It’s no secret that our Nations own Krugerrand coins are considered by many numismatists to be the most popular gold bullion in the world. Part of the reason is the fact that South Africa was the first country to manufacture their own bullion coins, as a way of giving citizens the opportunity to possess their own gold.
The first Krugerrand coins were minted in 1967 and named after former ZAR president, Paul Kruger. Today, there are tens of millions of these coins in circulation, making them the most widely held bullion and recognised gold coin investment.
Besides its status as the original bullion coin, Krugerrands are renowned for their gold purity and superior quality. In fact, these two factors have also contributed largely to their worldwide popularity with both serious investors and hobbyist coin collectors who often include Krugerrands as part of their investment portfolio or rare coin collection.
Unlike rare South African coins that are classified as ‘collectables’, Krugerrands don’t have a face value and are instead priced according to their gold content plus a premium based on supply, demand and rarity. The coins are manufactured in 1 oz, half oz, ¼ oz and 1/10 oz versions, the 1 oz Krugerrand coin being the most popular. All Krugerrands are 22-karat (91.67%) gold and have an additional weight in alloy, which makes them durable and highly resistant to damage and scratching. The only other bullion coins manufactured in the same way are the American Gold Eagles. In fact, in their entirety they are modelled largely on the success of the Krugerrand.
Although the Krugerrand lost a hold on its primary gold bullion market in the US after 1994, when a temporary import ban was lifted and the US began to mint their own bullion, there were already more than 22 million of them in circulation. Unfortunately the Gold Eagle proved just as popular as the Krugerrand. However, in today’s market our bullion generally sell at lower prices than Gold Eagles, which means they are still a firm favourite for those wanting to make high quality coin investments.
If you’d like to add a rare Krugerrand coin to your investment portfolio or coin collection, then please contact us for further information.
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