Introduction to Pre-1933 Gold

Profit Opportunity in Pre-1933 U.S. Gold Coins
Learn All About the Unique Advantages of Owning Classic Rare Coins

As a leading firm specializing in both modern Gold Bullion and Pre-1933 U.S. Gold Coins, our top priority is to evaluate a constantly changing market. Our goal is to find overlooked, undervalued Gold coins with excellent upside profit potential.

Our Austin Gold Specialists consistently search for Gold Coins we feel will offer you a combination of rarity, quality, value, and exceptional long-term profit potential.

This requires constant analysis of current values, historical track records, and long-term profit projections to find coins that meet our criteria.

Acquire Popular Date Pre-1933 Gold Now
Looking ahead to the second half of 2008, we've come to the following conclusions:

• Bull Market Continues – The gold market is currently consolidating below recent highs around $1,000/oz. This is a normal, and healthy, bull-market correction and offers superb buying opportunities.
• An Undervalued Market – While there are great deals in gold bullion during this temporary price-dip, many of our top Pre-1933 U.S. Gold Coin recommendations look extremely undervalued trading up to 35% below recent highs.
• Short-Term Profits – When gold pulls out of this phase, it will likely offer quick profits around 18% as it returns just to the aforementioned high of $1,000/oz. History tells us that such a price surge in bullion could spark a 25% to 30% or more rise in Popular-Date Pre-1933 U.S. Gold Coins.
• Long-Term Potential – Several of our Popular Date Gold recommendations have the potential to rise over 100% and still trade below all-time highs.

If you are convinced of the rock solid, long-term fundamentals driving the Gold market, then we believe this is an ideal time to buy more Gold, especially Pre-1933 Gold coins, before prices rise.

Buy Gold Bullion or Classic Pre-1933 Gold?
Many people like the idea of owning the classic, Pre-1933 U.S. Gold Coins like the $10 Indian shown above, but don’t understand pricing or know how to get started. Inside this Austin Report, we’ll share insider secrets on why and how to add Pre-1933 Gold Coins to a core holding of modern Gold Bullion.

The Gold Buying Process
While American Eagles, Buffalos, and Canadian Maple Leafs are great Gold coins, they are ordinary Bullion coins with very limited collector appeal. They serve their intended function– low cost, Gold Bullion and a hedge against a falling Dollar. They offer no secondary demand from collector/investors.

In this Austin Report we’ll compare and contrast American Eagles with affordable Pre-1933 Gold Coins to see why we recommend both to our clients looking to balance and diversify their Gold portfolios. After we share the unique advantages of Pre-1933 Gold Coins, you too may find them to be irresistible bargains poised to generate outstanding profits.

In many ways, owning Popular Date Pre-1933 Gold Coins offer your portfolio a wealth of balance and diversification.

1. Excellent Upside – Higher quality Pre-1933 Gold Coins have shown excellent upside potential often outperforming Gold Bullion alone.
2. Attractive Value – Pre-1933 Popular Date Gold Coins bridge the gap between modern Gold Bullion and very expensive U.S. Rare Coins. Many high quality, Mint State examples are very affordable today priced between $1,000 to $2,500.
3. Fixed and Limited Supply – The surviving number of U.S. Gold Coins minted before 1933 is small indeed and no more will be minted ever. By comparison, most Modern Gold Coins are not rare. Over 11 million $50 American Eagles have been issued since 1986 and more are minted every year.
4. Twice the Demand – Pre-1933 U.S. Gold Coins have broad appeal from both established, old-time Rare Coin collectors and new Gold investors. This double-sided demand creates a powerful synergy that keeps consistent pressure on the market.
5. The Power of the Premium – While you can buy worn down, scratched up Pre-1933 Gold Coins near their Gold melt value, we don’t advise it. When you sell, collectors will always pay more for coins preserved in high quality "Mint State" condition.

Paying extra for quality today positions you to profit in years to come from both rising Gold prices and increasing premiums driven up by collectors.

Profit Through the Eyes of a Collector
Understanding the mind of a coin collector is the key to maximizing profits. You see, collectors take great pride in owning rare historical objects, items with inherent value, in a high state of preservation.

Whether it’s Corvettes, guns, art, antiques, or coins, quality always relates to value with collectors. That’s why dealers and coin collectors depend on PCGS and NGC to independently grade rare coins fairly and honestly. Grading is done on a scale of an almost unrecognizable 1 up to a perfect MS-70.

