Thinking about selling. Opinions wanted.
Downtown1974
Posts: 6,796 ✭✭✭✭✭
I have been kicking around the idea of selling approx. 450 - 500 ounces of silver in bars and rounds, to fund the purchase of a monster box of ASEs. I have been thinking of keeping just 500 oz. of silver in my stack, and then add more fractional gold eagles to my portfolio.
I know having just a monster box would be a "boring" stack, but it just sits in a safe anyways. What do you guys think? Should I keep my variety or go the way of the green box?
MY GOLD TYPE SET https://pcgs.com/setregistry/type-sets/complete-type-sets/gold-type-set-12-piece-circulation-strikes-1839-1933/publishedset/321940
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depends upon the bars and rounds
some are more collectible and might be better to hold. if they are generics with no collector premium, then it's up to you.
What is the downside to variety? Might have an upside down the road as it's not all common ASE's of the same date.
I think its a good idea but for an unrelated reason. The simplicity of you stack will make it much easier fr your family to sell your "stack" and not take a bath on trying to determine and capture collectible value on items they don't have a clue about.
Loves me some shiny!
selling 500 oz. of silver to buy 500 oz. of silver? its crazy talk don't do it
interesting point
buy low, sell high. Doing both at the same time? Not a good idea, especially while the premiums on what you are selling are low and the premiums on what you are buying are high. If anything, convert the silver to AGEs and buy the ASEs at another time. Me? I'd keep adding to the silver I already had or I'd be sitting pat.
"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
I would wait till the GSR ratio is in your favor and then trade them for Gold while accumulating Silver Eagles along the way.
Great points. My reason for wanting the monster box is exactly what Carew4me stated. But I do understand what everyone else said. i know it sounds crazy bronco, I'm just thinking down the road....is it going to be easier for me to sell a 100 oz. bar or 5 tubes of ASEs?
Great advice here. Im leaning towards the last line of your post.
MY GOLD TYPE SET https://pcgs.com/setregistry/type-sets/complete-type-sets/gold-type-set-12-piece-circulation-strikes-1839-1933/publishedset/321940
It's going to cost you $1500 + to exchange one type of silver for another type in hopes of avoiding a $1000 loss in the future
While down from an eight year high, GSR still favors buying silver over gold. I don't forsee that changing for quite a while and do expect it to regain strength in favor of silver.
"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
This is a 1st World problem if there ever was one lol.
First, I would say to realize how blessed you are to be in this position, if you haven't already.
From there, I am biased because I view it thru the eyes of a collector. Personally I would rather have a 1 oz bar that has a proven value of $200 rather than maybe 10 ASE's. I can't stand ASE's actually, the premium on them is crazy over-rated for what they are. Think of the mintage on those compared to a 1 oz bar that has a proven, known mintage of 10.
Same goes for collectable Engelhards...I'd rather have a 5 oz bar that has a proven value of $250 than 12 ASE's.
One thing to consider also is what is easier to sell when that times comes. I acknowledge that the ASE's have a wider audience and they can be sold quicker probably vs. a collectable item that you HAVE to get $X on it. All jmho.
Pray over the direction you are "thinking" of going too. Sorry to bring that into it, but for such a major change in your investment approach I'd recommend doing so.
5- 100 oz bars. Put in safe. Forget about. Pull out in 25 years.
Knowledge is the enemy of fear
Yep, selling bars and rounds for spot or less and buying Eagles for 3 over is a good trade for a dealer. For you, not so good.
Got quoins?
Bars or rounds with collectible value are a great investment. ASE's or AGE's are great for liquidity, especially in times of trouble. Premiums on collectibles will disappear in troubled times. Cheers, RickO
Good collector perspective. Any buyer of PMs should first determine if he/she is a stacker or a collector (or both). Each perspective requires a different mindset and different considerations. FWIW, I'm a silver stacker and both a stacker and collector with gold. I prefer the American Eagles for all the obvious reasons. My only exceptions are silver kangaroos and RCM 10 oz. silver bars.
"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
Thanks for the insightful replies. I'm gonna stay the course and just keep my silver stack as is, and start focusing on gold. I have 10 tubes of ASEs already, so I'll be content with those. As the old saying goes- variety is the spice of life.
MY GOLD TYPE SET https://pcgs.com/setregistry/type-sets/complete-type-sets/gold-type-set-12-piece-circulation-strikes-1839-1933/publishedset/321940
I'd combine some of the ideas already mentioned. I like the idea of a standard, easy to price stack of ASEs.
You won't appreciate the ease, or difficulty of liquidating 500 oz of oddball bars until you actually do it. However, Bronco is right about the futility of making a losing trade for the sake of an exchange. Better to sell when you agree with the selling price. That is your main leverage at this time, the stuff you already have. Don't just give it away.
Everyone has a price point and an individual set of financial circumstances. Wait for your price point, whether it's on the buy side or the sell side. But don't make a splash in both directions at the same time unless you are willing to "pay the freight" in both directions (and you will).
