1/2 oz American Gold Eagle
Overview
The 1/4 oz. American Gold Eagle Coins have been a popular choice for collectors and investors since 1986, when they were first released. These gold United States Mint coins are a great way to start or add to your physical precious metals investment portfolio or collection. The 2014 1/4 oz. American Gold Eagle coin is one of four commonly traded sizes of gold Eagles produced by the United States Mint. While these coins are classified bullion, the most alluring trait of these coins is their standing in the United States Mint history.
History
The history of the U.S. Mint dates back to April 2, 1792, when the United States Congress passed The Coinage Act. This created the Mint, as well as the first federal building under the Constitution in what was then the nation’s capital, Philadelphia. The first director of the U.S. Mint was David Rittenhouse, who was appointed by President George Washington. The first coins to be minted were 11,178 copper cents, which were delivered in March 1793. Soon after this, silver and gold coins began circulating, and it is believed that President Washington actually donated some of his own silver for the minting process.
The first gold coins were struck between 1795 and 1933, with the intent to be used as everyday circulating money. The coins were minted in small and limited numbers and varied from the tiny $1 to the larger $20 versions. The Roosevelt Administration recalled these coins in 1933 from public circulation. These were then melted down by the treasury, and the massive stockpile of 400 ounce gold bricks in Fort Knox, Kentucky primarily contains gold from pre-1933 gold mint coins. A limited amount of gold coins dating back to 1795-1933 are still around, and are considered very valuable collector’s items.
In 1985, the United States Congress passed the Bullion Coin Act. This Act instructed the United States Treasury Department to begin production and distribution of non-circulating coins in a variety of sizes. The American Eagle coins by law can only contain American gold. These coins quickly grew in popularity worldwide and have become some of the most traded gold bullion coins in the world.
The Act of 1792 mandated that all American coins show on one side the impression emblematic of Liberty, as well as the inscribed word “liberty,” and the year of coinage. On the reverse side, the Act mandated the coins have the representation of an eagle with the words "UNITED STATES OF AMERICA." While there have been design changes over the years, the American Gold Eagle collection still embodies the original design scheme.
Design and Size
The design of the 2014 1/4 oz. American Gold Eagle coin incorporates and honors the last circulating gold coin in the U.S.: the 1907-1933 $20 Saint-Gaudens design of Lady Liberty. This coin also features the Miley Busiek-designed nested Bald Eagle.
The obverse side of the coin features Lady Liberty in a flowing dress in front of sunlight. She holds a torch and olive branches in her hands. Located on the bottom left side of the coin is the Capital building. Inscribed on the obverse side are the words "LIBERTY," as well as the year of coinage, "2014."
The reverse side features a female eagle nesting with her young, with a male eagle flying overhead holding an olive branch. On the reverse side of the coin, the phrases "UNITED STATES OF AMERICA," "IN GOD WE TRUST,” "E PLURIBUS UNUM," and "1/4 OZ. FINE GOLD-10 DOLLARS" are inscribed.
The 2014 1/4 oz. American Gold Eagle coins have a 22 mm diameter and a thickness of 1.83 mm.
Purity
Each 2014 1/4 oz. American Gold Eagle coin contains 1/4 ounce of .9167 pure gold. The gold weight for this coin is .25 troy ounces. American Gold Eagle coins contain 22 karat gold, or 91.67% gold. In order to reduce the likelihood of scratching or denting, small amounts of silver and copper are mixed in. Regardless, the gold content and purity is very high.
Value
The 1/4 oz. American Eagle gold coins are an elegant addition to any portfolio, at an affordable price compared to other physical gold purchases. The American Gold Eagle coins are some of the most traded and trusted bullion coins in the world. These U.S. Mint coins are backed and guaranteed by the United States government. The American Gold Eagles are IRA approved, allowing collectors and investors to easily add value to their retirement portfolio as well.
Generally, the value of the coins is equal to approximately one-fourth of the market value of gold. For example, if gold’s current price is $1,200 per ounce, then the 1/4 American Gold Eagle coin is worth about $300, because it contains one-fourth of an ounce of gold. The value fluctuates with the market, so the selling price will vary depending on the current spot price of gold. Unlike the other three gold eagle coins, the face value ($10) of the 1/4 oz. coin is not proportional to its weight. Nonetheless, the intrinsic value of these coins is far more than the face value.
For centuries, gold has been a trusted investment vehicle for many. Gold recently experienced 12 straight years of value growth. In 2013, it experienced its first price decline in 12 years, which spurred a high demand worldwide, especially for physical gold. The year 2014 has continued to be a buyer’s market, as gold prices continued to stay low. It is hard to say how the market will behave in future years; however, experts project the value of gold to once again reach the record high value of 2011 and beyond at some point. The safe bet is to buy gold with a long term investment strategy. The value growth possibilities for gold bullion over the years could be significant for those that choose to invest now.
Another factor considering the value of the 1/4 oz. American Gold Eagle coins is that ITM Trading offers a discounted price when transactions are made via wire, ACH, or check, rather than a credit card. ITM Trading also offers free shipping and insurance with every purchase.