Profit Analysis: Pre-1933 Gold versus Gold Bullion**
Type of Gold Coin	Current Retail	All-Time High	Upside Potential	Recent Lows	Downside to Lows
$5 Liberty MS-64	$1,719	$6,100	255%	$1,095	36%
$2½ Liberty MS-64	$1,455	$3,675	153%	$795	45%
$5 Liberty MS-63	$1,079	$2,700	150%	$580	46%
$10 Liberty MS-63	$1,149	$3,000	161%	$575	50%
$10 Indian MS-63	$1,375	$2,300	67%	$795	42%
1 oz American Eagle Gold Bullion	$995	$850	-15%	$255	74%

Coins with no signs of wear, fewer scratches, and no detracting features are defined as "Mint State" or "Brilliant Uncirculated." They grade from a low MS-60 to a perfect MS-70.

The table at left shows the upside potential of some MS-63 to 64 coins we like today that look great and are still very affordable. We feel these Popular Date Gold Coins offer less downside risk and greater long-term potential. Based on our analysis, these undervalued and overlooked bargains won’t last long.

If our approach makes good sense to you, we would be glad to help you get started. Prices change frequently, so please call our Austin Gold Specialists for today’s top recommendations. Before you invest in Pre-1933 Gold Coins, you may also want to understand their history.

Rare Surviving Pieces of American History
It’s amazing that any Pre-1933 U.S. Gold Coins survived the ravages of time, the Government Gold Recalls, and the Great Gold Meltdowns.

The first U.S. Gold coin was minted in 1795. Each one was worth its weight in Gold. Until 1933, U.S. Gold Coins were circulating money that moved from hand to hand. Few people bothered to put them away new. Very quickly, the 90% soft Gold surfaces were scratched and worn down by merchants and bankers that stacked and counted them daily. Very damaged coins were sent to the U.S. Mint, melted down, and struck into new coins. Early date U.S. Gold coins almost disappeared completely.

Meltdowns Wiped Out Gold Coinage
In 1933, at the height of the Great Depression, all U.S. Gold coins were recalled to the Treasury and melted into gold bars to pay our trade deficits. Decades later, the scarcity of older U.S. coins came to be appreciated. Thus began the hobby of collecting U.S. coins for both fun and profit.

In the early years, collectors traded coins mostly between themselves. Over the decades, the American Numismatic Association helped to convert the fledgling hobby into an industry. Since 1971, Pre-1933 U.S. Gold coins have traded in a vibrant Rare Coin Market based on supply, collector demand, grade, and rarity. The most expensive Gold coin in history, the 1933 Double Eagle, recently sold for $7.5 Million Dollars.

American Eagles Minted by the Millions
On the other end of the Gold coin spectrum are American Eagle Gold Bullion coins that trade for $925 to $975. They are very common today. The U.S. Mint has released over 11 million one ounce Gold Eagles since 1986. Very few have been melted, lost, worn down, or scratched up. With very few exceptions, most investor and collectors don’t consider them rare at all. Recent price gains for modern gold coins are based primarily on rising Gold Bullion prices. While American Eagles represent the essence of modern Gold Bullion, millions survive today in "Mint State" condition and they are not rare coins.

Classic Gold Coins You Can Afford
In between $1,000 Gold Eagles and $7 Million Dollar coins, there’s a wide range of Gold coins that trade daily in the U.S. Rare Coin Market. Most people start with Popular Date Pre-1933 Gold coins that are highly collectible and affordable. These include the Liberty Head Gold struck in 1838-1907 and the Indian series of 1907-1933. These are official legal tender, Gold coins from the U.S. Mint. These coins were real "hard money" and most were quite worn by use in daily commerce. In those days, Gold coins were worth their weight in gold. Gold was valued at $20.67 an ounce, so a $20 Liberty, by law, contained exactly .9675 troy ounces of pure Gold.

The Popular Pre-1933 U.S. Gold Advantage
Gold coins back then were not collectibles any more than we collect ordinary $20 Bills today. For that reason, relatively few Gold coins of the 1800s and 1900s were put away new, in Mint State condition. Most were circulated as money and were worn down. Today, high quality, Popular Dates of Pre-1933 Gold Coins are highly collectible and scarce. Still, we only recommend coins when they meet our strict criteria:

• The coins must be undervalued in today’s market.
• We insist on coins with really great eye appeal.
• We prefer high quality Mint State 63-65 examples.

