gold coins has a pretty high markup

[pico]

Watch the video. The vice president of Gold Line tried to justify 400 USD markup on a 600 USD gold coin as "brokerage fee" and people should not buy the gold coins for speculation.

http://abcnews.go.com/Business/gold-coin-dealers-decry-tax-law/story?id=11211611

 

[Swarmy]

That's because it's a coin. it's a collectible. Any type of collectible will have that kind of markup. If you want to buy gold, buy it from the mint and buy bullion. you will buy it for spot price per ounce instead of having the markup of a collectible coin. When you sell, you can sell it for spot price -10% usually, sometimes 15%-20% depending on how shady the guy your selling it to is. If you have a coin you will get about 50% of the coins worth if you sell it to a coin dealer, but you can also sell them as bullion which is usually much lower than the collectible cost you paid for it. Coins are rip offs unless you buy them as bullion. Then only buy for spot price.

 

[Polaroid]

That's because it's a coin. it's a collectible. Any type of collectible will have that kind of markup.

Unfortunately you get idiots like Glenn Beck telling his sheep audience to buy gold, while being sponsored by a gold seller, but not to buy bullion but rip off coins because Uncle Sam might steal your bullion one day but they can't steal your coins. Then again, perhaps people like that don't deserve to have money in the first place.

 

[pico]

yeah makes sense. those salesman scare people into buying coins by telling them the gov are going to take your bullions.

 

[RageWizard]

I don't understand the buy gold coins thing. The markup is incredible, and who knows if the coin will appreciate more than the gold it is made of. I don't like gold bullion either because then you have to store it somewhere. Although it is the better of the two. I like gold stocks the best however. Lately, I have been shorting them because everyone is now thinking that we will have deflation so the price of gold has been under pressure to go down, but in the 2 year horizon, I see gold and gold stocks soaring. Yeah the price of gold will soar, but the difference won't be enough to over come the markup for the coins.

Actually a better play is copper. Copper is in just about everything, and when the world starts making shit again, copper will roar.