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POLL : Should I trade my $1,000 bag of 90% for 13 1 ounce AGES?

fivecentsfivecents Posts: 11,207 ✭✭✭✭✭
They are walking halves.

Comments

  • bronco2078bronco2078 Posts: 10,211 ✭✭✭✭✭


    I vote no, I might trade half a bag for sovereigns or 20 franc coins though.image

  • jmski52jmski52 Posts: 22,820 ✭✭✭✭✭
    I don't keep track of which way the g/s ratio is headed, but I would first take a look at your portfolio balance before making a decision.

    My sense is that silver is going to start to shine at some point soon, but I've also been wrong before.image
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  • derrybderryb Posts: 36,790 ✭✭✭✭✭
    current melt on the halves is 12.48 x 2000 = $24,960.

    Paying 24,960 for 13 AGEs comes to 1,920 per AGE.

    Tulving will pay you 24,538 for your halves and sell you 40 quarter oz. AGEs still in the mint tube for 18,616.50. That gives you 10 oz of AGE quarter ouncers @ 1,861.65 per oz with 5,921 cash in your pocket.

    Edited to add: I'm with jmski, maybe look at converting to ASEs or doing the above and putting the 5,921 into ASEs. 1,920 is a bit pricey in today's market for raw AGE one ouncers.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • fivecentsfivecents Posts: 11,207 ✭✭✭✭✭


    << <i>Tulving will pay you 24,538 for your halves and sell you 40 quarter oz. AGEs still in the mint tube for 18,616.50. That gives you 10 oz of AGE quarter ouncers @ 1,861.65 per oz with 5,921 cash in your pocket. >>


    derryb...I was figuring Apmex BUY price on a $1,000 90% silver is $24,417.25. Apmex SELL price is $1,858.79 for 1 ounce AGEs. That comes out to 13.14 1 ounce AGEs. A bit of a haircut, but I don't mind paying a premium for AGEs. I could get a better deal with 1 ounce Krugs....but I hate everything about Krugs.
  • fivecentsfivecents Posts: 11,207 ✭✭✭✭✭
    BTW...I am not trading with Apmex. I was just using that as an example.
  • derrybderryb Posts: 36,790 ✭✭✭✭✭
    If you're gonna trade, look at tulving.com and do the math. Stick with eagles, my current preference is the silver ones.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • DrBusterDrBuster Posts: 5,378 ✭✭✭✭✭
    I'd do the trade on a day when somebody has one of those $29-39 over/oz deals going on something gold, and silver is closer to $40 if you're itchy.
  • piecesofmepiecesofme Posts: 6,669 ✭✭✭
    I voted a big hell no!

    You can do WAY more with $100 face of 90% halves than with just 13 coins. Think about when it comes time to sell the 13 coins...you only have 13 chances to negotiate a deal. With the 90% you stand far more chances of doing smaller deals to to make more of a profit in the end.
    It's not all just about dollars and cents either, it's about how many opportunities do you have to barter and profit. Take it from someone who's gone down that road and tried it. 90% is by far the best thing to own when you look at it from a liquidation perspective.
    Screw the taking up space thing too, just find more damn room to store/own a far better bartering tool.
    To forgive is to free a prisoner, and to discover that prisoner was you.
  • pursuitoflibertypursuitofliberty Posts: 6,909 ✭✭✭✭✭
    but I would first take a look at your portfolio balance before making a decision.

    .. because what I think what jmski poses is correct, I can't really answer.

    The first question I would have would be why are you considering the trade? Do you see Gold outperforming Silver (GSR going up)? You want to convert for space, ease of mobility? You want to spread the portfolio around, as this is just part of you silver stack?



    That said, here's a few thoughts from my cup of coffee;

    I see the GSR at a mid-point, but that's a WAG; depending on which glasses I wear, it could go either way from here. I have notes that tell me to look to favor gold when the GSR is at or below 38, and favor silver when the GSR is at or above 62. That's just me. We are at about 52 today.

