized gold possible because it gives you the most flexibility. However, minting costs tend to be ‘fixed’ regardless of the size of the coin. The mint still has to create the dies, source the metal, pay for marketing, manage distributors, etc. So smaller coins carry a higher markup as a percentage of overall cost. It’s similar to how Costco can sell you 36 rolls of paper towels for $20, but the grocery store sells 4 for $10.

We believe gold’s continuing ascent will render the difference in premiums marginal in time. While 1 oz coins still provide the most bang for the buck, fractional coins might be preferable for those who are willing to pay more now to make it easier to trade or sell later.

What Is A Gold ETF?

ETF is short for “exchange traded fund.” These are financial products sold on the stock market designed to track the performance of a specific asset. An ETF can track anything from a basket of stocks, to a commodity, to real estate. Gold ETFs are set up to roughly track the spot price of gold.

The price of ETF shares change throughout the trading day as the they are bought and sold on the market.

Gold ETFs are backed by physical gold held by the issuer. Since they are bought and sold on the stock market, ETFs allow investors to play gold without having to buy full ounces of metal at spot price. Since their purchase is just a number in a computer, they can trade their investment into another stock or cash pretty much whenever they want, even multiple times on the same day. Many speculative investors appreciate this liquidity.

The most popular gold ETF is the SPDR Gold Shares Exchange Traded Fund, trading under the ticker symbol GLD. Founded in 2004, the fund is set up to track the market price of gold bullion – less the fees and expenses associated with the fund. By purchasing shares of GLD, investors can gain quick exposure to the day-to-day price movement of gold bullion.

It’s important to realize that when you buy shares of an ETF, that’s exactly what you own. It does not give you any kind of claim to physical gold.

Can a Gold ETF Replace Physical Gold In My Portfolio?

Exchanged Traded Funds, or ETFs, have become popular in recent years because they make investing in precious metals as easy as buying regular stocks. With an ETF, there is no physical product to store, so investors don’t need to worry about securing a home safe or storage facility. This can translate to a lower cost of ownership for ETFs.

However, for those seeking to protect their wealth and savings from the unraveling dollar, investing in gold through ETFs can have some major disadvantages.

For starters, ETFs compromise your financial privacy. An ETF, like any stock, must be traded through a registered broker-dealer, whose license and “Know Your Customer” policies are regulated by the government. If you’ve ever started even a basic account to trade stocks, you’re already familiar with the huge amount of personal information an authorized broker requires, such as social security number, yearly income, and employment information.

Also, with an ETF, anytime you buy or sell shares, the transaction is automatically reported to the government.

By contrast, purchasing physical gold can be a highly private transaction. When ordering from Royal Gold, the only information we need to know are your name and shipping address. We are not required to report purchases to any government regulatory agency unless there is suspicious activity, like paying with large amounts of cash. For that reason, we do not accept cash payments.

Once you receive the gold, what you do with it is up to you. You are required to report any sales of precious metals to the IRS for capital gains purposes; however, under current law, Royal Gold is not required to report purchases or buybacks for a wide variety of gold and silver products. Call and ask a Royal Gold Specialist for complete details at 1-888-GOLD-160 (465-3160).

Being able to put a physical coin in your pocket is one of the best reasons to invest in gold in the first place. If there is a shock to the financial system like 2008 or worse, you will have in your possession one of the most time-honored means of saving and trading wealth. Gold coins can be used to easily barter in an emergency, because gold is recognized as real money all over the world.

Many gold purchasers take great pleasure in knowing the have the ultimate form of money in their personal, physical possession. It cannot go bankrupt; it cannot default; it cannot be devalued; and there are no questions about inspecting or taking delivery of your investment.

ETFs certainly have their place in the market as instruments for short-term speculation, or for those who value convenience. But when you need a stable, secure, and private asset, nothing beats physical gold.

Why Doesn’t Royal Gold Sell the Silver Valcambi Combibar?

Last spring, we began selling the Gold CombiBar made by the Valcambi Suisse mint. It was an immediate success. Our customers are clearly interested in owning fractional gold products that make barter easier. If you haven’t yet heard of the CombiBar, you can watch Peter Schiff’s video demonstration of this innovative new gold “chocolate bar.”

