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 Replies: 34 / Views: 10,852 |
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Pillar of the Community
United States
2424 Posts |
So I think we may have covered this topic before, many times possibly, but I wanted to get some quick answers on the matter.
I have a 1oz. Krugerrand and was looking to move that into pre 33' gold. In the long run I feel that pre-33 gold is a better investment based on the fact that you are trading on 2 different levels, Numismatic and the PM level.
SO one would think that ANY pre 33' gold would hold up in the long run over a 1oz. Krugerrand.
So based on what I feel I already know/dont know, would it be wise/unwise to move my 1oz. Krugg into pre 33 gold?
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Pillar of the Community
United States
759 Posts |
IMO, unwise. You would have to eat the bid/ask spread at least twice to convert. My answer is based on the fact that you used the word "investment."
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Pillar of the Community
 United States
2424 Posts |
hmm.. as I was roving over ebay I did see that the price gap in a 1oz. Krugg vs a 1oz. Saint did overlap around the $1800 mark. Now, I guess if this exchange went down, it would be a decent investment. But I agree, typical $20 Saints carry a $100-$200 premium over a 1oz. Kurgg. I also used the term LONG TERM investment... but I agree wholeheartedly about eh bid/ask spread. Would you agree that there would be some instances where people would trade outside that spead? Say a common date worn example? |
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Rest in Peace
United States
4849 Posts |
Onebowl has a good point. If you're going to do this as an "investment", your best bet is to find someone on the forum that will do a fair coin/cash "trade", then you don't have to really eat anything from the "buy/sell" spread.
Outside of that, your best bet is to keep the krug; unless you have collecting interest in pre-33 gold(like me).
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Valued Member
United States
194 Posts |
I think if you are going for numi value, it's worth looking also at lower mintage Saints or Libs, and in better condition, like MS-62 or 63. From what I've read, the more common dates and lower conditions are considered just bullion anyhow.
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Pillar of the Community
Japan
666 Posts |
my observations .... might be wrong but I'll share
With the rise of price for gold/silver, numismatic premium for the coin diminishes. Opposite is true as well (if the price of metal goes down, numismatic premium would go up).
Of course if we are not talking about rare coins.
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Bedrock of the Community
Australia
21788 Posts |
Stay with the Krugerrands, but any new acquisitions make in pre '33 U.S. gold. Don't change your Krugerrands, unless you simply wish lessen your gold position.
Neo Classic U.S. coin design is much nicer to look at, and I think most Americans would agree with that, coin experts or not. Lots of folks here in the CCF know their own home grown U.S. gold coins.
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Pillar of the Community
United States
1450 Posts |
sel 691,you took the words right out of my mouth. Trading/exchanging is always dicey because of premiums. Just buy pre-33 stuff from here on out. By the way Sel,did you see the story on the huge pink diamond they pulled out of the Argyle mine? They are saying it could sell for $1 million/ct. once it is cut.
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Pillar of the Community
United States
2424 Posts |
what about Francs, or Sovereign's ? the bay has them for jsut as much over spot as a Krug
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Bedrock of the Community
Australia
21788 Posts |
hockingzig: I have seen a few pink diamonds from Argyle, some cut, and some uncut in an official public display in Sydney, some years ago. It was on that occasion that I came across Stuart Devlin, the designer of Australia's original Decimal coins. He was also Goldsmith to the Queen for a long period.
Pinks are unique to the Argyle mine, the colour comes from nitrogen atoms in the carbon tetrahedral crystal structure of diamond; they are quite rare, even from the Argyle deposit. They are also ******* expensive on the retail market.
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Pillar of the Community
United States
2424 Posts |
ok so this is really eating at me... now, I understand that a $20 gold pre-33 coin has less gold than a .999 1oz krug... and I understand that the bid/ask for date gold vs bullion is pretty significant... however I have found some websites that offer $20 saints at mS61 for virtually the SAME price as a 1oz Krug http://www.scpm.com/bullion.phphttp://www.scpm.com/shop/index.php?...egory&path=2it is actually CHEAPER to buy a a Saint than a krug on this site via Credit card my intentions with this venture is simply to own date gold. I understand I may be losing my position slightly with GOLD, but since I bought my krug, I have gained $700+ since the purchase. i understand what you guys say when if I were to trade, I would lose some gound with the bid/ask, but when I see them selling for the same price how is that still possible? just because you dont have the same amount of gold per ounce? .999 vs .90? look, for me I'm looking at 2 coins, virtually the same price, only difference is, amount of gold (.999 vs .90) but now I have date gold, numismatic history, I can enjoy it more. I dont see myself losing money on this even if I decided to sell my krugg and buy a saint. am I totally off base here? Edited by SDcoinguy
02/23/2012 10:43 am
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Pillar of the Community
United States
1450 Posts |
No,you are not totally off base at all. We were just pointing out the potential loss. If you want the dated coin and can get it for the same price,do it. HOWEVER,make sure you are getting the same WEIGHT of gold. Purity is one number but what is the total GOLD WEIGHT? I don't know the answer to that right off the top of my head but I seem to remember the saints being less than an ounce of gold. Just a caution to check out before you buy.
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Pillar of the Community
United States
2424 Posts |
yea I realize that. a $20 saint has only $1726.89 worth of gold @ .9675 vs .9999 @ the same price. krugs if I'm not mistaken usually hold a $50 premium themselves. still, .9675 vs .999 $20 saint vs Krugg, usually the saint has a $200 premium over the krugg.. but if I can get the saint for the same price? why not? I dont feel that I would be shorting my gold position, and if I was it would be by only .0315 oz. And in the long/short run, I think we can agree a Saint would be a bit more liquid and still hold its premium better than a 1oz bullion again: http://www.providentmetals.com/1-oz...culated.htmlhttp://www.providentmetals.com/20-s...cleaned.htmlif you were to buy the Saint, would you really be shorting yourself that much in Gold position? but again, I view all things like date gold as investments. I guess I'm not a bullion guy... Edited by SDcoinguy
02/23/2012 11:03 am
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Pillar of the Community
United States
2424 Posts |
Edited by SDcoinguy
02/23/2012 11:08 am
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Pillar of the Community
United States
1450 Posts |
It sounds to me like you have covered all of your bases so ,as always,do what will make you happy. None of us ever know what the future holds,especially on resale values. Buy what you enjoy,and enjoy it as long as you like. That is the beauty of this hobby. Besides,money isn't everything! I didn't marry my wife because she was rich and it is still the best decision I ever made because she has given me more joy than the money would have. Coins are kinda like that also. Cheers!
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Pillar of the Community
United States
1432 Posts |
SD . . I don't know if it's wise or unwise but I vote for the pre-1933 gold. But I'm a collector and would rather have the history and beauty of the coin. If I was only into the bullion value alone then it's the krug. Your decision should be easy if you ask yourself which side of the fence you are on. Just IMHO  |
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Replies: 34 / Views: 10,852 |
Posted 02/22/2012 2:03 pm
