Gold Sovereigns

Gold sovereigns prices will never be entirely stable due to there value been directly affected by the spot price. This presents us all with the same question, will my sovereigns value increase or decrease over time? The intention of this website is straightforward. We aim to help collectors and investors alike determine current gold sovereign prices for individual coins and years. By providing up to date, un biased information we hope to give you a good advantage to buy sovereign coins at prices that are lower than their true market value. As a long term investment or a numismatist working to complete a coin collection, we feel we can greatly improve your chances of finding the best prices and consequently getting you real value for your money. After all full and half sovereign coins are the most widely traded semi-numismatic coins in the world.

The value of gold sovereigns has soared over the last few years as the spot price of gold continues to increase. Many investors are now looking at sovereigns as a safe haven from the continued economic volatility, and buying  them as an investment is made easier due to their convenient prices. Been among the smallest investment coins available keeps the price per coin relatively inexpensive enabling the smart buyer to gradually increase their collection over time. This can be a highly effective strategy for safeguarding against inflation.

There are numerous benefits associated with buying gold in this way. Primary, the sovereigns are yours to own, to be stashed away, hidden, placed in a vault or buried as you wish. Regardless of whether bought from a dealer, an auction or an online shop, gold coins represent a high monetary value within a small, convenient form that can be easily reconverted to fiat currency any time you require it. Sovereign prices are unlikely to reduce within the time period you have them, and more likely the price will increase as gold gains value.

Sovereign Value

If you're intending to buy or sell gold sovereigns then the first hurdle you will undoubtedly face is price, or more essentially the actual value of the individual sovereign coin you wish to trade. The true value of gold sovereigns can fluctuate on a daily basis, changing with the price of gold bullion. This effects sovereigns in the lower price range far more than with the top end rare coins, the gold content in older rare sovereigns makes up a much smaller percentage of the overall complete value.

For this reason and also the necessity to grade each specific coin, having an comprehensive price list becomes almost impossible. Even if we were to have such a list it could only ever be speculation and would unquestionably be out of date within a few days. We do however have a tried and tested method that we have used for years to find a true sovereigns price for buying or selling. To find out more please take a look at our gold sovereign value page.

Sovereign Prices

The price of a British sovereign is not just based on the gold content alone. Two other key areas that greatly influence the price are the scarcity of the sovereign and also the grade of the coin.

The gold content is the real tangible asset associated with sovereigns and is by far the easiest element to put a firm value upon.

To calculate the price of the gold content within a sovereign you will need to multiply the present gold spot price by the exact amount of gold within the sovereign coin. (see chart) The actual gold content of a full sovereign is 0.2354 troy ounces and for a half sovereign it is 0.1177 troy ounces. This will give you a base price to work with, making it easier to evaluate what premium is been added to the sovereign for it's rarity and grade.

Certain sovereign coins are extremely scarce, possibly struck within a particular low mintage year, or maybe from a certain mint, and therefore might have a value significantly greater than the actual gold content of the sovereign alone. Endeavoring to place a price upon such numismatic characteristics requires a far greater level of skill than the typical investor. Grading an older rare sovereign again requires great knowledge and skill and is best left to the experts. We do cover coin grading in more detail elsewhere on this website, however do remember that the price of a wrongly graded rare sovereign could be hundreds of pounds wide of the mark.

To avoid the higher premium prices associated with these coins, newer investors tend to shy away from the older historical sovereign coins, instead buying more recent sovereigns from the last twenty years or so, which tend to offer better prices such like the 2011 gold sovereigns.

Another alternative is to buy proof  sovereign coins which aren't struck on the same dies as normal sovereign coins but struck using a different method. It would be extremely unlikely that a proof coin would at any time have been circulated since besides been typically well packaged they are generally only minted for the collectors market. Priced a little higher than a standard sovereign but a much easier coin to grade.

If your interest in sovereigns is more a short to medium term investment, and you interest in the historical value is less essential, then buying a recent sovereign or proof coins can be a excellent strategy to undertake.

Proof Sovereigns

Proof sovereign dies are specially produced to a much higher standard, these coins are usually struck twice with the special dies. The most common understanding of proof is that the flat background of the coins have a highly polished mirror like finish, the raised parts of the design have a matt finish. Proof coins will generally carry a higher premium price over the spot price, however this is not a problem as the higher premium price will always be recuperated in your selling price at a later date.

A Little History

The sovereign is the official coinage of English Royalty and since been first minted to honor Henry VII in 1489 they have been issued for most English Kings and Queens since. The first design to be used showed a highly structured Tudor rose and a large shield. Five more sovereigns were struck during the rain of Henry VII, each depicts with a different front and back. Sovereigns have since been issued by Henry VIII who had the first half sovereign struck. Elizabeth I, Edward VI, Queen Mary, Elizabeth I, James I, George III, George IV, William IV, Queen Victoria, Edward VII, George V, Edward VIII. George VI and Elizabeth II all issued fine sovereigns. Note the list excludes: Charles I, Charles II, James II, William III, Mary II, Anne, George I and George II.

With no denomination value printed on them, British Sovereign Coins are unusual among other coins and currency which more commonly have a face value. Instead It's price was tied in with the pound Sterling which in turn was tied into the gold standard of £3 / 17s /10 1/2d for a standard ounce of gold. It contained almost one pounds worth of gold which was nineteen shillings and eight pence, with 22 carat weighing in at 0.2354 troy oz, which is just a fraction under 1/4oz. This was the reason it quickly became the preferred and enthusiastically accepted means of paying for goods by the various merchants around the world.

I has been said that the production of Sovereigns stopped in 1933 due to the rise in the price of gold. The price of the gold was worth more than the face value of the coins. Due to this price increase 1933 was the first year in over a hundred that no sovereigns were produced throughout the whole empire.

Sovereign coins are also recognized worldwide and have been used as crisis money for many years. Allied World War II pilots had to carry a British Sovereign in their kit and still did even during the Desert Storm campaign. USA pilots and the British SAS also carried Sovereign coins as money in case they crash landed  in Iraq. British Sovereigns are portable, and offer an instantly recognisable currency worldwide.