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Physical gold is fun, though. I don't think I'll buy insurance until it's time to transport it all somewhere. (Yeah, they probably don't cover that).sophie wrote:..
I think I'm done buying physical gold, and this thread has helped with that decision - I just don't need to be worrying about counterfeiting, let alone storage & insurance issues. The rest of my taxable gold purchases will be Perth Mint certificates.
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I want to say that it is, but I am not really sure. The machine looks sort of like a hand-held scanner from a grocery store that you press up against the gold then squeeze the trigger. Does that sound similar?ochotona wrote:Gosh, would that be x-ray diffraction (XRD) analysis? I used to do that in college with minerals. That's a serious solution to the security problem.
I have Maple Leaf coins with the micro-engraving on the leaf side, it's really intricate and not possible to see in full detail without magnification. You'd think this would be impossible to forge well.
Thanks for that! My Australian Mint Kangaroos had a beautiful ring, also the Krugerrands, the Canadian Maple Leafs, because they are thick and smaller diameter didn't ring as much, and it was very high-pitched, but still they rang.Mark Leavy wrote:If the coin is the right size and weight, and you are still unsure, then just test the sound. There is no known way to make a counterfeit coin that will be even close to passing all three tests (size, weight, tone) at the same time.
To test for sound:
Balance one coin flat on a fingertip and then tap it gently with the edge of another coin.
A gold coin will give you a beautiful, sustained ring with rich third order harmonics. It reaches into your soul it is so melodic.
Tungsten or any false core will give you a "thud". If the tone doesn't make you weep - it's counterfeit.
Well, you can do whatever you want with taxable money. I like the safety of dealing with the Perth Mint, plus the fact that Bron Sucheki, an employee of the Perth Mint, is a member of this forum and has provided useful answers to questions. It is annoying that the certificate account falls under FATCA rules. Something like Hard Assets Alliance is more convenient, but the short history (opened in 2012) makes me hesitate.thisisallen wrote:@Sophie. Why are Perth Mint certificates better for tax accounts, but Fidelity is better for tax-advantaged accounts?
Thx.
I think it may be possible to use a foreign institution for physical gold in a tax-advantaged account, if that account is a corporate profit sharing plan. If there were enough money involved to make that feasible, I would take a look at that if I were in your situation.sophie wrote:I'd heard maples were beautiful. I'd be worried about how they'd hold up during long term storage by a cretin like me, though.
I think I'm done buying physical gold, and this thread has helped with that decision - I just don't need to be worrying about counterfeiting, let alone storage & insurance issues. The rest of my taxable gold purchases will be Perth Mint certificates.
BTW Fidelity's bullion program is really worth a look for tax-advantaged accounts. They've reduced the storage fees. There are ~2% commissions to buy & sell, and storage (i.e. expense ratio) is 0.5/yr. Storage is in Nova Scotia and insured by Lloyd's of London. It's limited to IRAs, can't do it in a Keogh, but it's a really nice alternative to ETFs. I am thinking to take the plunge for the gold held in my Roth.
I assume you are a US "person". If this is correct, you will probably be hearing about FATCA from whichever banks you deal with, once they get harassed by the US Treasury. Be prepared for a lot of pain if you haven't been following the incredibly annoying and intrusive rules.thisisallen wrote:Have you considered Bullion Vault? Some friends (non PP investors) have been using it for years and recommend it as a good company. And it seems to be discussed and liked in the forum.
There was a thread about it:
http://www.gyroscopicinvesting.com/foru ... php?t=8487
Don't laugh but I never heard of FACTA, and I have been living in India a lot and have bank accounts. I do know about the FBAR form that needs to be sent in by 30 June each year but that is not the IRS, it is the Treasury Department. It is required when a person has accounts over $10,000 in a foreign investment. Of course, if a person has earned interest on a foreign investment then the person needs to declare that on his income tax form.
It's FATCA, and the minimum account size used to be $10k, so that's an improvement.thisisallen wrote:After looking up FACTA, the minimum account that requires reporting is $50k. I haven't kept that much in an account at any 1 time since it is easy to transfer from US and there is currency exchange risk (especially now when $ is strong).
Good to know about FACTA for future decisions.
Thx.
Cool, I'll try that.ochotona wrote:I rang my Maples with soft plastic ballpoint pen.
Any one test can be faked but all 3 at the same time is impossible as far as I know. They are easy to do. Add in a 4th test of a visual inspection and you're good to go. A little practice and any worries of buying fakes will disappear. Eagles are super easy to get a nice clear ping. Maples are difficult. I prefer to buy Eagles because of this. I would also recommend to avoid gold purchases on E-bay.ochotona wrote:Thanks for that! My Australian Mint Kangaroos had a beautiful ring, also the Krugerrands, the Canadian Maple Leafs, because they are thick and smaller diameter didn't ring as much, and it was very high-pitched, but still they rang.Mark Leavy wrote:If the coin is the right size and weight, and you are still unsure, then just test the sound. There is no known way to make a counterfeit coin that will be even close to passing all three tests (size, weight, tone) at the same time.
