7 most important investment coins in the world

Investments in precious metals have always been more profitable in the long term than investments in paper money. The cost of the latter, due to inflation and large risks associated with the unpredictability of the country's economic future, is higher today than what is expected tomorrow. With gold coins, the opposite is true - the current value of gold coins is lower than it will be tomorrow. What is this connected with?

You won’t surprise anyone with the statement: investing in gold is the most attractive way to make a profit. This precious metal is used in many areas of industry, is not subject to corrosion, its reserves are small, and accordingly the price of gold is always high, often even growing, as evidenced by the table of price dynamics for this valuable metal. It is believed that gold, even taking into account all possible economic and financial disasters, cannot completely depreciate.

Gold price dynamics USD/troy ounce

It is worth noting that investing in gold is also subject to risks: due to fluctuations in the price of the precious metal in the long term, you may not receive a profit. Therefore, there are several ways to invest in gold that help diversify your investment portfolio and reduce the risks of losing income, including:

investing in bullion;
Golden coins;
gold-backed securities.

In accordance with the Tax Code, gold bars are property, therefore, upon sale they are subject to VAT (18% of the nominal value). Selling an ingot to a bank is subject to income tax of 13%. Investing in gold-backed securities is impossible without the participation of brokers. Therefore, the most interesting and profitable way to invest capital is in gold coins. Nowadays there are 2 types of coins made of valuable metals: investment and commemorative.

General information

Even within the framework of this blog, I have already written quite a lot about investment options. Today I want to focus on the topic of investing in precious coins. This method is not so common, since it is more conservative, but it also has its significant advantages.

Let me remind you of the important rules of investing:

We invest only our own funds, no loans from friends, credits, and even less applications to microfinance organizations. Only your own free funds.
The money you invest should not be your last, set aside for an important business or purchase, or vitally necessary. You must understand that if you lose them now, you will be able to live in peace without compromising your quality of life.
There is no guarantee that your investment will be profitable. Even if you invest in stable and reliable government bonds or bank deposits, there is no guarantee that this will actually be the case.

Before investing your own money in a particular instrument, you should carefully study it and evaluate the possible risks and potential profitability. As a rule, risks are proportional to projected income. The higher the profitability, the greater the risks. But there are exceptions to this rule.
In order to make a decision on investing money in a particular financial instrument, it is important to evaluate it according to the following key characteristics - possible risks, projected profitability, payback periods, minimum investment amount, advantages and disadvantages of investing for yourself.
The available amount for investment must be distributed over several different instruments, that is, risks must be diversified. Investing your entire capital in one instrument is a rather risky step, which can lead to the loss of everything at once, especially if you have chosen a rather risky instrument with a high return.

Where to find precious coins?

If we talk about coins for investment, then these are, first of all, special investment and collection items. They have a denomination, but they are not put into circulation, so you won’t be able to get them in a store for change.

Coins made of precious metals can be divided into investment and commemorative:

Investment coins are actually a precious metal with a fixed and state-guaranteed weight, issued in the form of a coin. Such coins, as a rule, are issued in fairly large editions of tens and hundreds of thousands. Due to their large circulation, they can hardly be called rare, so they do not represent a separate value, only that which is included in the cost of the precious metal from which they are made. But they are the easiest to buy or sell, so they are great for investing
Commemorative - usually issued in connection with a particular historical event or date. As a rule, they are produced in small editions of 100-25,000 pieces. The main value of such moments is collectible; it is collectors who become their main buyers. The price of such coins depends on demand among collectors. Investing in such coins is more imaginative, since they are more difficult to sell and buy. But the potential for getting a good profit for them is much higher.

It is worth noting that some investment coins are issued in limited editions and on certain rare themes, for example, coins from the “Russian Ballet” series of 1993, “Signs of the Zodiac”, 2002-2005, “River Beaver” of 2008, or “History of Monetary Circulation” » 2009. Such collectible coins will be worth much more than the cost of the metal, and they can more likely be classified as commemorative.

From a formal point of view, both commemorative and investment coins are, first of all, coins, that is, they can be used to pay in a store. They will just accept them at the face value indicated on them. And it is several times lower than their real cost.

Investment and commemorative coins are minted using special equipment, which affects the quality of the mintage.

Most often you can find two variants of minting quality on such coins:
Excellent. The coins look as if they have never been in circulation. This quality is typical for investment coins.
Improved. With this quality of minting, the coins acquire a sort of mirror surface, which makes them more attractive and, accordingly, increases the cost. Most often, commemorative coins are printed in this quality.

