September 2013 Archives

Coin Collections and State Quarters

Coin collections are getting more and more popular these days. A lot of people are already into collecting coins. You see, this hobby is interesting and can be considered an excellent pastime. If you want to start your very own coin collection and you have no idea where to begin, you should check out the State Quarters.

What are State Quarters all about?
Back in 1997, an act was approved and it was called Fifty State Quarter Program. The program started in that same year and run through 2008. The Act is quite popular and in fact, it is the most well-known minted series of coins in the US Mint history.

In 1998, five state quarters were released and it continued for a period of ten years. Every 10 weeks, a quarter was released.

The program also devised a new and unique method of issuing coins – the state quarters were issued based on the year they became part of the US. The state quarters are minted and you can see George Washington’s image at the obverse or front side while on the reverse or back side, you will find a noteworthy design about the specific state.

The program ended in 2008 and after that, the coins were again designed normally, with the reverse side having an eagle design.

Don’t you think collecting these coins is worthy?

You will find it harder to obtain the coins now the program is over because the coins will be considered collectors items and it will be a bit costly on your part.

So, what makes these minted coins different?

Each state chose a unique design which is of great importance to it and the current governor of the state determined the process of selection. Some of the states designated a certain design committee while other states held contests among the residents who came up with a significant and unique design. Some states posted various designs of the coin in their official site and the residents simply placed online votes and the coin that gets the highest votes win.

The coins are greatly in demand and besides, these coins will not be minted ever again. The price of these state quarters will naturally increase as years pass and currently, some of the older state coins amounts to $1 each or even more depending on its condition. Some coin collectors are also into ‘error coins’ collection and these flawed coins can cost more or less $500 each.

The program of State Quarters definitely gained extreme popularity in the US and some people were into some sort of business revolving on the said minted coins. Coin holders are popular and coin collectors can purchase them so that they can keep their collections in an attractive holder.

Youngsters and old alike can now start collecting coins through the State Quarters. If you want, you can inquire at your local state office and see if the coins are still available.

22k Gold Jewelry Make Good Investments

What is the commonality between the coins South African Krugerrand and the American Eagle? These are gold coins made up of minted one-ounce 22k gold alloy typical of the 1930 conventional gold coins minted of “crown gold”. What is intriguing is the preference for 22k gold in minting gold coins and in the manufacturing of 22k gold jewelry instead of the pure 24k gold.

The composition of the 22k gold alloy is: Gold 91.67%; Silver 5%; Copper 2%; and Zinc 1.33% and these metals account for the extra hardness, durability and scratch-resistance compared to 24k solid gold. These features of the 22k gold jewelry critically justifies its preference over 24k gold. 24k is not a logical choice for fabricating jewelry because of its softness and malleability that makes it more easily breaks and scratches. This is a gold alloy which is used in jewelry-making especially in Middle East, Southeast Asia and In India where gold and gold jewelry closely intertwined with social and cultural traditions.

The fact is, using 22k alloy can’t still make a sturdy jewelry. In spite the softness, the only alloyed gold closest to the solid gold and the elemental gold in terms of the gold content is the 22k gold alloy with the least amount of metals fused with it. This simply implies that 22k gold alloy has the highest value in the gold market next to 24k gold. This is why it can be sold or exchanged at the prevailing gold rate in the market without depreciation or wastage compared to the lower gold alloys namely, 18K and 14K. Thus, 22k still maintains a good value for one’s money as well as an ideal choice of investment at any time.

What is it about the 22k gold jewelry that makes it preferable than the other gold form? Besides 24k, there is really no such thing as 100 percent “pure” gold. Being too soft, the final product easily breaks, scratches and deforms so that makes elemental gold and 24 k useless where jewelry are concerned. Still, 22k gold is the most sensible gold for jewelry being alloyed with stronger metals.

Economic Crash Worldwide Starting

Here is a good compilation of videos by financial experts discussing the impending economic collapse.

The Real State of the World Economy Is Dire

We are back to the ‘green shoots’ era of false hope and total misunderstanding of the real state of the world economy. Tidbits of good news, combined with manipulated and seasonally adjusted economic figures, are spreading an optimism that has nothing to do with reality.

A world with $250 trillion of debt and over $1 quadrillion of worthless derivatives can’t recover, especially since it is a world supported by reams of worthless printed paper currency.

We are at the end of a major economic cycle that started at the end of the Dark Ages; those alive today will experience the very beginning of the downturn. Sadly, it will be a major and very unpleasant upheaval that virtually nobody will escape.

