Sunday, June 13, 2010

Silver Continues To Line Its Own Future

As a store of value, silver does not lack the luster of gold. Silver has the ability to increase in value in prosperous times because of its wide spread industrial use. Silver’s industrial uses are well known with more and more applications developed each year. Unlike gold, silver is consumed driving additional market forces which play well for investors in prosperous times.

With gold now pushing record levels silver will likely follow with a historically close price ratio to gold. Like gold, silver is a store of value which holds steady buying power over time unlike fiat currencies. With conservative inflation forecasts, a gradual dollar decline will likely pressure silver prices to new levels. Even more exciting for the silver investor lies where investment demand and industrial consumption meet, which could push silver coin and silver bar prices to new record levels.


Silver increased by 56% in 2009 and forecasts have given silver a bullish outlook for the remainder of the year with predictions going as high as $30/oz. If a worldwide market rebound occurred, a combination of investment and industrial use could prove silver to be the right choice of hard assets well beyond 2010

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In our vaults today we have several choices for the discerning investor with the eye of a collector; Uncirculated brilliant, bullion and proof quality silver coins. Each of these coins has a unique collectability and we believe will increase in value over time. 


Remember, there are no guarantees about whether or not a coin or any collectible, material thing or instrument in any asset class will increase in value and past performance of a coin’s return is not indicative of future results.


Friday, February 19, 2010

2010 Olympic Modern Canada Kilo - A Vancouver, BC Commemorative


The Canadian Royal Mint 2009 "Modern Canada" 1 Kilo Silver Proof coins may be of particular interest for those with a post modern artistic eye. Its pontoon plane with insect wings grasps a nature meets industry theme. The design was created by the Vancouver 2010 Olympic Organizing Committee.


This Canada 2009 $250 Modern Canada Kilo Silver Proof Coin sets itself apart from its historic predecessors with a distinctive design engraved in ultra-high relief normally seen in medallic art. Each coin measures an astounding 101.6 mm (4 in) in diameter and contains one kilogram of fine silver.

Friday, February 5, 2010

Grow Children’s Futures with Modern World Coins


Artistic and collectible coins are great gifts for kids. They are gifts that keep on giving. Modern world coins tell stories and art, culture and science depicted on world coins are interesting to children.  Considering the buying power you can gift today to your children, they should interest you too.
 
A great way to look at future college tuitions is by how much gold or silver it will cost today. With rising cost of education, a gift of gold and silver can be a great choice to help keep up with the growing cost of education.
World coins have lessons. The lessons they teach are the conversations they start; a gift in itself.  Precious metal coins are conversation pieces.  They have hard asset value.  They possess historical and cultural significance.  Silver and gold coins have the capability to offer children financial support and their savings can be used later in life for education.

As an economic lesson, numismatic coins are rich. They include lessons to save, lessons to prepare for the future, valuable lessons about understanding commodities and currencies.  Modern world coins teach us how to invest when inflation is looming and the dollar’s buying power is dropping.

Gold and Silver gifts often grow in value over time. Buying United States treasuries and savings bonds today come with risk of a lack of repayment of your principal investment and the yield on such an investment, given the high risk today of significant inflation, is questionable. The ten year yield on silver coins and gold coins has the potential to be exciting. Gifts of gold and silver coins to children can help pay the national debt we have forced upon them.  As our children mature, so do gold and silver coins.

Gold and Silver are gifts that can buy a future.

Remember, there are no guarantees about whether or not a coin or any collectible, material thing or instrument in any asset class will increase in value and past performance of a coin’s return is Not indicative of future results.

Friday, January 29, 2010

Australia Numismatic Centenary -- A Coin Mercantile Pick

A limited mintage coin set has been released commemorating the 100th Anniversary of the Royal Mint of Australia, the Australia 2010 Numismatic Centenary 3.65oz Total Weight Gold Proof Six Coin Set. It is our opinion this set of 99.99% pure gold with a total weight of 3.65ozs will increase in value over time. These coins are unique, limited, have an inherent collectability and are rare.

Each of the coins obverse side depicts a unique effigy of Queen Elizabeth II designed by Australian sculptor Vladimir Gottwald. First appearing on a 50c coin in 2000, this contemporary portrait has not appeared on any coin since.

In addition to this effigy that has appeared in the past, the National numismatic commemorative coins traditionally have high collectability. 100th anniversary coins such as these Australia Centenary Coins have immediate collectible demand and will certainly sell out with a mintage of only 500.

Finally, these Australia coins have artwork of indigenous Australian life. Depicting Kangaroos, platypus and aboriginal life these gold coins are striking art with lasting impressions. They are rare and with limited depictions of native culture and native fauna.

We continue to go to great lengths to import high quality limited mintage world coins which we can recommend. As with all investment assets, including modern world coins as an asset class, there are no guarantees of future performance for any of our recommendations. Past performance is not indicative of future results. It is in our opinion Australia 2010 Numismatic Centenary 3.65oz Total Weight Gold Proof Six Coin Set is a good investment.


