IF you were going to buy bullion.... I said IF!
PutTogether
Posts: 2,141 ✭✭✭
What would you buy? Silver, Gold, or Platinum. and why?
Second, which form would you buy it in? Bars (what size) or coins (what size and what country?)
Second, which form would you buy it in? Bars (what size) or coins (what size and what country?)
0
Comments
that deals in bullion. Not to say that other forms aren't readily acceptable but it's just my preference.
I bought ten ounces of silver in bar form(englehard). I've also bought 15 of the American Silver Eagles, random dates and alittle over bullion value. For gold I purchased a a 1982 1/10 of an once maple leaf and a 2002 1/10 of an once american eagle, graded MS-69 by NGC.
-YN Currently Collecting & Researching Colonial World Coins, Especially Spanish Coins, With a Great Interest in WWII Militaria.
My Ebay!
<< <i>I'd probably buy gold in the form of US Eagles. I figure they are legal tender as well and would be readily acceptable just about anywhere
that deals in bullion. Not to say that other forms aren't readily acceptable but it's just my preference. >>
I'd probably do the same thing.
">"http://www.cashcrate.com/5663377"
It may be after 4Pm when you need to confirm a purchase and it may be in a form that you don't particularly care for but it will be stuff that the dealer is blowing out to his metals guy. He's merely helping you out by offering it to you. If you have a relationship with someone in the trade you should be able to get this kind of deal.
Rgrds
Tom
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
">"http://www.cashcrate.com/5663377"
<< <i>My uncle is a jewler, and he takes the dust/shavings from fixing rings, and sends it in to a company that turns it into pur gold bars. He has made a couple 10 oz. bars that he has sittin in his safe. >>
Thatsa lotta gold dust!
Buy amounts that can easily be moved. For example, dont go buy a hundred oz bar of silver...you wont enjoy it. Do not buy coins or other things with some value other than bullion because the negotiation factor increases considerably and that is not good for a seller in need, once again, an excellent opportunity for you to get bent over. It is best if you make a test buy by getting an oz or two, keeping it/them for a few months and then try and sell...if it works like you expect, then you can jump in the pool. Meanwhile the cash can be in a 90 day cd or something. Do not rush, this is real stuff and it is a no b.s. world when you do this!
Buy only Engelhard "wrapped" bars. Wrapped means that they are in a plastic sleeve that is sealed...buy em that way, sell em that way. They may want a premium for wrapped Englehards but they sell for a premium too...it is an international standard. Dont buy rounds or something goofy...wrapped bars only. Some people buy krugerands...they are pretty but they are kinda like pandas...you get that "added value" factor that may not work in your favor when push comes to shove. If the sht hits the fan, there aint gonna be any value added stuff. With gold, I would stick w/nothing greater than 10 oz. and 1 oz's would certainly be best because you can usually sell one or two to a guy but if you walk in with 10 oz, there aren't too many folks that keep that kind of cash around and it generates a 109 9 and that is never good. All bullion sales and buys should be in cash...work that out before you buy, make sure that is what the dealer wants to do or does. Once you buy, get a safe deposit box and keep the stuff there and don't talk about it...just keep it there and know you have a new car in a 3"x5" box.
There's more but that is most of what you need to know.
Not platinum because the buy/sell spread is way too high.
I would buy whatever form has the lowest buy/sell spread in pricing.
Silver can be expensive if you have to pay shipping.
(25-60%) you get far more leverage. And contrary to what was written above, these trade easily sight unseen with no dickering. If someone wants to dicker on the price of generic $20's....go elsewhere. The prices are well published and easily found. There are hundreds of large buyers nationwide. The MS63 through MS64 saints offer a nice leverage effect when the price moves up. They act like the gold futures of the coin market. They will far exceed the gold price increase as rare coin prices move up - a double edged sword.
If you want the safest investment possible then go with 100 oz silver bars or $50 US eagles. I feel the dealer spreads on these are often a touch pricey (up to 5-7%) If you are close by your local dealer when he has to dump inventory to his metals buyer to pay bills, that's when you can beat the spread. You can often do the same with the $20 Saints. Silver currently has the best potential for a "moon" shot but offers more risk too. All depends on your risk quotient.
roadrunner
JR
PS: I usually only buy .999 pure silver. Generic rounds usually bring right at spot silver price, and some of the better known silver manufacturers (i.e. Engelhard, Johnson Matthey, etc. tend to bring premiums over spot silver price (they also sell for over spot too). Don't overreach in buying, and enjoy the accumulation.
PPS: I’m still buying .999 silver as close to spot as possible (generic rounds included), so if you have any to sell, contact me. I’ll put my money where my mouth is.
"And contrary to what was written above, these trade easily sight unseen with no dickering. If someone wants to dicker...go elsewhere."
Silver is more a play on a strong economy and gold is better insurance againt calamity. Plat-
inum is to some degree an amalgam but you should learn a little about it before putting much
money in it. The form you buy metal is to some degree indicated by why you're buying it. As
insurance you'd want gold in a pure and easily divisable form. Silver as a long term play may
best be bought as the cheapest form available such as scrap, 35% nickels or 40% halfs.
It's not a bad idea to watch all metals prices since they determine so many things about coins.
I just add another roll each year, in twenty or thirty years maybe I'll send them in for grading.
David
<< <i>For example, dont go buy a hundred oz bar of silver...you wont enjoy it >>
I very much enjoyed my 100 oz silver bar...it was awesome to hold 7 pounds of silver at one time. I would buy in 100 oz. bars, but never 1000 oz., however, since, as that poster said, less is more liquid. SAEs are the most liquid form, but you pay a huge premium. On the contrary, 1000 oz. bars are the least liquid form, but you don't pay as large a premium (manufacturing cost, middle men, etc.). I would buy 100 oz. bars as a compromise between added cost over spot, and liquidity.
roadrunner
It is .23 oz of gold and went for $100. But it looks great and is over 100 years old.
It's not for me, but if I was going to play the bullion game straight up, that would be the way for me.
Also, the post about a reputable local coin/jewelry shop and getting an agreement of buy/sell spreads is a very good one ... especially if you're doing business with them as a collector ... as I would expect they will honor their agreement as much as they possibly can. Of course if you're comfortable there, you might consider what they make a market in, bullion wise.
“We are only their care-takers,” he posed, “if we take good care of them, then centuries from now they may still be here … ”
Todd - BHNC #242
*******************************************************************************
Need more $$$ for coins?