Had a bit of a search but didn't see a definitive answer. Suppose I had about $500 lying around doing nothing and I fancied turning it into a bit of gold just because. So I go to my favourite online broker who has a bunch of sovs around this price and also a bunch of Kangaroos and other similar gold coins. Why would I put my money on sovs rather than coins? Numismatic value only? These things are already a hundred years old so I don't think holding them an extra few years will see them skyrocket in price. I've had my trigger finger twitching because they do look a whole lot cooler than a kangaroo but where is the smart money for someone with no gold and a bit of cash? Forget the GSR or anything like that. Just the facts.
New coins look exactly the same.if I were a counterfeiter I'd counterfeit a new coin because an old coin has wear, scratches and once identified as counterfeit, and photos shown, would be obvious.
No real reason to buy sovs over pure gold coins. If you are not interested in the numismatic aspect then you might consider getting some gold bars instead, nice round numbers with bars, both purity and weights are stamped on them, not so with a sov. Might also be cheaper, less chance of any numismatic gain but as you say, old sovs have probably gone up about as much as they are going to unless you have one in perfect condition or you discover a rare variety. Occasionally someone might want to buy a Sov from the year they were born and they might pay a bit extra, but probably not.
Buying sovs from a dealer means they build in 10% for GST. Each sov contains .2354 oz of gold and so is worth about $374 if melted for the gold. Sovs are well recognised in many parts of the world so are a way to move wealth around to a certain extent. Sovs also can become a gateway into collecting coins. This is both a risk and a benefit.
Thanks guys. I really don't need another thing to collect. I can totally see the appeal, though, but I have to be strong. Pre-decimals have already done enough damage.