Kugerrand for grandchild

[pheasant]

Hi everyone, thinking of buying a Krugerrand for my soon to arrive grandchild, any thoughts on using 'bullionbypost' or similar. Heard some bad courier tales lately.

[grumbledoak]

I've bought through BullionByPost without issue.

[Grumbly]

I've used them for years, and they have been totally reliable.

[Unknown_User]

I'm afraid I cant help with your question but Baillie Gifford American is up 875% over 10 years.


https://moneytothemasses.com/saving-for-your-futur...

[LeoSayer]

An equity fund will probably be a better investment, but I think the idea of a gold coin, minted in the year of the recipient's birth, is a fantastic idea.

[Scootersp]

ATS bullion I can recommend too.

[egomeister]

I've used them with no issues, same with Atkinsons. Heard decent things about Bairds too.

One question, why Krugerrand? Assuming you are UK based it wouldn't be CGT free whereas a Britannia would.

[pheasant]

Good point egomeister, it's just that the 1oz Kugerrand was the one that springs to mind, and as for a unit trust, I was after something he/she could hold in their paw 🙂

[pheasant]

Good point egomeister, it's just that the 1oz Kugerrand was the one that springs to mind, and as for a unit trust, I was after something he/she could hold in their paw 🙂

[Simpo Two]

egomeister said:

IOne question, why Krugerrand? Assuming you are UK based it wouldn't be CGT free whereas a Britannia would.

The Royal Mint seems to offer a confusion of products: https://www.royalmint.com/our-coins/

What's the difference between a 'Britannia' and a Sovereign?

[tuscan_raider]

Scootersp said:

ATS bullion I can recommend too.

Seconded, but I always walk into the dealer on the Strand

Gold is not a good buy for investment ATM, but its great to physically hold (and to give as a gift to a child) IMHO

[egomeister]

Simpo Two said:

egomeister said:

IOne question, why Krugerrand? Assuming you are UK based it wouldn't be CGT free whereas a Britannia would.

The Royal Mint seems to offer a confusion of products: https://www.royalmint.com/our-coins/

What's the difference between a 'Britannia' and a Sovereign?

Sovereign is about a quarter of the size and a slightly lower purity, Britannia is the 1oz 999.9 grade (ie, almost pure) coin.

As both are nominally UK legal tender they aren't subject to CGT.

[Simpo Two]

egomeister said:

Sovereign is about a quarter of the size and a slightly lower purity, Britannia is the 1oz 999.9 grade (ie, almost pure) coin.

As both are nominally UK legal tender they aren't subject to CGT.

Thanks - and there was me thinking the Royal Mint just made money, not Mr Men novelties. They'll be selling car insurance next!

[Blackpuddin]

Hmm, this is an interesting idea, at the risk of sounding like a pleb how much do they cost?

[Taita]

Blackpuddin said:

Hmm, this is an interesting idea, at the risk of sounding like a pleb how much do they cost?

Kugerrand circa 1300 when I glanced yesterday.
1oz.

[nikaiyo2]

egomeister said:

I've used them with no issues, same with Atkinsons. Heard decent things about Bairds too.

One question, why Krugerrand? Assuming you are UK based it wouldn't be CGT free whereas a Britannia would.

It is a valid point in general, but would one coin make much difference? Cant imagine so

I would look at getting one of the more decorative coins, Sovs, Kugers are a bit dull.

One of the Gold Queen's Beasts

IOM Gold Angel

Gold Panda or Buffalo

One of the many Lunar coins

[egomeister]

nikaiyo2 said:

egomeister said:

I've used them with no issues, same with Atkinsons. Heard decent things about Bairds too.

One question, why Krugerrand? Assuming you are UK based it wouldn't be CGT free whereas a Britannia would.

It is a valid point in general, but would one coin make much difference? Cant imagine so

I would look at getting one of the more decorative coins, Sovs, Kugers are a bit dull.

One of the Gold Queen's Beasts

IOM Gold Angel

Gold Panda or Buffalo

One of the many Lunar coins

Yeah, absolutely. If you are just interested a typical bullion coin then there is little reason not to pick a Britannia and get the potential CGT benefit, but if you want something a little more special then some of the other options make sense. I've never seen a 1oz gold coin I didn't like though

The Queens Beasts Completer looks nice, and I have a soft spot for the Mexican Libertad, which I think looks really nice in gold.

[Scootersp]

Also you could go bulky and buy silver coins, depending on who you are getting them for it might be a better present (feels like more and harder to lose than one coin?)

I think it's priced at over a 50:1 ratio and some argue the silver in ground ratio is 16:1 and so arguably in time the ratio may reduce/silver gains relatively more value. Silver is also being used (up) in actual things far more than Gold, potentially reducing it's abundance further, it's a old point that 'might' one day come true.

Just saying it might be worth seeing where the ratio is, compare that to the historical ranges and then decide on silver or gold?

[nikaiyo2]

Scootersp said:

Also you could go bulky and buy silver coins, depending on who you are getting them for it might be a better present (feels like more and harder to lose than one coin?)

I think it's priced at over a 50:1 ratio and some argue the silver in ground ratio is 16:1 and so arguably in time the ratio may reduce/silver gains relatively more value. Silver is also being used (up) in actual things far more than Gold, potentially reducing it's abundance further, it's a old point that 'might' one day come true.

Just saying it might be worth seeing where the ratio is, compare that to the historical ranges and then decide on silver or gold?

Problem with silver is you pay VAT on the purchase so you need to gain 20% to just break even.

[ConnectionError]

nikaiyo2 said:

Scootersp said:

Also you could go bulky and buy silver coins, depending on who you are getting them for it might be a better present (feels like more and harder to lose than one coin?)

I think it's priced at over a 50:1 ratio and some argue the silver in ground ratio is 16:1 and so arguably in time the ratio may reduce/silver gains relatively more value. Silver is also being used (up) in actual things far more than Gold, potentially reducing it's abundance further, it's a old point that 'might' one day come true.

Just saying it might be worth seeing where the ratio is, compare that to the historical ranges and then decide on silver or gold?

Problem with silver is you pay VAT on the purchase so you need to gain 20% to just break even.

Closer to 40% when you factor in the profit the original seller made!