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31

What do the coins go for on eBay compared to what the coin shop is offering? I wouldn't expect to be able to resell a non-graded, recent coin like this at the retail price the mint offers. The mint focuses on sales to collectors who get some enjoyment out of their coin collection, not investors looking to resell their collections at a profit. If the ...


26

To be honest, I think a lot of people on this site are doing you a disservice by taking your idea as seriously as they are. Not only is this a horrible idea, but I think you have some alarming misunderstandings about what it means to save for retirement. First off, precious metals are not an "investment"; they are store of value. The old saying that a gold ...


12

This sound like a very bad idea. If you invest exclusively in silver, your investment is not diversified in any way. This is what I would call risky. Have a look at index funds and ETFs and build a diversified portfolio. It does not take much time, and you don't need to let it do by someone else. They are risky too, but I see "silver only" as much riskier. ...


11

The best opportunity to sell small amounts of collectible coins is to go to coin shows. Now the gold and silver coins from the U.S. Mint catalog-website are not bullion but are mint-marked coins.


9

Of course. The rationale is exactly the same as always: profit is taxed. The fact that you use intermediate barter to make that profit is irrelevant. To clarify, as it seems that you think it makes a difference that no money "changed hands". Consider this situation: You produced item X, which cost you $100 to produce. You have 100 of those in stock....


9

Coins are legal tender. They're authorized by governments and have a face value. Rounds are simply coined pieces of metal minted by private manufacturers. They do not have any face value and are not legal tender. Rounds are used to own metal, they have no value other than the value of the metal in them. Any premium you pay over the price of the metal is ...


7

First is storage which is a big and a detrimental headache. Security is another big headache. Investing in precious metal has always been an investment opportunity in the countries in the east i.e. India and China because of cultural reason and due to absence of investment opportunities for the less fortunate ones. It isn't the case so in the West. ...


7

Their "worth" is whatever someone is willing to pay to have them. The mint presumably thinks that some people (collectors) are willing to pay at least 55$ CAD for them. Their value as currency is only 3$ CAD. Their value as precious metal/crystal is irrelevant, as its illegal to melt (without explicit permission) coins that are legal tended in Canada.


5

I am sure that it is true that the cost of a 1oz gold coin (or whatever the size is) is different in different countries. However the difference is going to be tiny (apart from differences in duty) - less than the cost of transportation. If you are being invited to invest money in a scheme which involves buying coins from the US and selling them in ...


5

Please review the royal mint's guidelines on legal tender. The only silver coins that are legal tender in the UK are commemorative or limited edition coins minted by the royal mint. If your coins are from the US, they are no different from any other good/product made from silver e.g. cutlery or jewelry and are taxed just the same. For a full understanding ...


5

What you are doing is barter trade. Most countries [if not all] would tax this on assumed fair value. There are instances where countries may relax this norm in border areas for a small amount. Barter is not just for gold – one can virtually do this for any goods, i.e. sell garments in exchange for oil, sell electronic chips in exchange for consumer ...


5

How do the mint set the value? Surely it cannot be a value plucked from the sky. Actually, that's exactly how it is set - plucked from the sky. Not by the mint, though, by Congress (in the case of the US, similarly in other countries). The US mint merely executes orders given by the US Congress and signed into law by the US President. For example, the ...


5

Because most of the posters have disparaged the pursuit of silver without a reflection upon what you wrote in the question - your concern about Hungary and its government, I'll weigh in it. In a stable and solid political and economic environment, this advice against silver would be generally correct. As you commented, though, this has not been the case ...


4

The points given by DumbCoder are very valid. Diversifying portfolio is always a good idea. Including Metals is also a good idea. Investing in single metal though may not be a good idea. •Silver is pretty cheap now, hopefully it will be for a while. •Silver is undervalued compared to gold. World reserve ratio is around 1 to 11, while price is around 1 to ...


4

At one point in history, gold and silver had something to do with paper-based money. Actually, quite recently - less than 50 years ago. Now, they don't. If you want to "convert" silver into paper money, you need to find someone who wants to buy it from you. Same as any other kind of metal. There's no special super-secret way to exchange silver for paper ...


4

The SPDR ETF GLD? The fund intends one share to match 0.10 ounce of gold, and the wikipedia article states it's one of the top 10 holders of bullion in the world.


3

This isn't new. Even before silver hit $50 in 1980, silver coins were worth 3-4X face value for 'junk' silver. There were people writing articles on how one could sell their house and specify a lower price, but paid in silver coins. Since silver coins have a face value, it was suggested that this was a legitimate process. These people also suggested that ...


3

For what it's worth, here is a Granger causality test on 10 years of daily gold and silver data downloaded from Nasdaq. Here is the data plotted:- and here are the Granger test results:- This shows in the 16th lag a significantly low probability of the null hypothesis that the price of gold does not affect the price of silver. That is to say, the price ...


2

"Limited Price" is probably equivalent to the current par value of a "limit order". Markets move fast, and if the commodity is seeing some volatility in the buy and sell prices, if you place an ordinary buy order you may not get the price you were quoted. A "limit order" tells your broker or whomever or whatever is making the order on your behalf that you ...


2

The coins are produced as bullion, not intended for circulation. The fact that 1 ounce is stamped with a 'face value' means the coin is counted as issued money as would other coinage, but with its value over $1100, the $50 is meaningless, in my opinion. I'd imagine those in favor of a gold standard would encourage the mint to use a higher value, say, $1000/...


2

Is pure (.999) gold or silver actually available in China for considerably less than the US rate? No. Whoever told you that is talking nonsense.


2

I have some gold investments. I simply bought a couple of small bars of gold and put them in my house. That's pretty cheap in terms of storage costs. Why don't you want to do it this way? You won't find cheaper storage. Anyway, looking at the numbers presented; 0.01% holding fee per month. So after a year, you'd be down around 0.10% So if you had 100 ...


2

There are various exchanges around the world that handle spot precious metal trading; for the most part these are also the primary spot foreign exchange markets, like EBS, Thomson Reuters, Currenex (website seems to be down), etc. You can trade on these markets through brokers just like you can trade on stock markets. However, the vast majority of traders ...


2

This is how mints make money. They sell limited runs of items at a price significantly higher than their manufacturing cost. Some buyers hope that the scarce nature of the item will cause others to value it higher than the initial offer price but also some people just like to have them.


1

The cheapest way to store physical metals is to take delivery, and keep them yourself. The "goldbugs" have a saying - "if you don't hold it, you don't own it". Or, to put it another way, just because somebody says that there are a pile of gold bars in a vault with your name on them, doesn't mean that there actually are any gold bars in that vault.


1

The futures market allows you to take delivery at the lowest cost. Most people don't deal in 100oz gold bars and 5000oz of 1000oz silver bars though, especially at the retail level. That said, when you are at the retail level, often times you will find reputable Internet dealers offering the lowest cost of ownership. Keep in mind brand name though when ...


1

Like Jeremy T said above, silver is a value store and is to be used as a hedge against sovereign currency revaluations. Since every single currency in the world right now is a free-floating fiat currency, you need silver (or some other firm, easily store-able, protect-able, transportable asset class; e.g. gold, platinum, ... whatever...) in order to protect ...


1

The standard lot for Gold shows as 100oz, Silver 1000oz. The broker uses the term 'mini' to be 1/10th the contract size and micro, 1/100th, in the description of currency lots. Their site offer no definition for metal, that I can see. Have you called customer service to ask? In the real world, milli- is 1/1000 and micro- is 1/1,000,000 or one millionth....


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