What kind of silver would you choose at these prices?

BigE

Swiss american 1 oz quarter size jobs that are thick for 20.00
Englehard 1 oz bars for 18.60
Englehard prospector 1oz rounds for 18.60
Academy 10 oz bar for 17.50 an ounce

What do you think--------BigE

Robb

For solely investing and not collecting I would go with the Academy 10 oz bar for 17.50 an ounce.

keepdachange

I would go Engelhard!

gsa1fan

Engelhard a bunch at those prices

bstat1020

Engelhard!!

BigE

Englehard bars or rounds? Does'nt matter-----BigE

BigE

<< <i>For solely investing and not collecting I would go with the Academy 10 oz bar for 17.50 an ounce. >>



Robb, thats what I keep thinking about, when it comes time to sell will it be fairly easy to get the premium back, or will most people not care?------BigE

gecko109

<< <i>

<< <i>For solely investing and not collecting I would go with the Academy 10 oz bar for 17.50 an ounce. >>



Robb, thats what I keep thinking about, when it comes time to sell will it be fairly easy to get the premium back, or will most people not care?------BigE >>




You wont get that "premium" back from any dealer. You will only recoup those extra dollars if selling directly to collectors. With ebay's ever rising fees, and the new IRS policy, that may not be such an attractive venue in a couple years. Also, I expect silver to rise in price rapidly during the next decade. This will also erode any premiums you may get. For example, lets say silver is $20 right now. You can buy 100 oz of Engelhard at $2 over melt. That would be a expenditure of $2200. Or you can buy 100 oz of Academy at $1 over melt, for a total of $2100. Now lets fast forward 10 years:

Silver hits $100/oz!

Current premiums on Engelhard are now $4.00 over melt, and Academy is now $2.00 over melt. (Historically premiums drop as metals prices rise, and visa versa)

The 100oz Engelhard deal is now "worth" $10,400...a net gain of $8200....This is a 472% increase in your initial investment.
The 100oz Academy deal is now "worth" $10,200...a net gain of $8100......This is a 486% increase in your initial investment.

Notice that both companies premiums increased by double. However, your profit will be higher with the Academy bars. When you think of it like this, AND factor in the limited outlets to sell Engelhard at a premium, its seems to be a no brainer to me.

1jester

I'd get the Englehard rounds or bars. They're super cheap and at one ounce each, will be easier to unload when silver reaches $1000/oz soon.



PS: I'm constantly amazed at people in the States who cry over paying 50 cents over spot. That premium is so insignificant it is like it didn't exist. In Europe, the real, true market price of silver is at least $25/oz. People who can buy at only $23/oz should consider themselves extremely lucky. I laugh and cry when I see people post their complaints of paying a few cents over spot, and decrying a couple dollars over spot as too high. You don't know how lucky you've got it. And that might not last much longer, but be that as it may.

Ciccio

<< <i>
PS: I'm constantly amazed at people in the States who cry over paying 50 cents over spot. That premium is so insignificant it is like it didn't exist. In Europe, the real, true market price of silver is at least $25/oz. People who can buy at only $23/oz should consider themselves extremely lucky. I laugh and cry when I see people post their complaints of paying a few cents over spot, and decrying a couple dollars over spot as too high. You don't know how lucky you've got it. And that might not last much longer, but be that as it may. >>



That's so true! I just got back from Italy and found silver so expensive. Gold is a little better.
I worked a small deal with a B&M (see pics in the MetalPorn thread) and got some bars and rounds at a fair price.
He also offered some Silver Eagles/Maple Leafs for 22 euros each!
Last time in December I paid double the spot (couldn't leave Italy with no silver)! It has to be said that I dealt with his wife )

OPA

Does the Euro Zone charge a VAT for Silver bullion? If so, that could be the reason for the higher prices.

jmski52

I'd buy ASEs and be done with it!

1jester

<< <i>Does the Euro Zone charge a VAT for Silver bullion? If so, that could be the reason for the higher prices. >>



Yes, but it varies from country to country, usually around 20% or more. Some countries have a lower 7% VAT on coins. So yes, this definitely increases the prices, but I think you'll find that increased bureaucracy across the board lowers competition and allows higher prices to reign as opposed to in the US.