I have no idea what I'm doing
jkrk
Posts: 992 ✭✭✭✭✭
Predominately, my entire coin collection consists of $20 golds.
At year end, for simplicity I take the total number of oz of gold I own and multiply it by the closing gold price to value the inventory.
Clearly, I am overvaluing the collection a bit since the double eagles contain only .9675 oz.
I do have a cushion as I have a number of coins that sell for a premium to the gold price. For instance, a SS Central am 63, an 1850-O au 50, or an 1890-CC au 58 are marked at spot.
My question is this:
What percentage of spot would collectors mark the following items:
1)Kilo gold bars ?
2)Kruggs, AM Eagles, Maple Leafs, Gold buffalo's etc?
3)pre 33 double eagles (Generics) ?
I was thinking of using melt?
Thoughts?
0
Comments
I got a feeling that all that stuff would be difficult to sell at -2% of spot. Of course the lower you go the easier it gets I just don't know where that is. I've seen circ. 20's go unsold at spot and bullion go unsold at spot. Gold went up too quick and if the stock market falls people will be taking profit wherever they can find it, Gold !
If you bring them into my shop in the morning, I will look it all over and give you an accurate estimate of value in the next couple weeks.
Seriously, all gold is worth 99% spot or so at least. Dillion gage quotes that even for damaged pieces. Semi numismatic gold usually has fluctuating premiums based on demand.
Better dates of course can be readily sold to major buyers like HA, Northeast, Stacks, Rarcoa. Usually they buy a certain amount behind auction unless the coins are cac approved.
98% is safe
99% of melt might have been accurate at $1200 gold with some historic stability but I don't believe you get that today. I tried to sell gold to APMEX at ANA show they were not there buying.
Why are you doing this? Unless you sell there are no tax consequences. Value at whatever you want and feel comfortable with as it really is just a paper trail.
bob
Really? Did they give you a reason or were they afraid they might hurt their online business by offering way less than spot?
I value all my assets at year end.
The purpose? Peace of mind.
I've been a private investor/trader for the past 40 years. My biggest fear was that I would eat into my capital.
If my asset base was climbing I never worried.
What do they say about old dogs and new tricks?
I have no interest in selling anything. In the past few months, the premiums on many coins I own have eroded somewhat (very marginal decline since so close to melt) so I was curious about the most realistic way to value them currently?
I thought melt minus 2% makes sense? Too conservative or realistic?
Whether you go with 98% or 99% will make no meaningful difference to your asset register. Split the difference or flip a coin (preferably a $20 Saint).
Smitten with DBLCs.
This is all generic and very popular (liquid). 1.0% - 2% under spot would be very reasonable. I just looked up these bullion price spreads from Monarch Coin in Salt Lake City which is a large coin / bullion dealer. You will not get melt from a dealer. As a market maker they need some spread.
The kilo bars are probably traded much less frequently, but larger bullion items tend to have the very lowest buy/sell premiums.
Sell less than 25 AGE and no one has to know.
" I have no idea what I'm doing"
Neither do I !!!
APMEX did not tell me why they weren't buying, I didn't ask. They were there selling their special show Panda coins.
If you are just seeking a general value foundation, use spot....You can always get specific with coins of collector value...However, it seems you are just seeking a comparative base to look at overall resource/value. Cheers, RickO