Gold Coins Lose Shine in 21st Century Gold Rush


LONDON, August 4 /PRNewswire/ --     Gold coins "stuck in the Seventies" claims gold-trading website
BullionVault.com (http://www.bullionvault.com) as private investment in gold
surges.

Gold is considered a 'safe' and therefore popular investment in times of
economic turmoil. The UK's currently turbulent economic climate has caused a
surge in private investment in gold.

The economic downturn of the 1970s effected a similar 'gold rush' -
specifically in gold coin investments. They remain a popular option for new
gold investors today. However, increasing numbers of private British
investors prefer to buy and sell gold online through BullionVault, which is
more flexible, more secure and significantly less expensive.

"I was at the point of ordering some Krugerrands (South African gold
Coins) to put in a safe-deposit box," says Mark Pickstone, a Manchester-based
IT Consultant who discovered the benefits of BullionVault in 2006. "At
BullionVault I found the sign-up and deposit process very straightforward and
the process of buying and selling very easy."

Initially Mr Pickstone bought and sold gold through BullionVault to make
profit as the market value of gold surged. He currently uses BullionVault for
investment purposes.

"I have recently started reinvesting in gold, mainly triggered by the
poor performance of ISAs over the last 12 months," he continues. "I have set
up a direct payment from my bank to invest in gold on BullionVault every
month."

BullionVault enables anyone to invest as little or as much as they like
in professional market gold bullion bars and hold them - securely - in their
choice of vaults in either London, Zurich or New York.

Now looking after more than 8 tonnes of investment-grade gold,
BullionVault lets investors buy and sell gold instantly - 24 hours a day, 7
days a week. The cost savings compared to gold coins are considerable and is
also vastly more secure in BullionVault's professional accredited vaults.

Cutting out the middleman and dramatically undercutting the retail
market, the cost to buy and then sell gold at BullionVault regularly runs
below 2% for even the smallest investment. Total commission fees on buying
and selling gold coins is likely to cost upwards of 7.5%.

"The last bull market in gold - when it rose 19 times over for British
investors - came in the 1970s," says BullionVault Head of Research, Adrian
Ash. "But that doesn't mean you need to pay Seventies-style fees today or put
up with pre-digital delays and hassle."

So far this decade gold has risen two-and-a-half times in terms of Pounds
Sterling, hitting a record of GBP512 per ounce earlier this year.

"Three decades ago, gold coins were virtually the only option for retail
investors," continues Ash. "Today, the internet makes gold investment
infinitely more convenient and much cheaper."

Editors' notes

BullionVault enables people all over the world to own and trade
professional market gold. The stock of gold owned by BullionVault clients is
now more than 8 tonnes: more than twice what most central banks own,
including Canada for example. BullionVault stock is doubling every twelve
months. The site was launched in 2005 and now has more than 52,000 registered
users worldwide with collective BullionVault client holdings worth more than
US$270m (GBP135m). BullionVault.com is now available in English, German,
French and Italian.

© PR Newswire Association LLC.

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