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Key Takeaways:
• Gold sovereigns are a popular, long-term investment for collectors and investors looking to diversify their portfolio.
• The history of gold sovereigns dates back to 1489 and is associated with the power and strength of successive monarchs.
• Several factors affect the value of gold sovereigns, including year, rarity, condition, and design.
• To determine the current market value of a gold sovereign, you can calculate its weight in fine gold and multiply it by the current spot price.
• If you want to sell a gold sovereign, it's important to understand the current market value and find a reputable buyer to ensure a fair price and a straightforward selling process. |
Are you considering investing in gold? With the global financial markets being unpredictable right now, finding a secure, long-term investment can be a beneficial strategy. One long-term investment that is always popular is gold bullion and specifically the gold sovereign.
If you are interested in learning more about buying gold sovereigns and how much they are worth, you will find all the information you need right here. Read on to discover more about the gold sovereign, the coin’s history, value, and where you can buy and sell them.
What is a Gold Sovereign?
A gold sovereign is a highly collectible gold coin with an interesting history. Gold sovereigns are a popular investment for people looking to diversify their portfolios and for collectors that value the history and beauty of these famous British coins.
What is the History of the Gold Sovereign?
A gold coin known as a sovereign was first introduced by Henry VII in 1489. This new coin was produced by the Royal Mint and featured a portrait of Henry VII and a double rose on the reverse to symbolize York and Lancaster united following the War of the Roses.
The minting of gold sovereigns was continued by succeeding monarchs, each ordering a new version of the gold sovereign featuring their image. For each of these monarchs, the gold sovereign symbolized their power and strength. This practice was halted in 1603 during the reign of James I.
Following the end of the Napoleonic Wars a new version of the gold sovereign was produced to satisfy demand for a British coin with a value of twenty shillings or a pound. These ‘modern’ sovereigns are recognisable today and continue to be minted with occasional updates to the monarch’s portrait and commemorative designs to mark specific events.
Factors That Affect the Value of Gold Sovereigns
The price of gold is subject to change, and the value constantly fluctuates. While the face value of a gold sovereign is one pound, these prestigious real gold coins are worth far more than this. Not every gold sovereign has the same value, as this varies from coin to coin. Several factors impact the value of gold sovereigns, which are as follows:
- Year - what year was the gold sovereign minted?
- Coins remaining - how many coins remain from that year?
- Rarity - how many of the gold sovereign coins were produced that year?
- Condition - is the coin still in mint condition, or has it been damaged in any way?
- Where it was produced - which branch of the Royal Mint produced the gold sovereign?
- Bullion coin or proof issue coin - proof issue coins are more sought-after and generally worth more than bullion coins.
- Design - some designs of the gold sovereign, such as commemorative designs, are more valuable than others.
- Market performance - current market trends will impact the value of a gold sovereign.
How to Determine the Current Market Value of a Gold Sovereign
Understanding how much a gold sovereign is worth is essential before you make decisions regarding buying or selling these sought-after coins. However, determining the current market value can seem complicated; here is how to determine the current market value of a gold sovereign:
You have probably heard the phrase, ‘worth its weight in gold,’ used before, and this applies to gold sovereign coins when determining their value.
Each gold sovereign is minted from 7.988g of 22 carat gold. 22 carat gold has a purity of 917.7 parts per thousand which means that each gold sovereign contains just over 7.32g of pure or 'fine' gold. To calculate the market value of your gold sovereign, you will need to take its weight in fine gold and multiply it by the current spot price. So, you would look up the spot price for gold per gram and multiply this figure by 7.32 to determine the current market value.
How to Sell a Gold Sovereign
Do you have a gold sovereign that you would like to sell? The first thing you should do is look at the live gold price chart to understand the current market value for your coin collection according to its weight. Here at The Gold Bullion Company, we are happy to buy gold sovereign coins at a competitive rate related to the live gold price. Selling a gold sovereign in this way enables you to get a fair price for your gold coins while benefiting from a straightforward, hassle-free selling process.
If you would like to sell a gold sovereign, our friendly advisors will be happy to help you. Call us on 01902 623 259 to find out more.
Where to Buy a Gold Sovereign
At The Gold Bullion Company, a wide range of exquisite gold sovereign coins are available for purchase. Our selection includes Gold Full Proof Sovereigns in the official Royal Mint presentation box and even sets of the brand new Memorial Gold Sovereign, along with many more.
