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 Replies: 18 / Views: 4,167 |
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Valued Member
Canada
84 Posts |
I am wondering, given that many say the price of silver is/has been artificially manipulated downward for a long time but at some point will increase dramatically due to shortages and a return to fair market value, would now be a good time to sell my gold & non-PM coins and put it into silver ? I am interested in this community's Opinions and I fully realize that no can know for sure what the future will bring, BUT, I would really like to know what you more knowledgeable than myself folks think. I inherited a fair size but Very mixed collection which has been quite the learning curve for me, I really enjoy it but I also want to someday get the most out of it that I can. Thoughts ? |
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Valued Member
South Africa
453 Posts |
No one can say what silver will do its only a guess but if I where you I wont sell, rather Just start buying silver
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Valued Member
Canada
335 Posts |
I'd sell what you don't want to keep to buy stuff you want to buy. Personally I'm selling some of my coins and going to bullion.
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Pillar of the Community
Canada
1118 Posts |
You might get more traffic if you post this in the P.M. forum, Canadtech. I have been buying silver lately because a) it is pretty low right now and b) I have my first "real" job. Like ASEnut said no one can say for certain and you can always just buy silver but if you are strapped for cash or you want to develop, lets say, a really nice Maple Leaf collection you could sell some of your inherited clutter and re-focus. I find the occasional prune is good for my collection. Have you done all your homework so you know the pros and cons of things like rounds, junk, coins, N.C.L.T, bars etc. etc,? |
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Pillar of the Community
United States
4691 Posts |
I don't like any of the metals right now. I would sell and go to cash or an alternative investment.
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Pillar of the Community
Canada
3049 Posts |
I would hold off on swapping your gold for silver until the GSR gets up to around 75 - 80... (if it ever gets there).
As for the price of silver... well who's to say what on that.. It is my opinion that the price of silver shot up to nearly $40 an oz because of the "paper silver" and silver derivatives all having to hold as much physical as they were selling on paper. This in short cause a spike in demand.. Silver has been dancing around 18-24 for the last two years and I personally don't see any reason why it would "spike" in price at anytime soon.
I would caution the purchase of PM's in terms of an "investment" strategy.. and state that buying PM's is more like hedging against inflation.
Now what would I do if I was in your shoes? Well if I had a bunch of coins which I really wasn't interested in... I would most likely sell them to get into something I was more interested in... be it skiing, fishing, dance lessons or PM's .. what ever tickles your fancy... life is short enjoy it!
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Pillar of the Community
Canada
1700 Posts |
Why sell gold now? To replace it with silver, a metal that trends with gold?
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Pillar of the Community
Puerto Rico
778 Posts |
No, I am a collector, not an investor or speculator.
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Pillar of the Community
Canada
2495 Posts |
Quote:
Why sell gold now? To replace it with silver, a metal that trends with gold?
Peterson......silver does not trend with gold. Over the last 15 years, you could have greatly increased your PM ounces by swapping silver for gold and then swapping back the gold for silver when the ratios favoured this. The GSR (gold silver ratio) has fluctuated from 35:1 to 100:1. EX. at 100:1 you swap your 5 ounces of gold for 500 ounces of silver. When the ratio hits 35:1, you swap your 500 ounces back to gold and you receive 14.2 ounces of gold. The beauty of this system is you need not pay attention to the price of the PM's, rather you must focus in on their 'relative' price to each other. Edited by doubleeagle59
08/19/2014 6:46 pm
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Valued Member
 Canada
84 Posts |
Interesting replies so far, along the same lines of what I've been thinking.
from my reading it is clear the gold/silver ratio is a long way from the historical average,
with silver much lower. some are saying that both are likely to go up, that suppression can't last
forever and that if the historical ratio returns silver will gain more in value than gold.
from what I'v been reading it sounds like "paper" gold and silver is a giant scam, with many
people supposedly "owning" the very same possibly even non-existent piece of metal, I will not
go anywhere near that. If I had more expendable cash I would be buying more silver, and I am wondering
if there's more to gain with silver than gold, I've read some quite convincing sounding arguments
for silver over gold.
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Valued Member
Canada
84 Posts |
doubleeagle59
i hadn't thought of that, interesting, I was mainly thinking about swap and hold.
More food for thought !
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Pillar of the Community
Canada
1118 Posts |
The bottom could drop out of either or. I do not play the metals game per se (other then to use as trading tools) but I suppose the old adder "Don't put all your eggs in one basket" applies here.
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Pillar of the Community
Canada
2495 Posts |
I believe for the long haul, PM's is the only way to go.
Think of it this way.
If you were handed $100,000.00 and told you had to invest it for 20 years and you could only invest it in one sector without changing it for the 20 years, would you choose:
a) cash
b) stock market(choose one blue chip stock)
c) balanced mutual fund (most likely includes a good percentage of bonds)
d) Precious metals, Platinum, gold and/or silver.
With the abundance of money printing and huge run up of government debts, I would hope everyone would choose 'd'.
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Valued Member
Canada
348 Posts |
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Pillar of the Community
Canada
3049 Posts |
The GSR swap is THE best way to gain free metal. And as one previous poster had mentioned you don't have to care about what the price of gold or silver is at any point...
Now I have my own opinions on gold and silver... I really don't use either as an "investment"... sure I buy them but to me owning them is like storing money in the mattress.. just this currency is recognized all over the world.. easily transportable and very malleable.
If you look at what an ounce of gold could buy 100 years ago, it's pretty much the same.. the difference in dollar value is attributed only to inflation. That's why I don't look at PM's as investment at all....
To answer doubleagle's proposition with 100K I would NEVER place all the eggs in one basket.. but IF I had to pick one it WOULD be stocks... but MORE than just one....
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Pillar of the Community
United States
4333 Posts |
Then the gov steps in and caps PM prices, or even outlaws ownership, to protect the dollar. Anything is possible.
When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Replies: 18 / Views: 4,167 |
Posted 08/19/2014 4:41 pm
