| Author |
 Replies: 82 / Views: 6,371 |
|
Rest in Peace
United States
9104 Posts |
There are no right or wrong answers, but I'd like to see a discussion. What's a fair buy/sell price for a one ounce AGE? ASE? For the sake of argument, gold spot $1600, silver $32, one coin being bought/sold from a dealer. Specify if you are a dealer or collector. |
|
|
|
Pillar of the Community
United States
3670 Posts |
If silver is at 32 an oz., I am o.k. with paying 35 each, but like most would prefer 34 each....
If gold is at 1600 an oz. and you mean 1 10th AGE I figure 175 is fair on basic ones, and around 200 for the nicer case proofs.....
|
|
Bedrock of the Community
United States
12437 Posts |
Important facts to keep in mind are the prices that the Authorized Purchasers have to pay for the privilege of direct purchase-
*$2 premium for SAEs with a minimum of 25,000
*3% premium for 1oz GAE($48/coin)
*5% premium for 1/2oz GAE($40/coin)
*7% premium for 1/4oz GAE($28/coin)
*9% premium for 1/10oz GAE($14/coin)
-1000oz mimimum for all GAEs
Secondary retailers will further mark up these prices another 5-10%. These premiums only apply to current-date coins with back dates having slightly lower premiums.
|
|
Pillar of the Community
Canada
1502 Posts |
a fair price would be one where the dealer makes some money. I can accept +$3-4/oz over for ASE and +$55/oz for AGE |
|
Pillar of the Community
United States
4008 Posts |
Quote:a fair price would be one where the dealer makes some money. I can accept +$3-4/oz over for ASE and +$55/oz for AGE That sounds good to me too. I want my local dealer to make enough money to keep him interested in continuing his business. As a collector and buyer, I want to get the lowest price that I can. No need to be greedy, though.  |
|
Pillar of the Community
United States
4897 Posts |
Quote:
I want my local dealer to make enough money to keep him interested in continuing his business A .034% margin is surely not enough reason to stay in business. I think 10% on AGE's . I'm talking about small b&m dealers not "bullion clearing houses". Silver ealer I think $5 above spot is fair. |
|
Pillar of the Community
United States
2589 Posts |
The few times I've bought ASE's I've never paid more than a 3 dollar premium over spot. |
|
Pillar of the Community
United States
1151 Posts |
I barely ever but ASE but when I do, I never pay over a $2-$4 premium. |
|
Pillar of the Community
United States
2168 Posts |
I have a local dealer that charges 3 percent above spot to buy junk silver. I think Silver eagles are 1.50 over spot. I know they were $1 over spot in the spring. He seems to do quite well and always has supply even on the big dips. Last week 90 percent quarters were $21.32 per $1 face
|
|
Bedrock of the Community
United States
10284 Posts |
If I am presented this situation today with
gold spot $1600.00 silver spot $32.00 and I was in the position to do either, I think this is what I'd do.
If I'm the dealer and I am selling .999 bullion I am going to charge for gold around $1760.00 and silver $35.25.
If I'm the dealer and I am buying .999 bullion I am going to pay about $1425.00 for gold and silver $26.00.
For more volume, I would certainly discount but I as a dealer am not there as a public service. I don't deal all that much in selling PM although I have some. I am holding out for now but I am not really buying any either.
It is not high enough to sell yet and it is too expensive to buy for me at current levels.
Edited by TNG
12/20/2011 7:17 pm
|
|
Pillar of the Community
United States
4897 Posts |
 Spot on! |
|
Valued Member
United States
302 Posts |
I am a collector.
I would think that the minimum for a dealer to remain in business would be a 20% spread between buy/sell prices except for very large orders. I don't know how that would fall compared to the spot price. Dealers with high costs or low volumes probably could not exist on 20%.
|
|
Rest in Peace
 United States
9104 Posts |
With one exception, I am only seeing one side of the equation.
Please repeat with your buying prices, as if you are the dealer.
|
|
Pillar of the Community
United States
4897 Posts |
Buy gold at 90-92% of spot.
silver $4-$5 below spot
|
|
Pillar of the Community
United States
548 Posts |
|
|
Pillar of the Community
United States
4897 Posts |
|
| |
Replies: 82 / Views: 6,371 |
Posted 12/20/2011 3:47 pm
