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 Replies: 26 / Views: 4,267 |
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Pillar of the Community
United States
521 Posts |
Hello, I am a coin collector, mostly classic US and some world silver (19th/ early 20th century) but I'd like to invest $1,500 in gold or silver (How about platinum?). The $1,500 is so I can avoid taxes in California- I suppose, I could buy online, though.
Anyway, which metal would you buy and in what form? This would be my first major (for me) purchase. Any tips on sources or sellers would also be welcome. Thanks!
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Pillar of the Community
United States
1963 Posts |
Silver, in bar or round form.
Edited by coin197
01/26/2017 12:51 am
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Bedrock of the Community
 United States
12477 Posts |
I've been considering this and with $1500 I would do silver in a mixture of mostly 1 oz. and some 5 oz. It'll give you more to look at than $1500 worth of gold and in the smaller sizes it will be easier to divide and sell in the future.
In Memory of Crazyb0 12-26-1951 to 7-27-2020
In Memory of Tootallious 3-31-1964 to 4-15-2020
In Memory of T-BOP 10-12-1949 to 1-19-2024
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Pillar of the Community
United States
4333 Posts |
Right now, I'd probably dump that $ into my 401K, my ROI for '16 was almost 30%. I own some PM's, but they're not an investment. I haven't sold any but I've been underwater on the metals that I do own, for years. Physical gold and silver are not normally considered investments. They are a hedge, insurance against failing fiat currencies. Personally, I like the 1 oz. ASE, 1/10 oz. AGE, and 1 oz. .999 gold buffalo, all highly recognized. When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
Edited by fistfulladirt
01/26/2017 05:51 am
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Valued Member
United States
343 Posts |
JM Bullion has a wide variety of products on their website, and I've never been disappointed with their service.
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Rest in Peace
United States
17900 Posts |
ASE silver eagles will cost more ($3-$4 over spot) but they are also the easiest to sell quickly if you ever needed to do so.
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Pillar of the Community
Canada
3049 Posts |
With $1500 I wouldn't even bother buying physical... The premiums above spot will probably kill you if you're into this for any short term gains....
If you like PM's but want to maximize any type of "investment" you're trying to make.. look at something like ishares SLV.... or GLD... it follows spot but depending on your brokerage account you'll save a lot of money in fees.
$1500 will get you 1 oz of gold ($50 premium) or around 90 oz of silver but then the premiums on the silver could vary between .20 to $4 per oz!
A one time purchase of SLV or GLD will buy at spot at that exact moment and the only fee would be your brokerage fee which could be a flat rate between $5 and $40 depending on your trading acct.
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I must note that I too follow the line that PM's are more of a hedge against inflation than a good form of investment and if you're looking for an investment there's much better places to make your money right now... look at the stock market you can probably throw a dart and hit a ticker and it is trending upwards right now...I'm a very conservative fellow but if I had cash in hand I would be looking at a very solid Large cap company that produced a tangible item and offered a dividend of 3% or greater ... I'd be all over that!
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Pillar of the Community
United States
869 Posts |
The OP did say he was a coin collector. So presumably he wants to buy something he can hold in his hand and admire. I would suggest Govt. minted coins like American Silver Eagles, Canadian Maple Leafs, UK Britannia's, Mexican Libertad's, Austrian Philharmonics and there are others, Australian, Chinese etc. These not only have silver spot value but numismatic value as well. The premium may be a bit more than generic rounds, but they will give you better return in the future if and when you decide to cash out. Just my 2 cents . .  |
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Pillar of the Community
United States
4333 Posts |
Paper is good on paper.
When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Pillar of the Community
United States
2023 Posts |
As others have said, PMs are a poor investment if you're seeking a high return. Sure, there's a chance prices will increase dramatically in your lifetime, but there are better investments for that kind of goal.
In the coin market (silver aside), you could go the bullion route but you'd get only one 1 oz coin for that amount. If you want variety (as I do), most modern US gold commemoratives are a little under 1/4 oz each, and many of those don't carry significant numismatic premiums. You could get 4, maybe 5 of those for $1500.
Platinum eagles of all sizes have significant premiums, in my observation. Palladium may be of interest -- cheaper per ounce than gold or platinum but there are no US issues yet. If you must choose among these three, gold has the greatest variety and low-premium opportunities.
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Pillar of the Community
 United States
521 Posts |
Thanks for the ideas but maybe I should clarify. I'm not really looking for short term gains. I hope I can hold it for 20 years but if I bought silver at 20 and it went to 40, I would sell. Otherwise, I pass it to my son. I do have some investment accounts, including- ironically enough AgCoinAu, a large cap fund ( tech, though).
I am looking for diversification with PMs as part of my, admittedly small, portfolio. I plan to buy and put in the safe deposit box.
Edited by johnny676767
01/26/2017 10:02 pm
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Pillar of the Community
United States
5825 Posts |
Go for a kilo silver Panda or 2x 1 kilo silver Elephant? Or some other kilo type silver! Highly collectible and a nice conversation piece. Not sure if you want to put that into your SDB!
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Pillar of the Community
United States
697 Posts |
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Valued Member
United States
112 Posts |
If I had $1500 to spend I would first pay off any credit card debt. Then I would make
sure I had an "emergency fund" equal to six month expenses in a credit union. Only then
would I start thinking about metals.
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Pillar of the Community
United States
869 Posts |
Goldflake's excellent post should be on the ebay thread . . Thanks for your info  |
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Pillar of the Community
United States
570 Posts |
I'm going to make a rather different recommendation based on what you said, not a long term investment, flip it in < 20 years @ double, or hand it off to your son, and your $1500 to indulge. If this is the only PM investment you'll make, might as well make it a fun one in addition to a (hopefully) profitable one. For your specific situation, I would recommend (mostly) gold, and specifically older gold rather than trying to pay a tiny premium and getting modern, generic or even gov't, bullion. Boring. If it were me, this is what I would do: One of these... http://www.ebay.com/itm/381882525967One lot of these... http://www.ebay.com/itm/381813317721And to get you to $1500, one of these... http://www.ebay.com/itm/142042696450Here's why. Most people outside the PM and coin communities may not realize, during the 1800's and early 1900's, the entire world produced a LOT of gold coins, so many that circulated and more common dated older gold coins can be found today for a small premium. This is doubly true for bigger sized coins like the one above. However, this is not so true for silver coins, which in an "enjoyable" condition would just command too much over the value of the metal in the coin. But that's ok, I think the silver coins I listed above, while there is significant premium above metal content, are good selections, over say, 15 oz of generic silver. Just boring, if this is your only PM investment. As for the gold coin, along with the gold, you have a piece of US history, too. BTW, I don't work for the company on ebay, they just happened to have to lowest price on these specific items. I would stick to a large, reputable dealer. APMEX, JM Bullion, and Provident Metals are a few others who have excellent reputations. |
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Replies: 26 / Views: 4,267 |
Posted 01/26/2017 01:04 am
