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 Replies: 21 / Views: 4,257 |
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New Member
United States
1 Posts |
i,
I hope I'm posting this in the right place. I am new to using forums. I'm hoping y'all can share your opinion/expertise with me. I have no experience investing in precious metals. I want to begin aquiring gold. I have a small amount of money to invest on a monthly basis and feel that having gold on hand in small quantities is a good idea for a variety of reasons. Given that goal do you believe 1/4 to 1 ounce gold coins are a wise investment? If so, what do I need to be wary of. I plan to purchase them and keep them at home in a safe so they can be accessed in an emergency.
Thanks in advance :)
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Valued Member
Canada
281 Posts |
 I can only speak from my personal experience in acquiring the little I have, The size and /or shape of the gold you will purchase, is really a matter of taste,needs and your budget. What I purchased was thought of, as a collection 1st and investment/diversification 2nd. The general rule concerning (bullion) prices is that the smaller the piece the more expensive it is compared to the spot price. You can go bullion and/or numismatic, this one being more expensive because it could be graded or old and rare. My best humble advice is to take your time and do allot of research into everything and anything you'll purchase. Buy from reputable vendors as much as you can. And as F.Freddy motto states "Caveat Emptor"  |
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Valued Member
164 Posts |
Gold Bullion 1 Oz Rounds or Bars at first.You will get the best deal for your buck at 1 oz..
Then try Modern Coins Graded at MS70..Gold was about $1,300.00 about a week ago,,,lowest I have seen it in this month was just under $1,300.00,,,now trading around $1,350.00,,,its getting low,,I do not think it will get much lower then $700.00 a Oz in the next 6 months to year,
Slabs graded at MS70 will sell..Do not buy Modern Coins lets say 2001 to 2013 that are graded MS69,,worth the extra money for MS70 years 2001-2013..PCGS or NGC for Grading Company's,,I would not buy Slabs from any other Grading Company myself,,,Buy Silver Hoard Copper and Zinc,,,,Cosmos
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Valued Member
United States
315 Posts |
No, if you are paying over spot. By walking around my neighborhood, I can get scrap jewelry at spot and watches below spot.
I found a guy selling gold coins at $5 over spot, thats the upper limit for me.
If you want silver, silverware at .925 purity is 90% of spot regularly. Silver proof cpoins and junk at spot is readily available.
Just remember that everybody who is "willing to do you a favor" by selling to you at spot is most likely buying it at 50%. I cooperate with them by paying cash but dont fall for them asking for sales tax or credit card processing fees.
Edited by Superhal
10/28/2013 06:16 am
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Pillar of the Community
United States
1200 Posts |
1---Welcome to CCF. 2---The advisability of using physical gold as an investment is highly debatable and it's debated (if not repeatedly beaten to death) here every day. If you're up for some reading, wade through this -- https://goccf.com/t/1420683---When you decide whether or not to acquire some gold, do your own research and thinking and reach your own conclusion. Don't be bullied into a course of action by any highly opinionated other parties. You'd probably be ill-advised to sink every penny you have into gold, but buying limited amounts of it will very likely not be a fatal mistake either. 3---Despite their higher premium, the single most liquid gold coin is the 1/10oz AGE. In addition to that, since it's only 1/10oz, it only costs around $150-ish these days--which isn't a major bank-breaker of an investment. 3---It's encouraging to hear that gold is so readily available at spot or less in some areas, but I'd be VERY wary of fakes, copies and plated garbage at that price level. Fakes, copies and plated crap litter the landscape these days. Until you really know what you're doing and what to look for (as well as what to look out for) you'd do well to be very careful and proceed very cautiously. When you see those amazingly low-priced "deal of a lifetime" offerings on ebay, run for your life. 5---I don't know where you are in TX, but there's a TX PM dealer you could check out -- http://www.goldwiser.com Their pricing is competitive, they ship quickly and I think they're among the best. On a national level, Provident is good and Goldmart has low prices but a bad reputation for over-the-top shipping delays and a nasty anti-customer service attitude. APMEX has the best inventory in the market but higher prices and their shipping charges are vicious. 5---Bottom line is the old saying -- "If the deal looks too good to be true, it probably is." You and you alone are responsible for doing your own due diligence and doing it well is the only thing that'll keep you from getting burned in a market full of scammers and thieves. Do your own thinking, make your own decisions, be careful and best of luck. Edit... TXCutie--- 1--Just found out---Goldwiser is a large chain "we buy gold" operation, so stock available for sale at individual locations will be limited. 2--Enable your forum PM option so I can send you a PM. Edited by Fat Freddy
10/28/2013 1:05 pm
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Valued Member
United States
331 Posts |
Fat Freddy that was good info. If its not too much trouble could you send me the info also. I too am looking to invest a little in gold. And would sure appreciate any reputable dealers that you trust. Thanks in advance.
