Mexican 50 pesos
Grade range: Uncirculated/Brilliant Uncirculated
Minted: 1921 to 1931
(Pre-1933 mintages only; no restrikes)
Actual Gold Content: 1.2057 troy ounce
Weighing in at 1.2057 troy ounces each, the Mexico 50 Pesos are among the largest gold coins ever struck, and are the heftiest pre-1933 era coin that an investor can still affordably obtain in the market today. In a time period when smaller gold coins were produced in far greater numbers given their utility in day-to-day commerce, large coins were comparatively scarce from the outset. But past that, authentic pre-1933 dated Mexico 50 Pesos (not 1945-1947 re-strikes) are exceptionally hard to source (see scarcity commentary below), making any availability in high grade Uncirculated/Brilliant Uncirculated condition a notable acquisition opportunity for our clientele.
Mexico 50 Pesos gold coins afford gold owners the opportunity to (most importantly) efficiently accumulate gold, but also secure history, scarcity and distinction within their holdings for minimal cost above modern bullion alternatives. These coins are typically offered 5%+ cheaper on a per ounce basis than uncirculated U.S. $20 gold pieces, and offered at competitive rates to circulated versions of the most common historic era fractional coinage.
Commentary on Scarcity: During it's brief mintage from 1921 to 1931, a total of just under 5 million total Mexico 50 Pesos coins were struck, compared to nearly 50 million U.S. $20 St. Gaudens over the same period. If you include the total mintage of $20 gold pieces across their eighty year production back to 1850, the total mintage of Mexico 50 pesos is a mere 3% that of the $20 Liberty and St. Gaudens combined. And just like the U.S. coinage, far fewer Mexico 50 Pesos than were struck have actually survived into the modern era. A great many were melted and re-struck in the Banco de Mexico's mid-1940's reproduction of the coin (coins which are to this day common bullion items that are readily accessible and dated 1945-47). As such, pre-1933 groupings rarely surface, are often the result of painstaking sorting out of large restrike tranches, and are typically extremely limited in availability.
Historical Note: The 20th century is rife with examples of financial breakdown and Mexico's rendezvous with economic disaster in 1994 is among the most instructive. The crisis began, as happens so often in these affairs, with a surprise announcement by Mexico's government that the currency had been devalued. As soon as it was made public, depositors lined up at the banks to retrieve their money and inundated brokerages with sell orders. A general panic gripped the nation almost immediately. The inflation rate went to 50% overnight, and interest rates soared to 70%.
Only a proper diversification into gold well before the crisis emerged properly insulated savers from the devaluation's pervasive reach into every area of the financial system. In many cases, those who managed to diversify did so in the physical gold former-coinage of the country. Immediately after the devaluation, the price of gold went from 1200 pesos per ounce to 2500 pesos, and from there it exceeded 3000 pesos in 1995, living up to its reputation as a safe-haven for investors.
In 1910 Mexico celebrated the Centennial of the beginning of its War of Independence with Spain. To commemorate the event, a giant column was erected in the middle of Mexico City with a statue of El Angel de la Independencia (The Angel of Independence), sitting atop. This 6.7-meter statue, constructed of Bronze and Gold, represents the "Winged Victory," a Greek symbol for the goddess Nike (Victory). In her right hand the Angel holds a laurel crown, symbolizing Victory, while in her left she holds a broken chain, symbolizing Freedom.