    For me, since I am fairly happy with my ratio, if I had a bag of halves (which would affect my ratio), I would do a partial trade, considering to "sell" part of the bag and get AGE's.

    Unlike derryb, I wouldn't convert the silver into ASE's, I'd keep it as is. Rolls of Walkers are well accepted, and I wouldn't see the need to convert and take the silver to silver haircut.

    Like derryb has said in the past and eludes to with his roll of 1/4 oz scenario, and that piecesofme also eludes to in his smaller sizes is better prose; I'd consider fractional AGE's on that trade.


    Okay, so, all that said;

    A half bag of walkers should be worth about 12.K, which should then get you about 18-1/4's and 18-1/10's, or 6.3oz of gold (very close to half of what you could get with 1oz pieces in your original post). That's what I would be looking at.



    For whatever it's worth, that's my cup of Italian Roast with a spot of heavy cream image



    “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
  • WingsruleWingsrule Posts: 3,010 ✭✭✭✭
    According to my calcs, looks to be too much of a premium as opposed to an outright buy/sell. I voted no.
  • gsa1fangsa1fan Posts: 5,566 ✭✭✭


    << <i>According to my calcs, looks to be too much of a premium as opposed to an outright buy/sell. I voted no. >>



    Agree 100% 13.75 to 14 oz of gold is more of a trade to meimage
    Avid collector of GSA's.
  • BaleyBaley Posts: 22,660 ✭✭✭✭✭
  • bronco2078bronco2078 Posts: 10,211 ✭✭✭✭✭


    Are we talking about a taxable event here or a horrific boat accident between 2 stackers? image


    A bag of silver that was bought at 45$ an ounce might be a good candidate to swap for gold eagles at this price level assuming you wanted to offset something on your taxes.
  • TwoSides2aCoinTwoSides2aCoin Posts: 44,285 ✭✭✭✭✭
    No, hold your silver. If you really want gold, buy gold using your silver as collateral. image
  • piecesofmepiecesofme Posts: 6,669 ✭✭✭
    Silver is and always be be the best "break glass in case of emergency" metal to own. Far easier to liquidate for the simple reason most people can afford it. People may want to buy gold, but if it's not in their budget, they resort to buying silver. There you go, that's it in a nutshell.
    To forgive is to free a prisoner, and to discover that prisoner was you.
  • johnny9434johnny9434 Posts: 28,303 ✭✭✭✭✭
    no i wouldnt. if it were something that had a better bite to it ( better deal ) then yes. till then no
  • fivecentsfivecents Posts: 11,207 ✭✭✭✭✭
    Thanks for all the great advice guys! I am going to sit tight on the silver and not do the trade. If the GSR turns in my favor I might do it.

  • jmski52jmski52 Posts: 22,820 ✭✭✭✭✭
    I'm just getting caught up with this thread, and I'd definitely agree with pursuitofliberty that it doesn't make sense to trade one type of fungible silver for another type of fungible silver and take a haircut in the process. I just wouldn't do that.

    I like silver for different reasons than why I like gold. I like the divisibility of silver, but I also like the ability of gold to hold larger chunks of value. It isn't every day that you need to plunk down $20K for something, but when you do, it's still a little more convenient to trade for it in gold than in silver. They both have their unique benefits.

    Silver is more volatile. Gold is more steady. Depending on my situation, I might like one or the other for one reason or another. I like them both alot more than dollars, per se'.image
    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • Timbuk3Timbuk3 Posts: 11,658 ✭✭✭✭✭
    No way !!!
    Timbuk3
  • roadrunnerroadrunner Posts: 28,303 ✭✭✭✭✭
    I also would keep the 90% as the odds of the GSR heading to the 40's vs. the 60's seems a lot more likely today. Maybe revisit this trade in late Nov/early Dec.
    If this bag of 90% is all of your silver stash I definitely wouldn't do it. Those halves are far more divisible/barterable in a crisis situation that 1 oz AGE's. One should have
    something held back that's of a smaller "denomination." While 1/10th AGE's are a good idea too, they aren't a substitute for 90% dimes, quarters, and halves.
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
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