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Pillar of the Community
United States
1200 Posts |
Pawpaw---You need to enable your forum PM option. It's presently turned off.
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Pillar of the Community
United States
5823 Posts |
I would take another route and buy slab (NGC or PCGS) common dates, or semi-key dates $2.50, $5 and $10 Indians in MS-63 or 64, just to start of with, sometime there are sales with theses on AMPEX and other online reputable dealers.
You get a piece of history and numismatic value even when gold drops in prices, these are also easy to sell, and not subject to lose too much value unlike bullion. That's my humble opinion.
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Bedrock of the Community
13014 Posts |
Agree with mercury that things like Indians would be the better choice as they would provide protection from spot price movement.
I would ask though what kind of emergency youre thinking it would be useful for?
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Pillar of the Community
United States
1200 Posts |
MacM & BB---You're right about the slabbed Indians providing some insurance/cushioning against value loss through spot deterioration
where bullion provides no such effect. I was thinking of just liquidity only and my narrow focus didn't enable me to take that into account.
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Valued Member
Canada
281 Posts |
@TXcutie
If your primary goal is possessing gold for easy access and subsequent liquidation in a emergency situation,
I would not purchase numismatics coins for the simple reason that the premiums that comes with such coins
will be harder to recover if you're in a rush (so to speak). Where as recognizable bullion coins or bars will be
taken off your hands for more or less the same price you paid assuming spot price is the same.
btw; not even fractional bullion coins, only full ounces or heavier have the least premiums.
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Pillar of the Community
Canada
3692 Posts |
True investing entails big bars like 100ozt or 1000ozt. Even one ounce coins and bars have premiums attached, so you're doing yourself a disservice by buying anything small. You'd have to wait for a spike to break even.
Huge bars is investing, imo. By taking the small route you leave yourself open to chance/luck.
BUT: I can read your situation. You want /liquidity/ Therefore don't buy silverware (this thread is gold not silverware). You live in the USA, so get an Eagle or a Krugerrand because it's the same. Go for 1/10ths, as they are a good sum of divisible money. 1/20th and 1/25th pieces have way too much premium and they're usually minted with collectors' designs instead of being plain and used as money. However, I feel that you should keep a small stack of 10 single ounces of silver with you as well for smaller purchases. A 1/10th may be too much to fill the gas tank or a cab ride.
*Don't listen to me, and don't get into the metals market. Do what you like. To me it doesn't sound like you're investing but that you're creating a safety net for insurance. I would try to remove the thought of dollars from my head and think only in ounces.
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Bedrock of the Community
13014 Posts |
Quote:
I was thinking of just liquidity only and my narrow focus didn't enable me to take that into account. Youre right about them being the most liquid which would be an advantage. As you know I dont believe in pms for doomsday or emergencies. If theres a disaster like Katrina youll want you can take and spend where ever and if the country fell apart you want bullets and guns. So for me with gold its more about what could I buy and enjoy without having to worry about gold going back to 400-500 and having it lose over half its value |
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Pillar of the Community
United States
1200 Posts |
BB--One PM dealer friend of mine in TX says the 1/10oz Eaglets are by far+away the most traded+liquid of all the gold bullion he sees. A show vendor who's
always at the monthly show in my area does another show 125 miles away the day before ours. When he gets here, he never has any 1/10oz Eaglets because
he always gets cleaned out at the other show the day before us. To me, these 2 indicators speak volumes about the liquidity issue.
It's a personal thing, but I tend to focus more on liquidity than most other considerations. I may not be right about that and my outlook might be wiser if revised,
but I've revisited that thought so many times I'm tired of it and I can reinvent that wheel only just so many times...
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Pillar of the Community
United States
2543 Posts |
Quote:
the 1/10oz Eaglets are by far+away the most traded+liquid of all the gold bullion he sees They also command the highest premiums. You can find 1oz krugerrands or rounds for spot+$40 , 10th ounce eagles are $201/oz over spot at APMEX now. |
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Bedrock of the Community
13014 Posts |
Quote:
BB--One PM dealer friend of mine in TX says the 1/10oz Eaglets are by far+away the most traded+liquid of all the gold bullion he sees. I definitely believe that, theyre one of the few "affordable" gold coins out there that most people could buy if they wanted. Theyre actually one of the bullion coins I kind of like just because of the ease in selling them, theyre just so small. I do agree though being liquid is a huge plus and there is a value to that. I just like the older stuff better since it has longer established values and fewer survive in good condition as time goes on. For the 1/10ths though its hard to argue against those. Its more the 1 ounce coins Id stay away from as the buying market is small and spot drops would have drastic effects there. |
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Replies: 21 / Views: 4,257 |
Posted 10/28/2013 04:38 am
