Buying Gold Panda Coins

June 22, 2011 - by mosesbet · Filed Under Gold Coins Leave a Comment 

An Investor’s Guide to Chinese Gold Panda Coins

Chinese Gold Panda Coins have been minted since the year 1982. The demand for these coins was phenomenally high during the first few years but slightly dipped later on to a more consistent level. The combination of excellent metal quality and appealing design makes the Gold Pandas attractive to investors as well as collectors. The existence of this dual market for these coins makes them a sound investment avenue for people looking for investments that offer good appreciation.

Different Kinds of Gold Panda Coins

The Gold Panda was first minted in four sizes in 1982- the 0.10, 0.25, 0.50 and 1 ounce versions. Back then it was created as limited edition coinage. Later, in 1986, two more versions were added to this list- the 5 and 10 ounce coins. A panda bear was imprinted upon the face of the coin, thus giving the coin its name. Every year, a different panda bear is used as the face of the coin. This makes it easy to differentiate between each year’s series. During the years 1986 to 1995, proof sets were also issued for these coins by the Chinese government.

The Gold Panda as a Collectible

Only a limited number of Chinese Gold Panda coins are produced each year. As the supply is restricted, it leads to better appreciation in value for these coins, especially when you view it as a collectible. In fact, this is one of the reasons why the Panda has traditionally been valued higher than many other popular coins. Commemorative Pandas are also considered valuable collector’s items.

The aesthetic appeal of the Chinese Panda also makes it a good choice for those who like distinctive jewellery. In fact, you will find many rare Gold Pandas mounted onto different kinds of neck pieces or earrings. The limited availability of these coins serves to make them treasured family heirlooms when converted to jewellery.

Quality of Gold

Chinese Gold Panda coins are minted from 0.999% pure gold. They a priced at a premium over the actual value of their gold content and this makes many reject them as good investment options. However, as the Panda is valued as a collector’s item, its resale value may be better than that of standard gold in other forms. Given that these coins are designated as ‘non circulating’ coinage and are guaranteed to be flawless, acquiring them even at a premium may be quite worthwhile.

The Panda in the International Markets

Although several restrictions were imposed on the trading of the Gold Panda both within and outside China, many of these have been relaxed in the recent past. Earlier, these coins were not considered very lucrative investments for people based outside China owing to these restrictions.

In recent years, the Chinese government has increased the production of the Gold Panda coins to meet the growing demand. A portion of these coins are also being distributed outside China, thus opening up the international markets for this gold bullion form.

The steady growth of the Chinese economy and its emerging status as an economy to reckon with has contributed to the growing demand for Chinese Gold Panda coins today. More and more international investors are now looking at investment options from this country to make the best of the fast paced growth taking place here.

Among the different versions of bullion gold coins issued by various countries, the Chinese Gold Panda enjoys a special place. This is one of the few coins that are available in the 5 ounce and 10 ounce size. For large investors, the ease of storage that this offers is a great advantage when they want to buy gold in bulk. For collectors, this fact only makes the Chinese Gold Panda an even more unique and special piece to own.

There are however some points to keep in mind when purchasing Chinese Gold Pandas. The fact that these coins do not always come with a hallmark often leads to doubts about their purity and authenticity. Since this continues to be a drawback of the Chinese Panda it is very important to select a reliable source to buy these coins from to ensure purity and quality.

 

Be Sociable, Share!

Related posts:

  1. Buying Canadian Gold Maple Leafs
  2. Buying Gold Krugerrands