3 rubles 1995 “Sable”

Material: 925 sterling silver;
Weight: 33.93 (±0.3) grams;
Metal weight: 31.1035 grams;
Diameter: 39 (±0.2) mm;
Thickness: 3.2 (±0.35) mm;
Edge: 300 corrugations.

In the mid-90s, Russian collectors, seeing a three-ruble note with a sable and the date “1995,” were quite surprised, since coins from the “Save Our World” series of 1994 were dedicated to this cute animal. They were even more surprised to not find the usual name of the series on the reverse. But this “Sable” is not included in the series. Before us is the first investment coin of the Russian Federation. If “The Sower” filled the previously empty niche of gold investment coins, then “Sable” is intended for those who prefer ounce silver.

Despite the general similarity of design, the mints executed small details of the design with noticeable differences. For collectors, these are two different coins. For investors who focus solely on the cost of the metal, the yard sign is of little interest. Therefore, even the Moscow or Leningrad “Sable” looks the same to them. Each yard (MMD and LMD) minted 500,000 copies, so acquiring “Sable” is quite easy.

How is the value of a precious coin determined?

You will not find courses for buying and selling precious coins anywhere. In order to understand the profitability of an offer to purchase a coin or the price for putting it up for sale, it is necessary to calculate the cost of the coin, which is influenced by only two factors - the metal from which the coin is made and the mintage of the issue. The greater the weight of the coin and the smaller the mintage, the greater its value on the market.

The metal weight is often indicated on the coin itself, and the mintage can be found in the information of banks and mints. The Central Bank of the Russian Federation also publishes selling prices for individual investment coins, but it will not be possible to buy coins at this price from the Central Bank; this is rather a guideline for sellers. Anything more than the specified selling price will actually be your markup.

Calculating the cost of commemorative coins is much more difficult, since the cost will depend more on the issued circulation and the demand for coins among collectors. There are no estimated prices for commemorative coins on the Central Bank website. Therefore, here you should focus only on your expertise or on average prices in the market, which can be compared in catalogs.

How to buy coins correctly

Let's move on to practice. We decided on a coin. Next, we study the photo of the original in different qualities up to satisfactory, we find out the exact weight of the coin, what mint, circulation and how rare it is. We compare the prices of coins in different conditions at recent auctions and auctions that took place two or three years ago, or better yet, even earlier. We look at Molotok and look at the prices there. You can buy popular coins on the hammer, making sure that the seller's rating is high and the number of negative reviews does not exceed 1%. When purchasing rare coins worth more than 30 thousand rubles at Molotok, it is advisable to have an expert opinion on authenticity.

Let's see how the coin is traded. If there are bids, then this is good; it means that there is demand for this seller’s offer and the likelihood of counterfeiting is lower than that of analogues without noticeable demand. You should be careful if other sellers have excellent deals on the coin, but yours does not have a single bid. We set ourselves the bar to buy a coin at a price slightly below the average. It happens that purchasing a coin at paid auctions is more profitable than buying it at Hammer, plus a guarantee of authenticity. Also, at these auctions the price of the coin that is closest to the real one is formed. I recommend participating in several auctions, as there are increases in value. In this case, it is better to stop participating.

It is profitable to buy coins during a crisis. The population has no money, the lots can be sold at a very low price. Conversely, it is better to hold the coins and wait for an increase in demand.

Choosing investment coins: what should you pay attention to?

Investment coins are essentially metal bars; the only thing that distinguishes them is the absence of value added tax upon purchase and possible collection value. As a rule, bullion coins do not have a high collectible value, but if the coin is issued in a popular theme and in a limited edition, this can significantly increase its price.

The value of a collectible coin, especially a rare one, increases much faster than the value of metal bars. In order to ensure profitability for your portfolio, you should choose the most potentially popular coins and in dozens of copies at once.

List of precious coins that are worth including in your investment portfolio:

