What would you rather invest in?

COINS MAKE CENTS · August 2, 2019 5:52PM

If you could only invest in one type of precious metal what would you choose. Me and other dealers are having a friendly debate so figured I would help settle it with others opinions

jmlanzaf · August 2, 2019 5:55PM

You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

ChrisH821 · August 2, 2019 6:11PM

What, no tulip bulb option?

david3142 · August 2, 2019 6:12PM

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Yield is not necessary:

Invest:

“Expend money with the expectation of achieving a profit or material result by putting it into financial schemes, shares, or property”.

Lots of asset classes have no yield. Many stocks don’t pay a dividend, for example.

Coinstartled · August 2, 2019 6:13PM

Platinum

DIMEMAN · August 2, 2019 6:17PM

None of those. Not near enough choices.

Coinstartled · August 2, 2019 6:23PM

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

BillDugan1959 · August 2, 2019 6:26PM

It really depends on what kind of future that you foresee.

There are a lot of numismatic coins that I happen to like, but I don't see a future where they do well. When I buy one, I chalk it up to "consumption", not investment.

jmlanzaf · August 2, 2019 6:28PM

@david3142 said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Yield is not necessary:

Invest:

“Expend money with the expectation of achieving a profit or material result by putting it into financial schemes, shares, or property”.

Lots of asset classes have no yield. Many stocks don’t pay a dividend, for example.

You are being too literal with "yield". Gold doesn't grow or compound, either in principle or "dividend". Although, if you are a player, you could lease it. But even gold bugs will refer to gold as "insurance" more than an "investment".

It's fine as a short term play, but it is generally a lousy long term play. That's all I'm saying.

jmlanzaf · August 2, 2019 6:30PM

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Would you like the longer treatise on this? I thought the short version was probably good enough.

Pick almost any 30 year window in history and gold was a lousy "investment". You can make a lot of money on metals, but not by buying and holding - which is how I would interpret "invest". It's for trading not hoarding. Or it's "insurance" as some people view it. It is just generally a lousy long-term investment.

jmlanzaf · August 2, 2019 6:32PM

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Perhaps you'd like someone else's treatise. I guess they make stuff up as they go also.

https://money.usnews.com/investing/articles/2018-07-10/5-reasons-not-to-invest-in-gold

david3142 · August 2, 2019 7:24PM

If something is a lousy long-term investment, it is still an investment. This is true on its face (it is lousy, long-term, and an investment). I don't argue that there are better investments than gold for very long holding periods but time horizon is not part of the definition. You can invest in something for a month or year. You stated that gold doesn't compound or yield. That is correct. Neither is necessary for an investment. One simply has to anticipate that demand tomorrow will be higher than demand today. Some people call this speculation, which is fine, too. Generally the distinction between the two is the degree of risk involved, not the expected return, but it's clearly fuzzy. They are not mutually exclusive.

As for the above article, if there are reasons not to do something, it is clearly possible to do that thing. Therefore, per your own link, one can invest in gold.

blitzdude · August 2, 2019 7:29PM

pre33 gold at spot.

bidask · August 2, 2019 8:09PM

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Would you like the longer treatise on this? I thought the short version was probably good enough.

Pick almost any 30 year window in history and gold was a lousy "investment". You can make a lot of money on metals, but not by buying and holding - which is how I would interpret "invest". It's for trading not hoarding. Or it's "insurance" as some people view it. It is just generally a lousy long-term investment.

If you treated your stock holdings that way (long term ) you would not have lost as you mentioned in another post .

jmlanzaf · August 2, 2019 10:54PM

@bidask said:

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Would you like the longer treatise on this? I thought the short version was probably good enough.

Pick almost any 30 year window in history and gold was a lousy "investment". You can make a lot of money on metals, but not by buying and holding - which is how I would interpret "invest". It's for trading not hoarding. Or it's "insurance" as some people view it. It is just generally a lousy long-term investment.

If you treated your stock holdings that way (long term ) you would not have lost as you mentioned in another post .

This is true. The "investment grade" stocks were never the issue. The speculative/growth stocks were the problem. Gold would sort of fit into that category. It has to "grow" for you to profit. But it is almost the reverse of a growth stock: stodgy old hunk of metal, not brand new technology.

