Bullions vs. Commemorative Coins: Which Option is Better?
As an amateur investor of precious metals, you must’ve been fronted with a ubiquitous question: What’s the difference between bullions and commemorative coins, and which one is a better investment option?
Unfortunately, counterfeiters and unreliable precious metal dealers may use this as an opportunity to drag you into a scam deal. Without proper information, you may end up investing a handsome amount on low-quality commemorative coins.
Here are some reasons why you should never agree to invest in commemorative coins, no matter how much scammers tell you.
Transparent Vs. Complex
Bullions have been a reliable investment option for ages. Authorities continually update prices of gold, silver, and other bullion coins, and similar rates are available all over the internet. Dealers can fool you into a bad deal because you’ll already know all the rates.
Commemorative Coins have a complex value proposition. Not many precious metal dealers are well-informed about those coins, and you won’t have a lot of options to seek advice.
Gold, silver, and other precious metal bullion coins are well-reputed and popular. They are highly liquid collectibles that you can exchange for cash anytime you want in case of an emergency.
You won’t have to wait to find a buyer; many investors approach precious metal dealers that you can connect with if you like the bid price they offer.
On the other hand, commemorative coins have a small market and resale value. Finding a trustworthy buyer who accepts to buy the coins at your stated price—or even less than that—can be a bit of a challenge.
Furthermore, the value of commemorative coins isn’t universally recognized, which is why there’s a risk of selling the coin for a lower price than its actual worth.
To make things more difficult, the market was commemorative coin is extremely specialized, with 70 different levels of quality for one coin.
Even if your coin is graded at the highest level by one firm, another company may disagree, and then they go through an extensive process to conclude the final price. Who has that kind of time?
Bullion is known for being a profitable investment in the long and short run. You can store them for a long time without having to worry about their value depreciation.
Planning to invest in bullion coins? You can buy silver and gold bullion bars and coins online, here!
For more advice on precious metals investment or to learn more about our services, call us at 1-800-559-0088.