Full OZ coins or fractional coins?

[jmichael99]

I picked up a couple 1/10th Gold eagles.  Would I be better saving and just getting 1oz coins?

[CoinFinders]

Like any other sound advice, I will tell you:  "it depends."  :-)   If you are stacking for the long run, then it doesn't matter the form.  I've chatted over the years with some serious "preppers" and some not-so-serious-preppers.  If things in the world really go to ****, then the small gold (and silver) will become a much better form of barter than the one ounce gold coins.  Of course, that assumes one believes this will happen.  If you are stacking as a hedge for the future and your plan is to eventually sell your gold (retirement income; a nice vacation; etc) then it doesn't matter what form or denomination you buy your precious metals.  Thanks from Scotty at CoinFinders.  www.coinfinders.com

[sixgun]

This sort of question is asked very often.

Fractional gold works out more expensive than the bigger coins and there is nothing nicer than having a full ounce coin in your hand and feeling the weight.

Fractional coins have advantages however.

1. You can afford to have a bigger variety and number of coins.
2. You can afford to buy a coin more often.
3. It is easier to sell these coins because they are more affordable.
4. Fractional gold coins sell at a relative premium to the 1oz coins.
5. When it comes to selling you don't have to sell so much of your gold. You might need to sell 2 x 1/10oz gold coins but if you only have 1oz coins you have no option.

The general advice to people starting out is to buy basic sovereigns and half sovereigns. These are small coins, very liquid and if you buy the basic sovereigns you will should not pay more than a few percent over spot price. 

[CoinFinders]

Agreed!  And I forgot to mention the premiums.  I see the 2017 1/10oz gold Eagles are selling right now for $158 over spot (if you were to buy 10 of these coins); and the 1oz Eagles are selling for $58 over spot.  So for every ounce of gold you buy in the 1/10oz form, you are paying (about) $100 more as opposed to buying just a one oz coin.  But the points above are valid:  the 1/10 oz'ers right now carry a slight premium over spot from most bullion buyers.  However, most of my dealer buddies buy gold at spot, and then make their profit on the small percentages.  Thanks from Scotty at CoinFinders.  www.coinfinders.com