Pre-33 Gold: U.S. gold coins minted prior to 1933
U.S. Gold coins minted between 1850 and 1933 have been certified by PCGS, NGC, CAC and CACG. Coins graded by PCGS and NGC are certified by CAC with the Green Hologram. In 2022 CAC formed its own grading service, CACG. A coin graded by CACG is the same as a coin graded by PCGS or NGC, with the CAC green sticker.
The pre-33 market is a unique asset class with high growth potential, providing excellent liquidity and diversification as a hedge against other investments. It is recommended to purchase the St. Gaudens (1907 – 1933), graded in MS64 or MS65, MS64 Liberty Head (1850-1907). Any of these grades will make for a strong diversification in your portfolio.
Pre-33 Gold is considered Bullion with “Muscle.” They contain not only an ounce of GOLD, but also have semi-numismatic value. Pre-33 gold isn’t as volatile as regular bullion. They hold their value better when the market fluctuates, partly due to supply and demand.
Tax Benefits
Rare gold coins also receive favorable tax treatment. According to David Kautter, Managing director of the Kogod Tax Center at American University, investors enjoy two main tax benefits when it comes to their Rare Coin Investments:
“They are treated as capital assets, so no tax is imposed as they appreciate in value. The appreciation is not taxed until the coins are sold, and then the tax rate is only 20%, not the top individual tax rate of 39.6 percent.”