Fractional gold coins typically carry very high premiums over spot. With the CombiBar, Valcambi Suisse has managed to create a product that delivers the same barterable gold at an amazingly low markup.

As interest has grown, more customers have inquired about a silver CombiBar. While such a product does exist, the silver market is very different than gold. There are ways to buy fractional silver at low premiums, whereas Valcambi is selling their silver CombiBar at a premium of 40-50% more than its silver value per ounce, which is far more than we recommend investors spend on physical precious metals.

Our core philosophy is that investors should obtain liquid precious metals at prices as close to spot as possible. The markup on the silver CombiBar is simply too high for us to recommend it to our customers.

Instead, Royal Gold has developed the innovative (and exclusive) Silver Barter Bag. These are bags of privately minted 1/2 ounce silver rounds which we sell for as little as 99 cents over the spot price of silver. The fractional silver rounds in our Barter Bags are .999 pure silver and highly barterable. At current prices, a single 1/2 ounce round is worth enough to buy lunch for you and a friend.

How Do Valcambi Combibars Work?

Over the past several months, we have received a lot of interest in fractional (less than 1-ounce) gold products. Investors want a safe haven for their money, but also a convenient way to barter or spend their gold in case of an emergency. Fractional gold coins make this easier, but generally come at a much higher premium.

Since then, Royal Gold has formed a relationship with Swiss mint Valcambi to deliver our customers the most innovative bullion product to hit the market in decades: the CombiBar. Combibars deliver barterable fractional gold at a competitive price.

A 50-gram gold CombiBar looks like a golden chocolate bar, and just like a chocolate bar, individual 1-gram pieces can be snapped off with no loss of material. This is an excellent barter product, but also a great way to educate friends and relatives about real money by gifting small amounts of gold. At today’s prices, a single 1-gram gold bar is worth about $50, or the cost of an average tank of gas. And while you can bet that gas will cost more and more in dollar-terms, we believe the price in gold will stay the same or even go down over time.

The gold CombiBar is about the size of a credit card, and comes in a protective plastic case with an official assay card and certificate of authenticity, guaranteeing the weight and 0.9999 fine quality of the gold. Euro Pacific Precious Metals is proud to offer this innovative product at among the lowest premiums in America.

How Do I Calculate the Value of Junk Silver Coins?

You may have heard of the increasing scarcity of “junk” silver, which generally refers to pre-1965 US dimes, quarters, and half-dollars that contain 90% silver. The scarcity indicates people are stockpiling, and so it might not be long before you get the opportunity to actually transact some barter business with junk silver. Some clients have asked us to walk them through the process of calculating the actual value these old coins.

Let’s start by using the round number of $20 for the silver spot price. The spot price reflects troy ounces, which measure about 31.1 grams. A Mercury dime contains 90% silver and weighs 2.5 grams.

2.5 grams Ã· 31.1 grams = 0.08
The dime is about 8% of a troy ounce.

0.08 x $20 = $1.60
If the dime were 100% silver, it would be worth about $1.60.

0.9 x $1.60 = $1.44
At 90% silver, the Mercury dime is worth about $1.44 when the silver spot price is $20.

You can do these same calculations for the silver quarter when you know that it weighs 6.25 grams, about 20% of a troy ounce:

0.20 x $20 = $4.00
0.9 x $4.00 = $3.60
At a silver spot price of $20, a pre-1965 silver quarter is worth about $3.60.

Keep in mind that the other 10% of these coins is composed of copper, which is also an expensive metal, if relatively cheap compared to silver. If you’re doing a bigger transaction with junk silver, you might want to add the value of the copper to your calculations.

Of course, for most people, doing these sorts of calculations on the fly is cumbersome and they’d prefer to use a calculator. If you’re dealing with someone unfamiliar with the use of silver, then the transaction can become even more tedious as you walk him or her through the process.

A much more straightforward alternative to junk silver is fractional silver rounds. These are privately minted rounds that come in weights such as 1/2, 1/4, or 1/10 of a troy ounce. They are made of .9999 pure silver and clearly labeled.

Because of this, their value is far easier to calculate. For example, with the 1/2 troy ounce rounds found in our new Silver Barter Bags, you only need to know the spot price of silver and divide it by 2 to figure out the value of a single round. Easy!

Take a moment to view Peter Schiff’s live video demonstration of the Silver Barter Bags: