trading up advice for me?

[grampa]

i'm going to sell my 40%'s for sure and most likely trade up to .999 Can you recommend a good .999 product? i was thinking eagles but they have a larger premium- maybe 1oz bars? which are 2 or 3 makers you would recommend of those bars? Or would you recommend some other .999 product?


then the topic of the 90%'s... some say hold on to all.. others say trade up to .999 ... what are your thoughts on this?


thanks!

 

[quiksilver]

Dont rule out gold as a trade up.

I would not trade to buy eagles at a large premium as many places when you sell dont care what premium you paid

try to make it to a good show where you can find good sell prices and good buy prices on many different items.

If you are in this partly for fun then selling and buying things you enjoy is not a bad thing either

 

[65gt350]

With the GSR being this low I would be trading for gold and when the ratio moves back up I would then trade into .999 silver. The brands of silver rounds that I like are APMEX, Sunshine, Engelhard.

HH,
65GT350

 

[grampa]

thanks guys... i guess i forgot to mention i just do this for fun BUT it's also nice to have if the dollar ever fails..etc

if i went gold route.. coinage or bars?

thanks again!!

 

[65gt350]

thanks guys... i guess i forgot to mention i just do this for fun BUT it's also nice to have if the dollar ever fails..etc

if i went gold route.. coinage or bars?

thanks again!!

I like gold coins Maples or Krands. (Most recognizable gold for lowest premium).

HH,
65GT350

 

[jim4silver]

thanks guys... i guess i forgot to mention i just do this for fun BUT it's also nice to have if the dollar ever fails..etc

if i went gold route.. coinage or bars?

thanks again!!

I like gold coins Maples or Krands. (Most recognizable gold for lowest premium).

HH,
65GT350

You might also consider Australian nuggets/kangaroos and Austrian Philharmonic gold coins, their premiums are lower than maples and krugs from what I see and they are .9999 and better looking coins than maples and krugs in my opinion.

If you want cheaper fractional coins and want to get into gold coin history, you can often get circulated british sovereigns, french/swiss 20 francs, netherland 10 guilders, and other such coins for a small percentage over spot. They are 100+ year old coins, weigh between 1/5 and 1/4 ounce of pure gold (most are 90% pure by volume, like our old US gold coins) and are well recognized all over the world. I find them to be much cooler than mint produced bullion coins personally. Be careful that there are some counterfeits out there, but I have only seen one (a half sovereign) in my past few years as a coin collector. It was fairly easy to spot.

Jim

 

[grampa]

so i just went on lunch.. decided to sell all 40% halves.. and my 90% dimes.. kept 90% halves

obviously you'll see my silver stash was small compared to most of you but i'm just a beginner


got a 1/4oz gold eagle graded ms69 for spot + 50
and
some assorted year silver eagles graded ms69 for spot + 5

they paid 4.45 per 40% and 2.60 per dime .. i like my new additions considering i only paid face for my trade in

what a great hobby

 

[wharghoul]

I understand why some would employ the strategy of moving from silver to gold or gold to silver when the ratio is in their favor, however.....

I still don't understand the logic of trading up from one type of silver to another.

It wasn't that long ago that coin shops either refused to buy 40% halves or would offer $.75 - 1.00 ea. We as customers were expected to pay a 'penalty' due to the extra refining process for melting down silver-clad coinage. The 40% halves along with war nickels were regarded as the redheaded step-children of silver coinage.

These days, the coin shop guys are flooding craigslist trying to scoop up as much silver as they can, regardless of the denomination, knowing that they can buy for just below melt and sell for a premium.

My point is, when silver hits $100-200/oz. the term junk silver will no longer apply, I don't think it applies now. All silver coins are now highly sought after and the melt value in terms of silver percentage has achieved parody.

So why would I in effect reduce my total oz. of silver now just to trade up 90% silver coin or .999% bar or round.

Here's a strategy, trade down.....Or better yet, sell the collectable coins that still have numismatic value above melt and trade in for a bunch of circulated war nickels or silver mexican pesos.

Maybe I'm missing something, please feel free to criticize, I don't mind learning something new.

 

[grampa]

wharg, u make some very good points... i'm sure the experienced posters will give their opinion...

my take as a relative newbie is that i 'like' having the gold / silver eagles vs a huge bunch of 40%'s ... less storage space ... nicer looking.... and i finally have a starter in gold as i was gold-less

 

[wharghoul]

Grampa,

I'm happy that you made a deal that works out for your particular situation. I'm not being critical, just voicing some thoughts that I've had on the subject for while now.

