First National Bank has announced it will be the first bank in South Africa to sell Krugerrands online.

The full range selling Price of Krugerrands ranging from 1/10, 1/4, 1/2, and full 1 ounce coins on the 15 February 2011 as follows

FNB has partnered with Rand Refinery Ltd to sell Krugerrands via its Online Share Investing platform.

Currently, Krugerrands are typically purchased at retail coin outlets presenting the purchaser with the security risk of not only transporting the coin, but then also finding a secure method of storing the coin at home.

FNB is offering ownership of physical gold with safe custody and a guaranteed buy back offer if the coin is held securely at Rand Refinery Ltd. Physical custody is also possible for those clients who prefer to hold their own coins.

"The launch of Krugerrands from FNB serves to enhance our Share Investing platform through the offer of an exciting asset class, physical gold. The offer, just like Share Investing platform, is designed to make investing in gold easy and hassle free." says Gusta Binikos, CEO of FNB Share Investing.

Customers will have a choice of trading Krugerrands through online and call centre channels. Some customers prefer to speak to a person when making investments and that’s why we have put the call centre facility in place. Investor education on gold and Krugerrands is offered by FNB on their website.

"The FNB Share Investing platform will benefit customers because they are buying through a safe, tried and trusted channel and a reputable supplier via our Internet banking platform. Gold is popular for its role as a safe haven asset. It is a stable, secure asset class, and a great hedge investment tool that provides good returns over long-term.

Today a one ounce Krugerrand coin is worth approximately R10 000. In 2001 the same coin will have cost you approximately R2 000. During 2010 the price of an ounce of gold grew by 29%. To this end, FNB hopes to give South Africans access to an asset that will help them diversify their portfolios and enables them to create wealth.

Krugerrands, made from 22 carat gold, are sought after across the world for their intrinsic value. There are over 46 million ounces of coins in circulation. Krugerrands are the most popular traded coin in the world today.

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