Marcus Richards
Purchasing gold is one of the oldest and safest ways of investing. This precious metal is a useful hedge against inflation. This is the reason why more people invest in gold coins. That being said, not everyone knows which gold coins are the best.
In fact, some people don’t even know that there are diverse types of gold. So, when they finally find a vast collection of gold coins, they find it difficult to decide which one to buy.
In this article, we have tried to solve this dilemma by unveiling the common types. Moreover, we have also shared our views on which gold coin is the best, from an investment perspective.
Image Source: Mia by Tanishq
But before we do that, let’s clarify the basics of why you should buy gold coins. Keep reading:
Why Should You Invest in Gold Coins?
Here are the top 5 reasons that’ll assure you of your gold coin purchase:
- They are easy to buy and sell; you can even buy gold coins online from reputed brands.
- The price of gold generally goes up. This means the value you put in gold today is going to increase in the future.
- Gold coins don’t need high maintenance. Just safely store them in a locker, and you don’t need to worry about them for years.
- You can also get a loan against gold. This way, you won’t have to rely on any other collateral to get safe loans.
- Gold coins are also easy to transfer. You can gift it to your family members and improve their financial status.
Different Types of Gold Coins
In India, gold coins are often categorized based on their purity and composition. Below are the top three types of gold coins suitable for investment:
1. 18kt Gold Coin
The first on the list is 18kt gold coins. These comprise 75% gold and 25% other metals, such as silver and copper. This means they are exceptionally durable and scratch-resistant compared to 22kt or 24kt gold coins. That said, 18kt gold coins are also less expensive since they have a lower gold content.
2. 22kt Gold Coin
These gold coins are made up of 91.67% gold and 8.33% other metals. Compared to 18kt gold coins, these are brighter and have a softer texture. This is again due to the presence of more gold content.
3. 24kt Gold Coin
The last but the purest gold coins are 24kt. These gold coins are made up of 99.99% pure gold. They have a deep yellow colour and a soft, malleable texture due to their high purity. They are the most valuable and sought-after gold coins.
Final Verdict: Which is The Best?
It would be best to consider several factors to determine which gold coin is best for investment. A few of the crucial ones are:
- Budget: As you just read, the type of gold coin you select significantly impacts its price. 18kt gold coins are the least expensive while 24kt gold coins are the most costly. In such cases, you need to determine your budget and how much you wish to spend on gold coins to decide.
- Investment Goals: Different gold coins are suitable for different investment goals. For instance, a 24kt gold coin is a better option if you have long-term goals. For affordable goals, try 18kt or 22kt gold coins.
- Availability: Sometimes availability also matters since 24kt gold coins may be more difficult to find and may have limited mintages, while 18kt or 22kt gold coins may be more widely available.
The definitive answer to which type of gold coin is the best depends on your preference. If you have a reasonable budget and high investment goals, we suggest you invest in 24kt gold.
As for availability, visit the website of brands like Mia by Tanishq, and you can easily find high-quality gold coins. Best of luck!