[Thanks for rubbing salt in my stock loss wound. ]

jmlanzaf · August 2, 2019 10:56PM

@david3142 said:
If something is a lousy long-term investment, it is still an investment. This is true on its face (it is lousy, long-term, and an investment). I don't argue that there are better investments than gold for very long holding periods but time horizon is not part of the definition. You can invest in something for a month or year. You stated that gold doesn't compound or yield. That is correct. Neither is necessary for an investment. One simply has to anticipate that demand tomorrow will be higher than demand today. Some people call this speculation, which is fine, too. Generally the distinction between the two is the degree of risk involved, not the expected return, but it's clearly fuzzy. They are not mutually exclusive.

As for the above article, if there are reasons not to do something, it is clearly possible to do that thing. Therefore, per your own link, one can invest in gold.

I am in the "speculation" vs. "investment" camp. But, consistent with what I said in the first post: you can profit if you trade it, it's very hard to profit if you hold it. I don't consider that an "investment".

Broadstruck · August 3, 2019 4:34AM

None of the above

I've done better over the years tying money up in a attractive Key Date from a series than any of the above.

Something tough you can't buy 100 times a day surfing the web.

jmlanzaf · August 3, 2019 4:55AM

I should also add that coins are the least efficient way to "invest" in PMs. I bought 5000 ounces of silver on the futures market for a $3 transaction fee. When I sell it, it'll be another $3. You can't do that with physical metal.

This is not an argument against physical metal for the reasons people buy physical metal: distrust of paper, disaster insurance. But to invest, you are looking at a 25 to 50 dollar per ounce gold premium and a 50 cent and up per ounce silver premium. That is a pricey "investment".

Would you buy Apple stock for $25 over the market price per share?

amwldcoin · August 3, 2019 5:53AM

If I was a bullion investor, I've always been a fan of having it both ways...bullion with a chance of numismatic appreciation! Old gold for me!

jwitten · August 3, 2019 6:35AM

For investing, mutual funds and rental property. For diversifying and for fun, pre 33 gold.

MilesWaits · August 3, 2019 6:45AM

Note to newbies. Do not ever, ever ever use the word “investment” here.
The word triggers anger, frustration, intolerance and deep seated angst.

ricko · August 3, 2019 8:15AM

There are those who stacked gold at $300/oz (+/-) and did not liquidate at $1800/oz. Now at $1440/oz., they are still way ahead of the game....I would call that an investment that will pay off if liquidated.....Cheers, RickO

silverpop · August 3, 2019 8:16AM

i'm a coin collector not an investor if i want to invest i'll go with the stock market

johnny9434 · August 3, 2019 8:21AM

both metals and some stocks. I would not trust the stock market altogether

topstuf · August 3, 2019 8:35AM

@ricko said:
There are those who stacked gold at $300/oz (+/-) and did not liquidate at $1800/oz. Now at $1440/oz., they are still way ahead of the game....I would call that an investment that will pay off if liquidated.....Cheers, RickO

IMO, the "stack" is not for liquidation. It's for dribbling out gradually when NEEDED,

A lot of folks misunderstand the functions of their purchases.

Walkerfan · August 3, 2019 8:54AM

@blitzdude said:
pre33 gold at spot.

This was my thinking, especially double eagles.

Unknown · August 3, 2019 9:00AM

This content has been removed.

Goldminers · August 3, 2019 9:36AM

My family is my main investment.

As far as metals, I did not see an "All of the above" choice, and what about some personal favorites like rhodium and enriched uranium?

metalmeister · August 3, 2019 10:32AM

Diversify a lot! As far as PM's. Having alot of luck in JNUG and NUGT at the moment.

jmlanzaf · August 3, 2019 4:02PM

@ricko said:
There are those who stacked gold at $300/oz (+/-) and did not liquidate at $1800/oz. Now at $1440/oz., they are still way ahead of the game....I would call that an investment that will pay off if liquidated.....Cheers, RickO

But how many of those stackers bought their whole stack at $300? And even if they did, how does that yield compare with a stock fund or even a bond fund over the same 25 years?

