Your client has purchased 50 one-ounce gold coins but isn't sure how to store them securely. Fortunately, Steve Emerick with precious-metals broker Asset Strategies International, Inc. in Rockville, Md., has a few pointers.
Home Safes
It makes sense to keep some precious metals at home for immediate access during emergencies, Emerick says, but there are significant drawbacks when larger quantities are involved.
Fifty coins would be worth almost $70,000 at today's prices. Plus, they're small and easily moved.
Finally, one Gold Eagle looks like every other Gold Eagle, so the coins would be untraceable if stolen.
Those conditions create a security risk if the wrong person should learn about the coins' presence in the home. Also, many homeowners' policies limit coverage for coins so the client probably will need supplemental insurance.
Safe-Deposit Boxes
Fifty coins would fit easily into even some of the smaller safe-deposit boxes. The vault is secure, box rental fees are usually low and occasionally banks waive the fee.
There are drawbacks with safe-deposit boxes, though, Emerick notes. There's a risk of theft if the client drives the coins to and from the bank.
Also, the box is accessible only during the bank's business hours, which might not always coincide with the client's needs.
As with a home safe, the client will need to secure insurance for the coins.