Friday, January 8, 2010

Precious Metal Coins: Investment without a promise to pay


As gold continues to make strides as an investment alternative to currency, its historical war time legacy as a safe harbor against troubled economies is becoming more and more evident. The misunderstanding of gold, including the time to buy is now over, are of little value to a gold coin or silver coin investment facts.

Precious Metals cannot be inflated by printing more of it.  It is for this reason why it is sought after as an alternative currency today. Precious metal cannot be devalued by government decree and unlike printed currencies it is a store of value which does not depend on anybody’s promise to pay.

Gold and silver are assets which are no one else’s liability. Bonds and bank deposits are promises to repay money borrowed from the investor. Even Gold and Silver ETF’s are not always backed by enough underlying gold and silver to support the full market value of the ETF. The value of this printed category of investments relies on the fact that they are promises to repay money borrowed. Paper investments depend on the investor’s belief this promise will be fulfilled.

As hyperinflation, junk bonds and most recently Bernard Madoff’s promise to pay demonstrates these promises are questionable and can lose value quickly. Precious metals do not reside in this questionable space.  A piece of gold is not dependent on a financial system.  Its value has 5,000 years of humanity and history backing its sustainable worth.

New to our vaults and we believe to have great potential for increasing in value in these modern times is the Australia 2010 Dreaming Series. These modern world precious metal coins come in gold, silver and platinum in various weights. As with all of our world coins, we hand pick these gold coins, silver coins and platinum coins because we believe they will have the best possible investment outcome over time.

Remember, there are no guarantees about whether or not a coin or any collectible, material thing or instrument in any asset class including collectible coins as an asset class will increase in value. www.coinmerc.com





Friday, December 18, 2009

Precious Metal Coins - Something for Everybody Everywhere

Buying into precious metals has a different meaning to cultures in various parts of the world. The fundamentals for seeking the yellow and white metals come from different schools of value. Collecting gold and silver has an array of loyalists rooted in financial security, religious dogma, economic principal as well as its intrinsic beauty sought after by collectors. 

China’s appetite for gold and silver is legendary. Its renewed national economic principal for precious metals came last Fall when the largest state owned television company campaigned for its citizens to buy precious metals. China’s gold and silver appetite already out paces Western countries and this announcement underlines China’s belief in precious metals in the future as the ultimate store of value.

India also sees a future in precious metals. Its recent purchase of 200 tonnes by its central bank underscores its national policy for financial security. And India’s Hindu culture celebrates gold and silver on Akshaya Tritiya – Hindu Gold Rush Day. Hindus believe anything on this day will be replenished including the purchasing of gold and silver including collectible coins. India will always have gold and silver on its menu with more and more mouths to feed and its corresponding desire to protect its financial system with underlying hard assets.
In the United States, a recent legislative bill has been introduced in Congress to ban taxes on coins and bullion and repeal legal tender law – another sign of the value of gold and silver in our economic future.  If this bill passed it would encourage a system based on competing currencies that the United States has a rich history of before Congress passed legislation making the US Mint the legal currency issuing authority. This bill would also end capital gains taxes on collectible coins. The likelihood of this passing the House and Senate and being signed into law may be slim, yet it underlines the importance precious metals will continue to play in our economic future.

With the various economic forces and national policy for precious metals continuing to increase its importance, we believe the strong investment value of collectible coins will continue into the future. In our vaults now, which we believe has strong potential for increasing in value, the Canada 2009 $300 Summer Moon Mask 2oz 14kt Gold Proof Coin. Remember, there are no guarantees about whether or not a coin or any collectible, material thing or instrument in any asset class including collectible coins as an asset class will increase in value.

Tuesday, December 1, 2009

Is Impending Inflation a Reason to Seek Precious Metal?


The US dollar remains down against the euro and other currencies as of the end of November. A direct response to this has been increasing activity to buy gold as a hedge. The question: Is this recent gold run a short term bet or is the weakening dollar going to be followed by inflation? The worst of both worlds.
The most prominent hedge funds have shorted long-term US treasuries and are longing oil – an inflationary red flag signal. Other notable hedgies are betting on higher interest rates and are doing so with constant maturity swaps and other financial tools which underline encroaching US inflation. Still others are betting on gold –  make that inflation – such as Paulson & Co’s 4+ billion dollar investment in gold related funds. 
Some critics have used 'hyperinflation' to define the future financial landscape if federal spending continues. And impending inflation could be catalyzed if congress passes the current administration’s proposed Consumer Financial Protection Act. Under the guise of addressing the causes of a global financial crisis, this bill would impose regulation on small and large business and bring free markets more and more under Washington’s control when the credit default swaps, and sub-prime load problems that have hampered financial markets were likely government sponsored policies to begin with. See WSJ 11/27/09, Lack of Candor and the AIG Bailout.
What is for sure is the demand for gold will continue to increase as a reserve currency as opposed to a commodity. Federal printing presses are working overtime to pour more money into the system in the form of bail outs, stimulus and war efforts.  Demand for gold will likely outpace supply.

New to our vaults, and we believe a safe haven for a declining dollar, the Australia 2009 $200 Koala High Relief 1oz Gold Proof Coin. Remember, there are no guarantees about whether or not a coin or any collectible, material thing or instrument in any asset class will increase in value and past performance of a coin’s return is Not indicative of future results.