Posted 07/02/2013 4:01 pm
You could theoretically cover some of it, yous still lose a little because the physical premiums of buying are higher than the 9.99 of buying the etf.
Im as inpatient as anyone when it comes to waiting for coins, but if I'm heavily shorting something like a metal I'm not buying it at the same time in any form other than numismatic. If you mistime the shorting and dont want to close you can buy the long to cover it and vice versa and cover yourself a bit and I would want to do that as cheaply as possible.
Coin was absolutely correct youre going to run into a lot of problems with physical if youre trying to use it to cover and investment loss. The time it takes to sell, the hit youre going to take from a dealer or ebay, shipping costs ect. Thatd be a significant amount of money tied up in the physical where you wouldnt get a long of bang for your buck in terms of covering.
If youre looking to add gold I think the 2.50 indians would be an ok play. They can lose value but 200ish to 60 or 70 is a lot better than 1400 to 500 potentially. Even better I would find someone that collects the older gold coins and see if they can remember the ones that had significant numismatic value before the price run up and see if you can find the magic grades where the older gold coins are based more off of rarity than melt.
The other option would be getting some of the Charlotte or Dahlonega mint gold coins. Theyre going to be pricey, but being a short lived mint they are desirable and have significant numismatic values even now. I'm personally not buying gold right now but if I was it would be Charlotte or Dahlonega coins.
Im as inpatient as anyone when it comes to waiting for coins, but if I'm heavily shorting something like a metal I'm not buying it at the same time in any form other than numismatic. If you mistime the shorting and dont want to close you can buy the long to cover it and vice versa and cover yourself a bit and I would want to do that as cheaply as possible.
Coin was absolutely correct youre going to run into a lot of problems with physical if youre trying to use it to cover and investment loss. The time it takes to sell, the hit youre going to take from a dealer or ebay, shipping costs ect. Thatd be a significant amount of money tied up in the physical where you wouldnt get a long of bang for your buck in terms of covering.
If youre looking to add gold I think the 2.50 indians would be an ok play. They can lose value but 200ish to 60 or 70 is a lot better than 1400 to 500 potentially. Even better I would find someone that collects the older gold coins and see if they can remember the ones that had significant numismatic value before the price run up and see if you can find the magic grades where the older gold coins are based more off of rarity than melt.
The other option would be getting some of the Charlotte or Dahlonega mint gold coins. Theyre going to be pricey, but being a short lived mint they are desirable and have significant numismatic values even now. I'm personally not buying gold right now but if I was it would be Charlotte or Dahlonega coins.
