Gold coin advice - Single 1oz, Sovereigns, or multiple fractions…? 🤔

[Scootermuppet]

Hi all,

Hoping to be in a position to add some more lovely yellow stuff to the stack in the coming weeks, thanks to a lucrative Freelance job for a company I used to be an employee at! 😁 Most satisfying…

Potentially could be enough for a 1oz coin once expenses have been considered. Much excitement ensues at that thought 😁

My thoughts have turned to how best to look after the spare cash it will generate… hence the question 🤔 Mindful of re-sale potential when the time comes too,  >10 years potentially? Barring emergencies, that is.

Obvious possibilities include:

• A 1oz Bullion coin
• A Proof Sovereign or two and maybe a Proof half sov if enough in the kitty
• A graded Proof Sovereign / half sov [1989, 2002, 2005, 2012?] - (getting out of my comfort zone now,…)
• Purely bullion - Sovereigns, half sovs, 1/4 gold coins etc

Be interested to hear your thoughts?

Cheers,
Bob

Edited June 19, 2022 by Scootermuppet
Grammar errors… 🙄

[Bigmarc]

I had a couple of drinks with some other more experienced members the other week and I picked up on the fact if they see a 2022 sovereign they will scoop it up, am assuming it's because of the different design. A bullion sovereign has always been a bullion sovereign to me but apparently on this occasion it's not. Might be worth thinking about. 

[Scootermuppet]

2 minutes ago, Bigmarc said:

I had a couple of drinks with some other more experienced members the other week and I picked up on the fact if they see a 2022 sovereign they will scoop it up, am assuming it's because of the different design. A bullion sovereign has always been a bullion sovereign to me but apparently on this occasion it's not. Might be worth thinking about. 

Interesting thought Marc, thank you - Full disclosure, I do have a 2012 Full Sovereign & a 2002 Half Sovereign (both bullion) and would like to complete those with the half & full versions too - and maybe add the 2005 Full & Half, to cover the single year designs available in bullion. Would make sense to have the 2022 versions in addition to the ones mentioned 🤔

[Bigmarc]

24 minutes ago, Scootermuppet said:

Interesting thought Marc, thank you - Full disclosure, I do have a 2012 Full Sovereign & a 2002 Half Sovereign (both bullion) and would like to complete those with the half & full versions too - and maybe add the 2005 Full & Half, to cover the single year designs available in bullion. Would make sense to have the 2022 versions in addition to the ones mentioned 🤔

I am more of a collector of metal rather than the coin but it did make me think a little. Not sure I want to go down the rabbit hole of sets and coin designs but I must admit I do get more excited the older the coin is. 

[Scootermuppet]

I would like some older sovereigns - the Victoria shield backs look lovely - but I actually am drawn to the Gillicks oddly enough 🤔

Might be because that’s the obverse design I remember seeing most in my younger years, and the run includes my Birth date! ☺️

[James32]

Best buy for now may not be the best buy for you in the future. 

1oz gold coin can be got at spot ( krug on for forum currently) but if a rainy day comes,the whole coin must go and on here at least you will only ever realise close to spot if wanting a quick sale.

4 x 1/4s or bullion sovs , fair bit of extra  premium combined, but most of this will be recouped at sell time, plus can sell as and when you need.

Graded sovs? Beautiful but costly and to be quite honest at today's buy price, yes they too will go up but the cat has already got a substantial portion of the cream.

If I could only choose one option from above it would be the 4x 1/4s or bullion sovs ( namely the 2022s) simply for liquidity reasons in the future. 

[Petra]

I started by buying 1/10 th and half sovereigns. Always promised to wait and buy a full sovereign! Finally I started buying the odd full sovereign. Dates vary but again, I do like Gillicks, I think that all look amazing, proof or bullion. If I could I would buy  one 1oz gold Britannia I would as I think that larger coins look amazing. I have a 5oz silver Britannia and the pattern stands out compared to the 1oz.  But at the end of the day, sovereigns take some beating.

[Scootermuppet]

9 minutes ago, James32 said:

Best buy for now may not be the best buy for you in the future. 

<snip>

If I could only choose one option from above it would be the 4x 1/4s or bullion sovs ( namely the 2022s) simply for liquidity reasons in the future. 

Thanks for that James, makes sense to me too 👍 had come to a similar conclusion myself, but always open to good suggestions.

[Scootermuppet]

8 minutes ago, Petra said:

<snip> …  But at the end of the day, sovereigns take some beating.

Thanks for the comments Petra, have to agree, Sovs do seem the best all-round way to go - both from a buying and selling perspective 👍

…. Would still love a 1oz though! - who wouldn’t? 🤭😁

[Bigmarc]

1 minute ago, Scootermuppet said:

Would still love a 1oz though! - who wouldn’t?

Would you go for the krug or a Brit? 

[Scootermuppet]

1 minute ago, Bigmarc said:

Would you go for the krug or a Brit? 

Oooh, that’s a hard one!  Always associated a Krugerrand with the ‘ulimate’ gold coin - but that was before I knew of Britannias …. 🤔

May have to toss a coin… anyone got one I can use. 😂

[Gordy]

51 minutes ago, Scootermuppet said:

I would like some older sovereigns - the Victoria shield backs look lovely - but I actually am drawn to the Gillicks oddly enough 🤔

Might be because that’s the obverse design I remember seeing most in my younger years, and the run includes my Birth date! ☺️

Gillicks are my fav.....

[dicker]

Personally, I would be going for whatever has the lowest over spot.