While I'm at it, you brought up another issue that I lack understanding of and that's storage space. Really, besides LJ, who doesn't have enough room for their silver 40%'s? I repack my silver halves in old brinks boxes which obviously hold 1000 coins or $5,977.85 worth of silver at today's melt price. I've CRH for a while now and I can still 'retrieve' my stash pretty quickly if the need arises, just don't think I can accumulate enough silver in a lifetime for storage to be an issue.

Brad

 

[BuffaloBoy]

I know some may not like this idea, but I think that this series is a nice series and has relitively low mintage:

Canadian Wildlife series... you can get them off of a certain website for as low as $4.99 per coin over spot... i am not sure if I can say the name of the site for advertising reasons as I do not advertise anything.

The coins are going to include an 8 coin set starting this year(2011). The coins will come out at the rate of 2 per year(the 2 already came out this yesr, timber wolf and grizzly).

The mintage I believe is only 1,000,000, seems like a lot, but compare to silver eagles with mintages of 30,000,000+.

Just my thought on a nice coin/possible set to invest in, I have one of each the timber wolf and grizzly bear myself.

Even though the coins are canadian, they are really nice coins!!! 1 oz of .9999 silver
Good luck with your decision!

 

[grampa]

just bought a grizzly BUT wolves are sold out

 

[Reverend B*IKE*]

I know some may not like this idea, but I think that this series is a nice series and has relitively low mintage:
Canadian Wildlife series... you can get them off of a certain website for as low as $4.99 per coin over spot... i am not sure if I can say the name of the site for advertising reasons as I do not advertise anything. The coins are going to include an 8 coin set starting this year(2011). The coins will come out at the rate of 2 per year(the 2 already came out this yesr, timber wolf and grizzly). The mintage I believe is only 1,000,000, seems like a lot, but compare to silver eagles with mintages of 30,000,000+. Just my thought on a nice coin/possible set to invest in, I have one of each the timber wolf and grizzly bear myself. Even though the coins are canadian, they are really nice coins!!! 1 oz of .9999 silver
Good luck with your decision!

It doesn't seem we can buy from, the Canadian mint like the US? Buffalo boy PM me with the link to where you buy them. I would love to get them!
thanks

 

[mts]

....Even though the coins are canadian, they are really nice coins!!!...

:P I'm sure that came out different than you intended. Those Canadians make some really nice coins. I really like their Maple Leafs.

 

[jim4silver]

I understand why some would employ the strategy of moving from silver to gold or gold to silver when the ratio is in their favor, however.....

I still don't understand the logic of trading up from one type of silver to another.

Maybe I'm missing something, please feel free to criticize, I don't mind learning something new.

No need to criticize your position in that it is as valid as any others' opinions. However, here are some possible reasons why .999 silver will be better than junk silver in the future:

1. There have been several times in the past (since 1980) that junk silver fell into disfavor among collectors vs. .999 and the premiums fell a lot (only time junk was favored over .999 was around 2000 turn of the century time). If for some reason in the future the demand for junk falls (and thus the premiums) the dealer you sell to will have to send the junk to a refiner instead of rebagging it to resell. The refiner will pay much less because it is only 90% pure (look at how much of a discount you get when you sell sterling flatware which is 92.5%). Right now and in the past few years collectors have been buying up junk silver, that is the only reason dealers are paying what they are when you sell them junk silver. The argument for this with 40% (selling it to buy .999 silver or gold) is so strong there is no need to even get into it.

2. Although I feel it won't actually happen, if the US gov wanted to they could ban the melting of US silver coins, much like they have for nickels and pennies. If that happened collectors would seek .999 instead. This would be kind of a stealth confiscation if you will. Or they could even "call in" all junk silver since it is US coinage (they would pay for it at some rate I would assume). The gov cannot touch private minted .999 without a full silver confiscation, which I think would be more difficult to implement than simple banning of melting or call in on junk silver. Again I see no reason for it now, but if the "we are running out of silver" prognosticators are right, the gov might need to confiscate or call in because silver is a strategic metal. I read that every cruise missile requires 1000 or so ounces of silver for example.

