Silver Fern bullion coin launched for investors

By NZPA

Monday 20th November 2006

New Zealand's only registered mint has recently released a solid silver one ounce bullion coin for the international precious metal investment market.

The New Zealand Mint, established over 30 years ago, also produces the only one ounce gold coin in the World to feature the kiwi emblem.

Mark Sutton, General Manager of the Mint, said the Silver Fern coin contains one Troy ounce (31.10 grams) of .9999 silver, a level of purity higher than the current standard of silver bars available in New Zealand.

New Zealand-themed precious metal coins have a high level of respect for their quality among international investors, similar to the American eagle and Krugerrand emblems.

Pricing begins at NZ$29.00 for one Silver Fern through to a percentage over spot for larger volumes

Sutton said that internationally, the bullion market is moving away from the standard poured bar or ingot to the more accessible bullion coin.

"The bullion coin is easier to trade and caters for both large and smaller investors," he said.

Sutton said long term precious metal investors generally tend to keep about 5% of their total investments in precious metals. He said precious metals tend to rise when property and share prices are struggling.

"Smart investors tend to use gold and as a hedge against the NZ dollar falling against the US dollar," he said

The New Zealand Mint customer history has shown that investors tend to start with about $5000 and gradually grow their investment. The Mint supplies many investors with more than $1million in their individual portfolios.

Another major arm of the Mint's trade is the design and supply of commemorative precious metal coins, mainly for export markets. The Mint recently produced 113 gold coins to commemorate the 113 tournament victories of golfer, Jack Nicklaus.

Some hints for first time precious metal investors:

Spread your total investment over gold and silver. Each market has its own character.
There is no GST on buying and selling of bullion coins and bars.
While gold and silver are both enjoying strong value growth, it is more secure to think long term.

If you would like more information, email info@sharechat.co.nz

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