There is no mystique attached to buying gold, says Alan Demby, executive chairman of the South African Gold Coin Exchange (SAGCE).

He offers this view against the background of a soaring gold price and the widespread belief that only a small number of elite are able to benefit from the phenomenon.

“As a result of its long history as the world’s largest gold producer, South Africa is internationally regarded as synonymous with the yellow metal. By extension, therefore, South Africans should consider it as part of their legacy to own a piece of the gold action.”

But alas, says Demby, the vast majority of South Africans do not know how to go about doing so – a great pity, since they have lost out on much of the headlong gold price advance. “Even so, the gold bull market is far from over. There’s still a lot of money to be made by those buying gold right now.”

He strongly recommends that first-time investors in gold do so via the medium of Krugerrands, because they can be readily bought and sold anywhere in the world on a 24/7 basis. And containing as they do one ounce of gold, their value can be determined at any time anywhere.

“The SAGCE’s Scoin shops located throughout the country represent one of several convenient points of purchase, as does our 24/7 online facility.”

 Nor do prospective buyers need to run any security risk, since SAGCE offers credit card and safekeeping facilities.

Demby is adamant that the present offers a remarkable buying opportunity.

“For one thing, it is more than 27 years since gold has scaled these heights, suggesting that there is much pent-up global demand. In any market, new highs attract heightened demand. Bear in mind, too, that in real (1980 value) terms, the gold price equivalent is only in the region of $400.”

Observing that this is the spending spree season when people splash out on luxury items like watches, jewellery and cars, Demby points out that money channeled, rather, into gold coins is highly likely to appreciate over the years. In sharp contrast, he emphasises, luxury-related assets are unlikely to do so.

“There’s good shopping and bad shopping. I characterise buying gold coins right now as epitomising the former, given especially that a gold coin is a gift that keeps on giving.

“One man one ounce is the slogan that should determine what occupies pride of place in your shopping basket.”