Several Factors Can Affect the Price of Dutch Gold Ducat
Question: I recently received a pamphlet from the Dutch Mint for the reissue of the double ducat, last issued in 1867. The price is $185. The coin is of .983 fine gold and weighs 6.988 grams. With gold at $404.75 per ounce, if you divide that price by 31.1 grams per ounce you get $13.014 per gram times the 6.988 grams the coin weighs. That equals $90.95 plus a $20 handling charge. Therefore, the coin shouldn’t cost more than $120. My question is: Does the rarity warrant the price they are charging? Is its numismatic value that high the moment it is struck?--A.G.K.
Answer: There are several factors involved in your question. The price of gold was quite low when you did your math, but you have the right idea. However, there are production and promotion costs that must be figured into the final price. Also, purchasers are speculating that such coins, which are essentially bullion pieces, will go up in value because of the low mintage. Sometimes they do and sometimes they don’t.
I’ve always maintained that if you like the coin and can afford it, buy it. If your intention is to make a profit, be very selective and cautious. Some modern issues do very well; others don’t. Bullion pieces will always have their intrinsic value. It’s the collector value that is unpredictable.
Coin News
Traditionally, the numismatic season kicks off each year with the FUN show in Orlando, Fla. This year’s show, today through Sunday, will feature a souvenir card (pictured) from the Bureau of Engraving and Printing. It is the third in the American Heritage series and depicts a replica of a $50 Treasury note, series of 1891. Only 25 pieces of this note are still reported as outstanding on Treasury books. Mail-order souvenir cards (No. 966) are $5.50; those postal cancelled (No. 967) are $5.75. Order from the Bureau of Engraving and Printing, Mail-Order Sales, Room 602-11A, 14th and C streets S.W., Washington, D.C. 20228.
Coin Calendar
Saturday and Sunday--Coins, stamps, baseball cards, jewelry and all matter of collectibles will be featured at the semi-annual Pasadena Pavilion Coin and Stamp Exposition. The show, at the Pasadena Center, 300 E. Green St., Pasadena, is sponsored by Century Coins, located in downtown Los Angeles. Hours are 10 a.m. to 7 p.m. Saturday, 10 a.m. to 5 p.m. Sunday. For information, telephone (213) 626-4027.
Sunday--The 26th Coin, Card and Hobby Show is being presented by the San Bernardino County Coin Club at the National Orange Show Grounds, 689 S. E St., San Bernardino. Hours are 9:30 a.m. to 5 p.m. A $1 donation includes a bronze medallion. It can also be ordered from Albert K. Hall, c/o the San Bernardino County Coin Club, P.O. Box 1028, Colton, Calif. 92324, telephone (714) 825-1835.