My advice is to save enough cash to buy a monster box outright when the price is right. In the meantime, if the price goes the other way and the price is right, that's the time to consider selling the bars. You may end up with double the amount of silver, or no silver at all - but you will have made a decision based on a price that you believe in.
I've been doing exactly what you are trying to accomplish. I've been slowly selling into a difficult market so that I can buy more of what I want. The only difference is that I've been doing it slowly so that I can pull back at any time without changing my overall position.
There's never any guarantee, so just become a good manager.
I knew it would happen.
Doesn't matter what type of silver you accumulate.
At these prices, I'd strongly recommend turning your 500 oz stash into a 5000 oz stash.
"“Those who sacrifice liberty for security/safety deserve neither.“(Benjamin Franklin)
"I only golf on days that end in 'Y'" (DE59)
True story there.
Don't sell unless you really need the money. If you want ASEs, perhaps start buying ASEs and leave the silver you have now alone.
Many members on this forum that now it cannot fit in my signature. Please ask for entire list.
Lol??? Is this a derryb impersonator???
Doesn't sound like insurance to me...
What happened to insurance???
Now you is a staka and a bi-stacka to boot...
Awesome... oh and a bi-stacka with benefits...
Since I am in the "any" category, I will obviously dismiss all your requirements, as the synopsis of your work is Mackay like...
welcome back. I was beginning to think you finally outdid yourself. lol
Unfortunately the OP is looking for opinion on his topic of discussion. As usual you only have opinion about forum members. Maybe our host will add a forum member forum just for you.
"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
Oh... then he should sell...
You'll be bored. Sounds like you want PMs for several reasons like a lot of us. Collecting, having, backup, hedging, fun, hobby, semi-liquid cash, etc.
Sell some you don't like as much and buy some sealed tube ASEs as you go to satisfy that desire, selling off at a good time, and buying during the good times.
Then on the other side if you see somethings you like and want get them. The hobby part doesn't have to be thought of as a profit maker but a collector enjoying.
I would keep what you have and just simply add Eagles from this point.
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Great post!
Haha...being bored is what prompted my idea of converting. I do get bored easily with certain things. Like POM said...it's a good problem to have. I'm sure I would have sellers remorse on some of my bullion. I'm just going to keep my stack and add what I like as I go along here.
My oldest daughter is getting married next May, so I'm adding at a slower pace for now.
MY GOLD TYPE SET https://pcgs.com/setregistry/type-sets/complete-type-sets/gold-type-set-12-piece-circulation-strikes-1839-1933/publishedset/321940
How so? He should be able to get at least $1 over for his bars and he could buy a MB of 2016 or 2017 ASEs for $2.15 over delivered. When you go to sell the ASEs, if you want to get the best prices [in a non-retail situation] then a MB is the way to go.
Who is buying bars for 1$ over other than as a private sale? Most of what I'm seeing is $1 back of spot for generic rounds or bars if you want cash .
I wasn't trying to suggest that APMEX or any bullion house will give you $1 over for bars. With a little patience, one should be able to sell one's bars at prices competitive with the JMBullions, Provdents, etc. If you want a fast sale for cash, you're probably not gonna get $1 over from those places. I'd add that selling at near retail pricing can be a daunting task; still you should be able to do better than selling to a wholesaler/dealer.
I'm not saying a monster box isn't liquid only that it makes no sense to swap existing silver for one . I just don't like the idea of churning in and out to get the perfect bullion. If you decide you didn't pick exactly right then change what you buy based on experience and sit on the stuff you have until it makes sense to sell it anyway. There is no such thing as the perfect trade (with no money left on the table) .
Never lose money just to prove a point or achieve some ideal position , the world and those in it will always manage to pull the rug out from under you to some degree no matter how much planning you do.
I've lost money on Eagles and I've made a killing on war nickles and been surprised by both .
I'm not advocating trading or whatever at all costs. For all we know if he sold his bars and rounds at fiddy cents over, he'd be making a profit. He hasn't said what his basis in those items is. 450 silver rounds will never have the same value as 450 ASEs which it seems like that people are thinking that they will.
buy the dips with ASEs, sell the highs with you unwanted silver. That should cover your ASE premiums.
"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
I still think it's not a bad time to buy.
I knew it would happen.
Add to, don't take substitutions.
I believe when the time to sell comes, you will sell a monster box faster and much easier. I also believe that premiums for collectible bars will slowly fade as the spot price goes up. At $50 per ounce I doubt you would see a premium for anything in fact you may see discounted buy prices on a mixed group of bars versus a monster box. I think if you can collect good premiums now when selling your assortment, you will be glad you did if they day of $50 silver ever comes around.
Wrong...
See above post...
Actually completely wrong... wrong as wrong could be... just wrong...
care to explain why this is wrong thinking?
Cause others thinking is meaningless to ones who have lived it...