Insider2 · August 3, 2019 4:14PM

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Perhaps you'd like someone else's treatise. I guess they make stuff up as they go also.

https://money.usnews.com/investing/articles/2018-07-10/5-reasons-not-to-invest-in-gold

Thanks for the education but please go easy on our uninformed friend.

Cameonut · August 3, 2019 4:19PM

I am grateful that I have NEVER taken any investment advice from this forum.
Like it or not, that is the way I feel and I have been very successful.

jmlanzaf · August 3, 2019 4:44PM

@Cameonut said:
I am grateful that I have NEVER taken any investment advice from this forum.
Like it or not, that is the way I feel and I have been very successful.

LOL. Cabbies give the best investment advice.

meluaufeet · August 3, 2019 4:56PM

My choice is about today, not in the past, and not in the future.

Cameonut · August 3, 2019 5:02PM

@jmlanzaf said:

@Cameonut said:
I am grateful that I have NEVER taken any investment advice from this forum.
Like it or not, that is the way I feel and I have been very successful.

LOL. Cabbies give the best investment advice.

If true then the best medical advice is from your landscaper......

Coinstartled · August 3, 2019 5:54PM

@Insider2 said:

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Perhaps you'd like someone else's treatise. I guess they make stuff up as they go also.

https://money.usnews.com/investing/articles/2018-07-10/5-reasons-not-to-invest-in-gold

Thanks for the education but please go easy on our uninformed friend.

Well the good professor has the cut and paste down.

RYK · August 3, 2019 7:25PM

@MilesWaits said:
Note to newbies. Do not ever, ever ever use the word “investment” here.
The word triggers anger, frustration, intolerance and deep seated angst.

And common sense!

santinidollar · August 3, 2019 7:55PM

Gold eagles, only as a small hedge in my overall investments. Collectible coins are not an investment.

air4mdc · August 3, 2019 8:10PM

I would recommend investing in the stock market for long term and if there is discretionary funds then bullion/coins/currency.
To answer the OP’s question , I think I would stack Gold bullion eagles as an insurance policy.

cagcrisp · August 4, 2019 5:48AM

More than 50% of my Gold has a cost basis Under $400.00/oz. Even at Current pricing, Gold has been a Terrible Investment...

metalmeister · August 4, 2019 9:40AM

@cagcrisp said:
More than 50% of my Gold has a cost basis Under $400.00/oz. Even at Current pricing, Gold has been a Terrible Investment...

I remember back around 2000 when Gold was around $300 and Silvers was $4. Wish I had more cash to buy more at the time but my house was sucking most of my funds at the time.

jmlanzaf · August 4, 2019 9:54AM

@Coinstartled said:

@Insider2 said:

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Perhaps you'd like someone else's treatise. I guess they make stuff up as they go also.

https://money.usnews.com/investing/articles/2018-07-10/5-reasons-not-to-invest-in-gold

Thanks for the education but please go easy on our uninformed friend.

Well the good professor has the cut and paste down.

You complained that I was making things up. Now you're complaining that I quoted someone else...

Methinks your test has only one correct answer: You're right. Of course you're right. Excuse me for having a different opinion.

😎

Coinstartled · August 5, 2019 12:00PM

@jmlanzaf said:

@Coinstartled said:

@Insider2 said:

@jmlanzaf said:

@Coinstartled said:

@jmlanzaf said:
You can trade metals. You can't really "Invest" in them for the long term. They don't compound yield.

Do you make stuff up as you go?

Perhaps you'd like someone else's treatise. I guess they make stuff up as they go also.

https://money.usnews.com/investing/articles/2018-07-10/5-reasons-not-to-invest-in-gold

Thanks for the education but please go easy on our uninformed friend.

Well the good professor has the cut and paste down.

You complained that I was making things up. Now you're complaining that I quoted someone else...

Methinks your test has only one correct answer: You're right. Of course you're right. Excuse me for having a different opinion.

😎

Correct answer is, platinum is outperforming equities by 4% today!!

What would you rather invest in?

What would you rather invest in?

What would you rather invest in? 119 votes

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