Investing questions

Newbiedoobiedoo

Good morning guys,

2 years ago I got your thoughts on how to invest $ I had to help diversify my investments. I'm a retired, no-debt newbie. I then purchased 1 AEG, 1 buff and 10 AES. 😁 Looking at today's prices I wish I would have continued to invest more but you know what they say about hindsight. 🤔

So - in thinking about the current prices what do you guys think? I'm not a big investor, this is more of a hedge and learning experience. If you had $ to buy metal right now what would you buy?

I'm also going to buy 1/10 oz as a birthday present for a 10 year old (each child will get one when they turn 10). One is almost 10 but his brothers are 8 and 6. Should I buy all 3 now? I realize that 1/10 oz isn't much, and premiums are higher, but I just want them to get a start. One of their grandfathers gives them a silver oz (different types of coins) for birthdays.

Thoughts?

Kelly

rte592

I'd start looking now.
Find a deal on a coin from the same year they were born.
I don't see the prices going down.

percyb

I collect for fun, not profit though some coins have appreciated in value over time, mostly silver dollars- the Peace and ASE uncirculated, burnished, and proof, and gold coins. I have tried to avoid paying high premiums though find that difficult in todays market.
My grandkids at 9 and 12 show interest in any coins and currency I show them for about 30 seconds.
I invest in stock funds for the kids education and beyond.

derryb

continue buying as hedge, not as an investment.

Buy lowest premium you can while still buy widely known products (ease of resale is important). The secret for now (since certain premiums such as American Eagles and RCM 10 oz. silver bars have exploded) is to try to anticipate what products buyers who have been outpriced on high premiums goods will turn to next. Those are the products to next see premiums skyrocketing. If you are successful at doing this, your "hedge" could also become a good investment.

Many here were smart to choose American Eagles and RCM bars back when their premiums were not so much different than other products. When selling they are seeing the best returns.

My favorite source for bullion deals most of the time is Bullion Exchanges.

My favorite site for price comparisons features live pricing updates.

meluaufeet

Consider your local LCS and trading in those 10 ASE and using it to help purchase your 1/10 oz gold. Or, check out the BST...

blitzdude

Come back in 10 years, the gutter price will be the same or lower. Some will STILL be telling you bouts the big splosion that's right round the corner just like 10 years ago today. SMH! RGDS!!!

ricko

Stick with gold, and buy the best deals you can find. Check @derryb's recommendations. Cheers, RickO

percyb

@blitzdude said:
Come back in 10 years, the gutter price will be the same or lower. Some will STILL be telling you bouts the big splosion that's right round the corner just like 10 years ago today. SMH! RGDS!!!

A good reminder not to pay high premiums for silver and gold.

tincup

In today's environment... gold seems to be a wiser choice (in MY opinion anyways). But depending on budget, etc.,. would not rule out silver; just be prepared for more of a roller coaster ride. and as mentioned..,. keep an eye on the premium when deciding what to buy. Good luck!

percyb

@ricko said:
Stick with gold, and buy the best deals you can find. Check @derryb's recommendations. Cheers, RickO

I might add that collecting by type is a good way to start, be it gold or silver while, as RickO well notes, finding the best deals, and practice patience because there are always more of the same type coins offered repeatedly.

Kentuckyguy

I think you have a good idea about buying more gold and silver. It wont be cheaper in 20 years.

Newbiedoobiedoo

Thanks everyone! Some great advice and thoughts. You've given me some things to think about. As always I never invest (hedge) more than I can afford to lose. Good idea about buying a coin from the year they were born. Thanks for the links also Derryb!

Prices are hot right now but not as hot as the temp here in the PNW! Thankfully we put in a heat pump when we built our home. Most of the people in western Washington state don't have AC.
Thanks again! Kelly (newbie)

jmski52

It's anybody's guess which direction silver is going right now, and how that will affect premiums.

But, one thing I can say is that over time, especially the next few years - silver and gold may very well become more "important" as monetary metals. Several states are removing precious metals from state income tax, I think that a couple are voting to make precious metals legal tender, and several states are considering depositories.

In other words, I think that silver and gold will do well on a relative basis, better than most other asset classes - probably for the next 3 to 4 years, and by then a trend should be apparent.

OTOH, a lot can happen in 3 to 4 years that could change the whole landscape with money and currency. That's why good information is critical.

derryb

gold to silver ratio shows silver a screaming buy.

Note that gold is at or near all time highs and that silver is only half way there. To me the silver buy is a much better choice.

rte592

When someone hands you change and you say thanks for the cheap gutter metal.
The blank stare is still apparent.

1964 quarter if you missed it.

blitzdude

@rte592 said:
When someone hands you change and you say thanks for the cheap gutter metal.
The blank stare is still apparent.

1964 quarter if you missed it.

Yep it happens. Occasionally I find gutter in the Coinstar, out messing around with the metal detector etc. THKS!