In the last 100 years we have seen the creation of the Fed (owned, created and controlled by private bankers), combined with fractional reserve banking (allowing banks to leverage 10 to 50 times), exploding government debt, and a derivatives market of $1.4+ quadrillion. These are the principal reasons why the world economy has expanded in the last century, and particularly in the last 40 years. They have created a world of delusional wealth and illusory prosperity. Also, there is a total absence of moral and ethical values. We are in the final stages of an era of extreme decadence, an era that cannot and will not have a happy ending.

The US and the rest of the world will continue to print unlimited amounts of currency. But these are worthless pieces of paper and have nothing to do with wealth creation. The printing will just add to the already unsustainable world debt and not create any added prosperity. Instead we are likely to see a hyperinflationary depression in many countries.

For the privileged few that have financial assets to protect, physical gold stored outside the banking system is likely to be the best way to preserve wealth and purchasing power.

Read the complete article by Egon von Greyerz

The Basics of Coin Collecting
Coin collecting is said to be the “Hobby of the Kings.” Coin collecting is different from money hoarding. Collecting coins as an art form can be traced back to the 14th century. Today, people all over the world are collecting coins. Some collect it for their value, some just like the sheer fun that they get from getting their hands on different coins.

If one is interested in making coin collecting a hobby, he can very well do so. It is a hobby which does not require a certain skill and it can be done by almost everyone.

There are many different kinds of coin collectors. There are those who do it for fun, and others do in a more serious manner.

Informal coin collecting

Most coin collectors, especially the children, start out as informal coin collectors. They are laid-back collectors which do not have a specific goal in collecting coins. They might collect coins from different countries or from different time periods without any intention of being serious about it.

Inquisitive coin collecting

Once the informal coin collector starts noticing the details of the coins, he becomes an inquisitive coin collector. This kind of coin collector won’t bother much into spending money to get coins. He merely wants to appreciate the coins. Soon, he will start to put them in containers or albums.

Advanced coin collecting

An advanced coin collector will collect coins with a specific target in mind. He may want to collect coins from a certain nation, or a certain time period.

There are many tracks which coin collectors pursue when engaging in their hobby. Here are some of the ways one can use in collecting coins:

Coin collection according to nation

Many coin collectors would want to collect coins from a certain nation during a certain period of time. This kind of coin collection lets the collector travel the globe through the coins. People may want to collect coins from countries they had visited.

Historical coin collection

Another way of collecting coins is by taking in mind history. Many coin collectors engage in collecting coins during a certain period in history like wars or declarations of independence.

Error coins

There are people who find collecting coins with errors exciting because these kinds of coins are rare nowadays.

There are many ways to collect coins and each way is as fun as the other. One must feel the hobby first before he decides whether to stick with it or not. Coin collecting can require certain amounts of money and the collector must be wise in engaging in such a hobby.

How Important is the Gold Trading Price

Everybody knows that Gold is valuable. A lot of people recognize gold as a form of jewellery. However, gold can also take other forms. Gold can come in the form of bars or in the form of coins. Regardless of the country or region where you are, gold is treated as a commodity on its own. It is used as a trading tool at the international stock markets. This makes gold trading prices comparable to other good traded in the market globally. Gold trading price is measured in ounces, so a gold’s price can be measured by ounce.

Gold’s price is not a set price. It fluctuates all the time depending on the market trends. Gold trading prices can be found in news channels, newspapers, and even on business and trading websites. However, you should not expect to see an exact and same price that you through these mediums when you are dealing with a seller. Gold trading prices varies depending on what form it takes. Gold jewellery and gold coins require unique production so expect that these are more expensive than standard gold bars. Antique items made of gold can also have higher prices since they have inherent antique and gold value.

It is easy to find gold trading price per ounce today if you want to buy or sell some of the prized metal. But why is gold trading price and the gold itself important to investors? The answer to that is because the amount of gold globally is limited. Plus the fact that this precious metal cannot be reproduced and can only be discovered. This gives gold its stable value that is most of the time high.

The gold trading price per ounce is high as I write this. This can be attributed to one simple fact. All other financial investments that you invest in are very unstable; they reduce value at any given time. The more people who seek to have possession of gold, the higher the demand. So will the price of gold increase.

What are Your Options for Trading Gold?

A lot of investors are looking for different options for trading gold. Here are some gold options that you can use for buying gold.

A gold coin is perhaps the most popular way to purchase gold and buyers can actually take ownership of the gold coins. Gold coins are valued according to their weight, rarity, and type. If you choose this option you need to consider the security of these items since you will have the physical gold in your possession.

