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Replies: 7 / Views: 1,391 |
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Pillar of the Community
United Kingdom
616 Posts |
I am starting to collect silver bullion coins for myself but more for my nephews. Some coins have a higher premium over spot than others like Pandas and Lunar Calendar. Will that premium likely hold up in the long run or is an ounce an ounce. Thanks.
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Pillar of the Community
United States
5832 Posts |
 I think the Pandas has a strong following worldwide, so most likely it will continue to go up in value over time, but like anything, there will be ups and downs.
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Pillar of the Community
United States
808 Posts |
I think all of the official government minted rounds are worth considering, even those that command a higher premium. That said, the general rule is that as the spot price of silver and gold rises, the numismatic premium on all but the rarest coins tends to disappear. Something else to consider is where you live. Here in North America, this market seems to favor American Silver Eagles and Canadian Silver Maples over other foreign bullion, for example the Austrian Philharmonic. This means you'll usually pay more per ounce for the ASE's and CSM's. The small premium to buy is usually worth it since these coins will also command a higher price when sold. You mentioned the Australian Lunar Series and the Chinese Panda. The Australian silver bullion coins like the Kookaburra, Koala, Kangaroo, and Lunar Series are all wildly popular, as is the Chinese Silver Panda. These coins have a loyal global following due to their high quality, often smaller mintages, and the fact the "critters" on the reverse side of these coins change annually making each year unique. These coins tend to appreciate nicely over time and very often become some of the most treasured additions of any collection.
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Valued Member
United States
223 Posts |
IMHO, the bullion coming out of China, Australia and New Zealand is way prettier than the ASE/Maple Leafs. I do really like the Canadian Wildlife Series. They command much higher premiums that to me are not worth it for more than one example of each issue. When I just want to buy for bullion stacking purposes, I'll take ASE/Maple Leafs and there relatively low premiums over spot.
I don't think that the bullion will carry the premiums very well if silver moves up substantially. A buyer also has to worry about counterfeit bullion coming out of China.
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Pillar of the Community
United States
1454 Posts |
As per usual, I agree with CW. But you have to watch what you pay, and don't get enticed by sucker deals, which you'll typically find on ebay's "Buy it Now" listings. You'll have to do research with these "more limited" release offerings to learn what they're truly worth. And like CW mentioned, they do tend to hold those premiums, from everything I've seen over the four years I've been buying them. Maybe not if you plan to sell them back to your LCS; but on ebay, absolutely. And welcome!
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Pillar of the Community
United States
648 Posts |
Interesting question. You mention you are starting to "collect" and end off saying an ounce is an ounce.
I see it as:
1. Collect the pretty coins, pay a premium, and probably get your $ back and some. Everyone enjoys it and there is collector value. Pandas, Dragons, Lunars, Limited Mintage etc. However, I think these types of coins still tend to retain their premium value.
Or
2. An ounce is an ounce, and you go for the cheapest, simplistic piece of 1 oz silver you can find. You are then subjected to the movements of the silver price markets. Unless if it's a JM / Engelhard etc which might get you $1-2 over spot if you find the right buyer.
Try to do a little bit of both to help average things out.
As much as I love seeing all the different pieces of silver, bars, ingots etc. 1 ounce of silver is 1 ounce of silver. It all depends on how much you want to spend to look and hold that 1 oz of silver.
Easier said than done. Good luck!
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Pillar of the Community
United States
3670 Posts |
Just look at what the first series of Lunar series brings compared to the 2nd....
I think most do indeed hold value even though some high premiums will be forgotten and fall off the radar back to generic value perhaps....
One thing I have found to be true in many different genres, and anyone who knows me knows I have sold everything from collectibles and vintage toys to Lionel trains. Not to mention a little G&S from time to time....
And one rule always holds true for all the fore mentioned. The more COMPLETE and RARE (this can entail anything from having the original light saber and all weapons for Luke to a COA with a nice limited edition silver or gold item) and NICE CONDITION the item is and of-course OLDER it is, the more money it brings....
So for most of that high end POPULAR well known silver items that people stay up for countless hours hunting at all their pick up spots (be it local shops or shows or the computer) will always increase a bit in value each new calender year IMO....
Edited by Silverhawk74 08/12/2012 3:42 pm
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Bedrock of the Community
United States
36800 Posts |
The premium should hold on the collector type bullion coins so long as silver prices remain in an orderly market. Once silver starts a big move up you may see that premium evaporate much the same way collector silver did in the 1979-80 run up. Bullion prices moved so fast collector coin prices could not keep up with it and dealers dumped everything they had into the bullion pot. For that reason I have avoided some of the great looking modern bullion collector issues and have stuck with ASE's and junk 90% for silver investment, as I can get more silver today at a cheaper price.
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Replies: 7 / Views: 1,391 |
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