These criteria make our coins far easier to sell later.

Double Demand Provides Leverage
Because rare coins have a primary demand by coin collectors and a secondary demand from investors in hot Gold Bull Markets, they have double demand and offer substantial leverage over ordinary Gold bullion.

As the coming demand outstrips the fixed, limited supply of Pre-1933 Gold, prices can be bid-up quickly. We refer to the supply as "fixed" because no more Gold Coins were minted after 1933 and by law no more with older dates will be minted. The supply of Pre-1933 Gold Coins is "limited" by comparison to millions of modern bullion coins that exist. In fact, you might be shocked at just how rare Pre-1933 Gold Coins today. We’ll share details with you as this report continues on the back page.

Only a Few Americans Can Own Even One
Historically, collectibles rise in value as the number of people who collect them increases. Back in 2003, the A.N.A. estimated there were 125 million casual coin collectors in America. Today, that number has grown to 140 million thanks to U.S. Mint coin programs like the Statehood Quarters. While everyone can own Quarters, that’s not true of Pre-1933 Gold coins. Even if we total up all the Popular Dates of $10 Liberty in MS-64 grade, we find only 16,200 certified and known to exist. Sadly, only 1 out of every 8,642 coin collectors could ever own one of the most common rare coins.

Double the Demand
It’s logical that with Gold up 240% since 2001, both Gold bullion and most classic U.S. Gold coins are rising in value. But, the real profits are still to come when investor/collector demand rapidly outstrips the limited supply. Only Pre-1933 U.S. Gold Coins have this unique DOUBLE appeal of demand rising from a growing base of Gold investors and rare coin numismatists.

1.Collectors love coins for their beauty, classic designs, and core value. They take great pride in owning authentic pieces of American history.
2. Investors want the safety and security of Gold first and later are attracted to the long-term profit history of U.S. Rare Coins.

Over the years, we see most Gold investors eventually acquire Pre-1933 Gold coins as a way to balance and diversify their portfolio.

A Symbiotic Relationship to Gold Coins
This mutually profitable relationship between investors and collectors promotes a healthy and growing demand across the Rare Coin Industry. This growing base of investor/collectors are the people you want to be ready, willing, and eager to acquire your coins later when you’re ready to sell. If you share our confidence in the great profit potential of this long-term bull market in Gold, we urge you to take advantage of the leverage offered by Popular-Date Pre-1933 Gold Coins.

The Key to Profit is the Foresight to Buy Low
While Gold sales have been soaring into 2008, we remain convinced that the flight to Gold is still in the early stages and prices are still low. When the floodgates open, we’re convinced that investor/collectors with the foresight to acquire Pre-1933 U.S. Gold Coins will prosper the most.

Start Acquiring Pre-1933 Gold Today
Right now, it’s important to take advantage of lower prices in Pre-1933 Popular Date Gold before a sudden surge in demand pushes prices to the next level making it much harder to find a bargain.

Need advice? Call us and we can build a portfolio to fit your goals, objectives, and areas of comfort.

Questions? Call a Gold Specialist at 1-800-928-6468

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Austin Rare Coins, Inc.
Serving Investors & Rare Coin Collectors since 1989
7200 North Mopac • Austin TX 78731

Disclaimers: Austin Rare Coins & Bullion has prepared information on this site for the private use of our readers. It should not be taken as personal financial advice. The information herein is obtained from a variety of sources that we believe to be reliable, but we cannot guarantee the accuracy or that information has not been condensed or may be incomplete. All opinions expressed by the editors of The Austin Report and those expressing opinions are subject to change without notice. We are not financial advisors. The information about future predictions, projections, or financial advice could prove to be unprofitable. This firm is specifically in the business of selling gold, silver, platinum and rare coins to the public and offers its opinions from that viewpoint. We generally make available news and opinions that relate positively to our markets and do not seek to present a balanced view of the investment markets. We advise that you seek out information from a variety of news sources before making any investment decisions. It’s important to always remember that past performance is no guarantee of future value. These products may not be suitable for every individual as the value of gold, silver, and rare coins go down as well as up in value.

* Possible upside potential projected from current retail to all-time highs. Upside not limited. Downside risk is measured from current retail to recent lows only. Risk may be higher. Past performance is no guarantee of future value or future risks.

** Prices based on gold at $930 and subject to market fluctuation.