If you can get Sovs it makes good sense.  They are easy to liquidate on the forum and elsewhere.  

1oz seems a little harder to liquidate.  

As an example - look at @CatStudent’s recent sale.  Well priced and a large number went incredibly quickly.  

2 minutes ago, Gordy said:

Gillicks are my fav.....

Always a winner and personally my favourite design since Victoria Sov ceased to be minted.   

[GoldDiggerDave]

Hi @Scootermuppet if it’s for purely investment then secondary market 1oz gold with the lowest premium……..BUT also collect a bit of something you like, nothing wrong with a 50/50 stack, 50 % bullion and 50 proof and other coins you like.  The special year proof sovereigns have all appreciated well over the years, other proof coins you buy may not do as well.

 

[Xander]

Splash out and buy the 50 Gold Pesos. Awsome coin. You won't regret it.

[flyingveepixie]

I'd go for 2022 sovs meself.  I can't get a hold of these things for love or money and every time one comes up for sale on here it gets snapped up quick as a flash..

[TheShinyStuff]

1 minute ago, flyingveepixie said:

I'd go for 2022 sovs meself.  I can't get a hold of these things for love or money and every time one comes up for sale on here it gets snapped up quick as a flash..

They're in stock at most, if not every, main dealer.

[Scootermuppet]

44 minutes ago, flyingveepixie said:

I'd go for 2022 sovs meself.  I can't get a hold of these things for love or money and every time one comes up for sale on here it gets snapped up quick as a flash..

I’ve noticed that too… and given the occasion they mark, probably going to be popular in the future once they aren’t minted anymore… 🤔

41 minutes ago, TheShinyStuff said:

They're in stock at most, if not every, main dealer.

Believe the Royal Mint still have them for now too… do they go a little cheaper on the forum, I wonder? 🤔

[Scootermuppet]

11 hours ago, Xander said:

Splash out and buy the 50 Gold Pesos. Awsome coin. You won't regret it.

Call me odd, but I’m not a huge fan of them… 🤷🏻‍♂️ each to their own I guess.

But from a liquidity point of view further down the road, I’d imagine it would be say to sell being such a popular coin? 🤔

[Alex944]

I personally stick with smaller fractions (sovs, 1/4 and an occassional 1/2) mainly for liquidity / ease of use. In my experience its been easier to liquidate as opposed to 1oz, but it of course depend on yor strategy. I’ve been on the end of selling both quantities and selling sovs on second hand is a lot easier than 1oz coins (I take it that price and trust play a role in this). Of course 1oz can be sold at any dealer but the prices may be lower than expected. 
 

i’d also argue that smaller fractions are more obtainable based on price and are therefore appealing to a wider audience. I guess it also depends on your environment. 
 

eitherway, buying gold is still worth it regardless of the fraction depending on how long you’ll hold. If the idea is 10++ years, i think you cant go wrong with any faction between 1/10 and 1oz.  In my opinion of course

[Petra]

25 minutes ago, Scootermuppet said:

I’ve noticed that too… and given the occasion they mark, probably going to be popular in the future once they aren’t minted anymore… 🤔

Believe the Royal Mint still have them for now too… do they go a little cheaper on the forum, I wonder? 🤔

Considering how cheap some of the dealers are, I’d love to know where any cheaper ones on the forum are coming from😳

[Scootermuppet]

19 minutes ago, Petra said:

Considering how cheap some of the dealers are, I’d love to know where any cheaper ones on the forum are coming from😳

Out of reactions 😕 but yes, agreed, would be interesting to know 🤔

[Scootermuppet]

20 minutes ago, Alex944 said:

I personally stick with smaller fractions (sovs, 1/4 and an occassional 1/2) mainly for liquidity / ease of use. In my experience its been easier to liquidate as opposed to 1oz, but it of course depend on yor strategy. I’ve been on the end of selling both quantities and selling sovs on second hand is a lot easier than 1oz coins (I take it that price and trust play a role in this). Of course 1oz can be sold at any dealer but the prices may be lower than expected. 
 

i’d also argue that smaller fractions are more obtainable based on price and are therefore appealing to a wider audience. I guess it also depends on your environment. 
 

eitherway, buying gold is still worth it regardless of the fraction depending on how long you’ll hold. If the idea is 10++ years, i think you cant go wrong with any faction between 1/10 and 1oz.  In my opinion of course

Thanks Alex! (out of reactions on the forum for today! - must be 24hours - or working on US time? as only left a couple this morning…🤔)

Coming to the conclusion that for liquidity it’s sovereigns, closely followed by fractional gold and 1oz bringing up the rear. But yes, if I’m holding for a longer time, shouldn’t make that much difference.

Will have to decide if I can afford to lock away the cost of a 1oz coin and accept that I might get a little less back if needed in an emergency.

Ideally, I’d have enough to get a 1oz coin and a selection of fractions - but that may be being a tad optimistic 😏

[Alex944]

13 minutes ago, Scootermuppet said:

I’d have enough to get a 1oz coin and a selection of fractions

Though I argue the case that fractions are ''better'' than a full 1oz, having a 1oz coin is a feat of it's own. If you can afford it and are happy to do so, having at least one of them would be great (really, it's just a different feeling holding a 1oz vs 4x 1/4oz in your hand). 

[flyingveepixie]

1 hour ago, TheShinyStuff said:

They're in stock at most, if not every, main dealer.

Yep, but I'd rather not pay dealer premiums if I didn't have to..