3. Not really applies to CRHing finds, but for those who have bought junk silver by face X $$$$, you would likely not fare so well if/when dealers start buying and selling junk silver by weight and not face. When it is sold by face it is assumed that there is still a certain percentage of silver (by weight) in the coin. Anyone who has stacked up Walkers or played with a bunch of Mercury dimes (even Washington quarters) knows that much of the coin is worn away relative to a freshly minted one. When you go to sell the junk coins and the dealers pays by weight, you would presumably not get as much back proportionately if your coins are worn down and you originally bought them at some multiple X face.

All this is just my opinion and I would still keep some 90% for sure. I keep what few ones I get CRHing but I don't find hardly any these days.

Jim

 

[WormtownFJR]

3. Not really applies to CRHing finds, but for those who have bought junk silver by face X $$$$, you would likely not fare so well if/when dealers start buying and selling junk silver by weight and not face. When it is sold by face it is assumed that there is still a certain percentage of silver (by weight) in the coin. Anyone who has stacked up Walkers or played with a bunch of Mercury dimes (even Washington quarters) knows that much of the coin is worn away relative to a freshly minted one. When you go to sell the junk coins and the dealers pays by weight, you would presumably not get as much back proportionately if your coins are worn down and you originally bought them at some multiple X face.

All this is just my opinion and I would still keep some 90% for sure. I keep what few ones I get CRHing but I don't find hardly any these days.

Jim
[/quote]

I've already seen this at coin shows. Dealers will shy away from the WLHs or offer a lower X face.

 

[mlayers]

I like the silver bars. There is different styles. See if youn can get diferent one. Then the silver eagles are a nice looking coin. If you don't have to paid to high over spot. Make sure you check around before you sell your 40%er's. I just sold $50 wouth and I got $535 for a 100 coins. Some dealers here is paying $5 each for 40%er's......Matt

 

[quiksilver]

thanks guys... i guess i forgot to mention i just do this for fun BUT it's also nice to have if the dollar ever fails..etc

if i went gold route.. coinage or bars?

thanks again!!

Hmmm as with silver a variety of different gold wouldnt hurt. Always look for the lowest mark up tho.

personally i like old foreign coins. They may be safer from a possible confiscation, have low mark-ups and unlike foreign silver they are relatively easy to figure out the AGW [actual gold weight]

 

[quiksilver]

I understand why some would employ the strategy of moving from silver to gold or gold to silver when the ratio is in their favor, however.....

I still don't understand the logic of trading up from one type of silver to another.

It wasn't that long ago that coin shops either refused to buy 40% halves or would offer $.75 - 1.00 ea. We as customers were expected to pay a 'penalty' due to the extra refining process for melting down silver-clad coinage. The 40% halves along with war nickels were regarded as the redheaded step-children of silver coinage.

These days, the coin shop guys are flooding craigslist trying to scoop up as much silver as they can, regardless of the denomination, knowing that they can buy for just below melt and sell for a premium.

My point is, when silver hits $100-200/oz. the term junk silver will no longer apply, I don't think it applies now. All silver coins are now highly sought after and the melt value in terms of silver percentage has achieved parody.

So why would I in effect reduce my total oz. of silver now just to trade up 90% silver coin or .999% bar or round.

Here's a strategy, trade down.....Or better yet, sell the collectable coins that still have numismatic value above melt and trade in for a bunch of circulated war nickels or silver mexican pesos.

Maybe I'm missing something, please feel free to criticize, I don't mind learning something new.

The last thing i wanna do is criticize, in fact the main reason im trying to get some friends into this is so i have someone to bounce ideas off of.

 

[quiksilver]

3. Not really applies to CRHing finds, but for those who have bought junk silver by face X $$$$, you would likely not fare so well if/when dealers start buying and selling junk silver by weight and not face. When it is sold by face it is assumed that there is still a certain percentage of silver (by weight) in the coin. Anyone who has stacked up Walkers or played with a bunch of Mercury dimes (even Washington quarters) knows that much of the coin is worn away relative to a freshly minted one. When you go to sell the junk coins and the dealers pays by weight, you would presumably not get as much back proportionately if your coins are worn down and you originally bought them at some multiple X face.

[/quote]

I am currently trading all my worn bent or holey halves while they are buying by the coin and not by weight . in fact i just got lucky at the coin show and traded them for some foreign below melt and some quarters at below the buy price the other dealer was giving. [ By the way i weighed a roll of worn halves and it was over a half ounce light]