Krugerrand Value

Factors That Affect Krugerrand Value

admin — Wed, 28 Dec 2011 10:50:59 +0000

The Krugerrand is a gold coin first produced by South Africa in 1967 to help market South African gold. Today the Krugerrand accounts for around 90% of the world gold coin market. The Krugerrand value is primarily based on its gold content and is a popular way to invest in gold. Its value is also based on a premium based on factors such as its condition (whether the coin is in mint condition or has been in circulation) and whether it is part of a special release such as a proof coin.

However, the principal value of the coin is in its gold content. The 1oz version of the coin is guaranteed to contain one ounce of gold (although it is slightly heavier due to copper alloy that is added during manufacturing) and there are also half, quarter and tenth of an ounce versions of the coin. The value of the coin is primarily based on the spot value of gold on the world market plus a premium. The premium attached to the coin depends on shipping, handling, insurance and and mintage fees and also whether the coin is a special issue or in good condition. The Krugerrand is a popular way to invest in gold, the price of which has soared in recent years due to world financial instability.

Learn About The Krugerrand Value And Why It Is So Popular With Investors

admin — Sat, 24 Dec 2011 10:33:49 +0000

The Krugerrand value centers on its gold content, as well as a premium, with the price also being affected by certain factors such as specially prepared proof coins, and the condition of the coin. A fascinating fact about the Krugerrand is that it does not have any face value, but is manufactured solely for trade purposes, outside of South Africa. The coins are available in 1oz., ½ oz., 1/4oz., and 1/10oz., and are sold at prices which are determined by the current gold price.

South Africa is a forerunner in gold mining, as well as a leader in the production of gold bullion, which makes the coins a passion with collectors, and an established gold investment, worldwide. In addition, the Krugerrand is the first coin to be minted by a country for investment purposes, and, to make it feasible for investors to purchase the coins, the South African government changed them to weight, rather than give them a monetary value.

Even in these unstable economic times, the Krugerrand price remains firm and steady, which is why countries and businessmen and women still favour them as an investment. As with the American eagle gold coins, the Krugerrand also contains copper, making it durable, and, apart from being sold as coins, is also easily converted into stunning pieces of jewelry.

The Krugerrand Value Is Determined By Current The Price Of Gold

admin — Tue, 20 Dec 2011 18:32:13 +0000

The Krugerrand value is marked by its weight in gold and basically has a 91.7 percent gold purity factor, with its remaining content being copper. The Krugerrand was created in 1964 as a legal tender bullion gold coin and was thought to be a viable means for the general public to have private ownership of gold bullion. Named after Paul Kruger (South Africa’s first Boer President) and the Rand (South Africa’s currency); the South African Mint initially produced the one ounce gold coins in 1967. The coin was minted on the basis that the Krugerrand value would be derived solely from the current and fluctuating price of gold, as opposed to the Rand value system. Perhaps because of this unique concept, the marketing of this coin (since its inception) has been phenomenal, with over 50 million ounces sold. In fact, by 1980, the one ounce coin held an 89% share of the world’s gold bullion coin industry.

Buoyed by the success of the one ounce coin and the increasing Krugerrand value, the South African Mint started producing fractional Krugerrands, in one-half ounce, one-fourth ounce and one-tenth ounce denominations. This idea was implemented from the belief that fractional coins would make the coins more affordable to the masses and more easily bartered in the public arena. Today, the Krugerrand value is still growing and increases daily with the price of gold. Being easily portable and a great investment are also factors that play a role in the Krugerrand being the most widely held gold bullion coin in the world.

The Increasing Krugerrand Value

admin — Fri, 16 Dec 2011 10:31:31 +0000

The krugerrand value fluctuates with the price of gold bullion on the world market. The krugerrand is a gold coin minted in South Africa. It is one of the most popular ways to invest in gold and the coin is recognized the world over for its quality and purity. The price of gold has risen drastically over the past few years and has many more investors looking to get in the game. This increase in the number of investors increases the krugerrand value.

The troubled economy has many people searching for ways to protect their wealth from the ravages of inflation. During times of economic turbulence, people have always turned to gold and silver as a store of wealth. Whenever fiat currency or paper money begins to fail, investors rush to precious metals in order to hedge their bets and cut their losses. If you are looking for a way to invest in gold then purchasing the krugerrand is a good choice. These coins are worth the value of the gold that they contain but also have numismatic value. Older coins that are uncirculated can be worth more as well as coins with low mintage. These factors and more can add to the krugerrand value.