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Posted 03/06/2013 07:25 am
Bullion is Bullion is Bullion
Although this is straying from topic you need to be sure to recognize Coins from Bullion.
Bullion is precious metal nothing more, nothing less.
Purity can be tested by many methods and all tests have some level of certainty. Weight, Ring Test(Silver Only), and Acid Testing, the later being the best.
By acid testing Bullion you can, with a high level of certainty, determine approximate purity.
Remember this is bullion so who cares if it blotches your test piece. I have some bullion with deep cuts into them so as to expose and test the actual metal inside. The bullion is still bullion and still of the same value by weight.
Collectibilty and rarity of particular mintages on rounds may drive the perceived value of them up but they are in actuality only worth the silver in a trading scenario. Premiums also drive up the Worth, but not Value of the bullion. and this is where many lose money when buying bullion.
Example: An OPM Round made from recycled .999 Silver selling at spot + .70 premium has the same value as a Perth Mint Kook at spot +$8.00 premium. So why buy the Kook? Vanity or the belief that someone will buy it for an intrinsic value rather than its content.
It's worth may be actually higher than it's value. but that is up to the buyer and has no relationship to it's actual value in silver.
Personally I Load up on Low Premium Silver and only buy a few examples of the Rounds I want to look at.
In the End they all gleam in the Sun
Buy Low Sell High
Although this is straying from topic you need to be sure to recognize Coins from Bullion.
Bullion is precious metal nothing more, nothing less.
Purity can be tested by many methods and all tests have some level of certainty. Weight, Ring Test(Silver Only), and Acid Testing, the later being the best.
By acid testing Bullion you can, with a high level of certainty, determine approximate purity.
Remember this is bullion so who cares if it blotches your test piece. I have some bullion with deep cuts into them so as to expose and test the actual metal inside. The bullion is still bullion and still of the same value by weight.
Collectibilty and rarity of particular mintages on rounds may drive the perceived value of them up but they are in actuality only worth the silver in a trading scenario. Premiums also drive up the Worth, but not Value of the bullion. and this is where many lose money when buying bullion.
Example: An OPM Round made from recycled .999 Silver selling at spot + .70 premium has the same value as a Perth Mint Kook at spot +$8.00 premium. So why buy the Kook? Vanity or the belief that someone will buy it for an intrinsic value rather than its content.
It's worth may be actually higher than it's value. but that is up to the buyer and has no relationship to it's actual value in silver.
Personally I Load up on Low Premium Silver and only buy a few examples of the Rounds I want to look at.
In the End they all gleam in the Sun
Buy Low Sell High