Gold coin “St. George the Victorious” - denomination 50 rubles. Made of 999 gold, contains 7.78 grams of gold. It was produced in 2006-2010 with a circulation of 1.5 million and 2013-2015 with a circulation of up to 30,000. It is better to choose coins of a later circulation (2015) for purchase, but in general the price will depend on the cost of gold.
The Sochi 2014 gold coins are issued in denominations of 50 and 100 rubles from 999 fine gold, each 50 ruble coin weighs 7.78, and the 100 ruble coin weighs 15.55 grams. Coins were issued in 2011-2013 with a circulation of 300,000. It would be most profitable to purchase coins with the mascots of the games “Bear” and “Bunny”, but finding them is not so easy anymore.
Gold coin “2018 FIFA World Cup” with a face value of 50 rubles, the coin weighs 7.78 grams, made of 999 gold. Published in an edition of 100,000 rubles. The coins have a high thematic value, and if the declared circulation is significantly less than the actual one, their value will increase significantly.
Gold coin “Sower” in denominations of 1 chervonets was issued from 900-carat gold in 1975-1982. Weight -8.6 grams. The circulation of the issue in 1978 was more than 100,000, in 1978 – about 2 million. The coins of the disappeared state have great value, including historical value. The most expensive coins will be coins that were issued in years with a minimum circulation - 1975, 1978, 1980, 1982.
The silver coin “Sable” with a denomination of 3 rubles is made of 925 silver, weight 31.1 grams. Issued in 1994 with a circulation of about a million pieces. A large circulation somewhat reduces the final value of the coin, actually making it equal to the value of the metal. The coin may become rare, but it will take some time.
Silver coin “St. George the Victorious” with a face value of 3 rubles, made of 999 silver, weighing 31.1 grams. Produced in 200-2010 and 2015-2017. The circulation in 2010 is up to 500,000, in 2021 from 18,000. It is more profitable to purchase coins from a limited edition; their cost will ultimately be higher than those issued in mass circulation.
Silver coin “Sochi 2014” in denominations of 3 rubles, issued from 999 silver, coin weight 31.1 grams. It was produced in 2011-2013 with a circulation of up to 300,000 rubles, but there is no reliable data on the number of coins issued. As in the case of a gold coin, it is more profitable to buy coins with “Bunny” and “Bear”, but getting them is no longer easy.
A silver coin for the 2021 FIFA World Cup with a face value of 50 rubles made of 999 fine silver, the weight of the coin is 31.1 grams, was issued in 2021, but on coins -2018, circulation up to 300,000. The coins have a high thematic value, so if they The actual circulation will be less, then the cost will increase.

Investing in commemorative coins

Commemorative coins have both investment appeal and numismatic value, because their circulation is quite limited and their quality is very high. The older the commemorative coin is, the higher its price, which is calculated based on data on the rarity of the coin, its age, physical condition and external preservation of the design.

If just a few years ago the purchase/sale of a commemorative coin was considered a troublesome task, then with the advent of online auctions, the procedure for finding a buyer/seller has been significantly simplified. Transactions of purchase/sale of commemorative coins are not subject to tax.

It is worth noting that investments in gold coins can only bring real profit in the long term, unless we are talking about a recently found antique gold coin, the sale of which promises benefits in the short term. A coin purchased today will bring real income over time when its age and value increase. We must not forget that it is often difficult to find a buyer for rare gold coins, so the time for selling an expensive coin may stretch out for an indefinite period.

Examples of Russian commemorative gold coins

Conclusion: investing in gold coins is beneficial, but only for those who expect to make a profit after some time and for those who want to diversify their investment portfolio, protecting themselves from bankruptcy in case of loss of income from foreign exchange transactions and from transactions with securities, because gold is a stable currency that is always in value. Those numismatists who purchase gold coins exclusively for their collection do not have to worry about the price of gold and the risks of investing money, because for a true collector, the pleasure of a new piece for their collection comes before thoughts of income.

Where to sell coins?

This is perhaps the most difficult question in this type of investing. Banks that are willing to sell precious coins are extremely reluctant to buy them back, and at very unfavorable prices. Therefore, you will most often have to search for buyers yourself.

Here are a few ways that may be helpful to you:

Avito and other similar platforms. This method is advantageous in that your product can be seen by a large number of people with minimal time and money effort. The disadvantage of this method can be a rather long waiting period for the buyer.
Online auctions designed for collectors, such as Conros, Find-Coins, Rarity and others. Here the coverage will be, of course, less, but more targeted. Perhaps one of the collectors has been looking for exactly what you have for a long time. Remember that such sites most often charge additional commissions.
Collectors' shops and flea markets can be found in every city. This often turns out to be the fastest selling option, but at the same time the least profitable. Inexpensive coins will be bought back for 50-70% of their value, but expensive ones will not be contacted.

Results

Investing in precious metals, including through the purchase of precious coins, is a rather conservative way of investing, which gives results over a fairly long period of time, years and sometimes decades. The values of coins are quite strongly tied to the value of the metal from which they are made.

It is worth remembering the liquidity of such an asset; quickly selling coins even at market value will not be easy. Therefore, investing in valuable coins is often an option for preserving funds rather than obtaining super-profitable income. And, of course, you shouldn’t forget about diversifying risks and buying coins of different themes.