Gold bars are the traditional way to trade gold and can be purchased through banks, commodity brokers, and gold bullion dealers. These gold bars come in a variety of weight. The largest gold bars are the one preferred by traders and large companies who investment in large gold quantities.

Numerous options for buying gold online have appeared in recent years. For example, you can purchase gold on a regular basis depending on your budget. Opening a SilverSaver® account takes just 10 minutes. There is no paperwork to send, and as soon as your account is verified, you can schedule purchases to begin immediately.

Exchange traded funds (ETF’s) were developed back in 2003 as a way of trading and investing on gold without the hassle of storing the actual physical product. Gold exchange trade funds are traded on the major stock exchanges globally and provide traders an easy way of gaining exposure to the precious metal. I don’t recommend buying ETF’s or gold certificates, but prefer holding the physical metal.

Of course, you can also purchase stocks of mining companies. As the gold price raises the mining company’s profits also increase and the gains are passed on to the shareholder. Unless you are an experienced trader, I also don’t recommend this method for investing in gold since there are a lot of factors to consider when choosing a good mining company to invest in to.

It is important to consult with a qualified and highly trustworthy broker to determine the best gold trade option for you.

Keeping Coins Clean Using a Folder

The price of an antique item goes up if it is kept in good condition. By having it stored in a safe place, one can be sure that it will not be damaged by the elements or by negligence that will reduce its value in the market.

Coins are easy to take care off. For those who have been doing this for years, such collections are usually framed or under glass and are often seen in places such as a large museum. But to individuals who are just starting out, putting it in an old shoe box or jar will do.

Later, when the collection is larger, it is time to invest in a coin folder that would better protect and hold the coins. These folders can be bought in different sizes depending on the type of coins the individual is collecting. The coins can be stored in individual plastic pockets or in sheets that make up the album. They are available at the local coin store or can be ordered from the web. The advantage of using these is that they are handy to carry around make it easy for the person to show. These can be brought to exhibits and other venues where the coins can be traded, sold or exchanged with coins that other people may have.

Keeping the coins in mint condition does not only mean storing them in a folder. Whenever the person adds a new coin to the collection, it is ideal to first have it cleaned before putting it in with the others.

This can be done by taking it to a coin shop and paying for the services, or if you prefer to do it yourself, is by soaking it in a liquid such as vinegar, rubbing alcohol, lemon juice or ammonia which is sure to remove any dirt or encrustation that are present when it was acquired.

They should then be air-dried or patted dry with a soft cloth. It is not a good idea to rub or polish the coins since scratches can occur that may decrease its value in the market.

Serious coin collectors value the importance of storing these valuables in a safe and secure area. By investing in a coin folder, the person can be sure that the value of the coins will go up either when the demand calls for it or when there is a need to part with them.

Tips On Better Coin Collecting

Today, there are thousands and thousands of people that are enjoying coin collecting and these numbers are continually growing, which is a welcome change from the situation that existed prior to 1999. In fact, ever since the mid sixties, coin collecting as an activity and hobby had been showing signs of decline because of the change in material from which US coins were being made.

Base Metals Replace Silver

When silver was replaced with base metals it became much harder to find suitable old coins and so the interest in coin collecting declined. However, the year 1999 saw the advent of the 50 State Quarters Program when the first State Quarters were issued that honored the US state of Delaware.

This 50 State Quarters Program reignited interest in coin collecting and it led to more people taking up coin collections as a serious hobby. However, the reasons why people become interested in coin collecting are as diverse and different as the coins themselves. People might want to collect coins on account of the fact that those coins were minted in the year that their children were born, or they might start collecting coins with a view to selling them off later when their value appreciates.

The best example of how coin collecting can prove to be a profitable exercise is exemplified in the case of one Louis E. Eliasberg Sr. whose collection of coins, after his death, fetched his heirs a whopping forty-four million dollars.

The best way to start the coin collecting activity is through making a beginning with date-and-mint coin collections. The Lincoln cent that is issued each year is an example of how to go about adding coins to your collection. Or, you might want to collect coins according to certain coin types and rather than collect coins from each year and according to mink-marks it might be a better idea to collect coins from a particular series as well as from a particular mint.

Mint error coins too make ideal coins that every one that is interested in coin collecting should think about including in their coin collections. To make coin collecting easier why not also make use of coin collecting software of which you will come across different types though each will help you with different aspects of coin collecting.

With a little bit of luck, you might even succeed in adding some very valuable and perhaps even rare coins to your collection and then you can reap a tidy profit by selling them off later when they are much in demand and when their value appreciates sufficiently to warrant selling them off.