| Author |
 Replies: 22 / Views: 5,771 |
|
Pillar of the Community
United States
2001 Posts |
Given the high premiums over spot on silver today, I was curious what form of silver others are stacking these days? Generic rounds and bars seem the cheapest at about $30-$33 per ounce but I really don't care for them. I would much rather prefer a product made from an official government mint such as the ASE's or Maple Leafs. So far the cheapest I have found are 1 ounce Britannia's at $34.18 each. Anyone have a better suggestion? |
|
|
|
Pillar of the Community
United States
2213 Posts |
It depends what each person likes and prefers. I enjoy variety so I have a mix of government issues, generic rounds/bars. I like the security features on the Britannia and Canada Maple Leafs. When the silver King Charles Britannia were released I bought some. But one had a huge milk spot covering half of his face. I don't like milk spots. I sent it back for exchange. The missing reed edge on ASE is lame for a security feature. Due to high premiums I haven't bought any ASE since Covid except for a few proofs from the mint. I have a 100 oz silver Engelhard bar my dad gave me years ago, it's fun to hold, impressive. Large bars are the cheapest per ounce but could be less liquid. I watch the major online dealers for their sales and check with my local coin store. But I've slowed down buying. My most recent purchase was from Hero Bullion, a sale on Cook Islands 1 oz silver bounty ship coins, $28.65 each just before the banks failed. Nobody knows future prices. The major bank traders manipulate the paper silver/gold market. It wouldn't surprise me to see spot prices plunge again for a while, then I'd buy more. But IMO the gradual trend upward will continue due to inflation, economy, national debt, etc. Edited by livingwater
04/24/2023 07:58 am
|
|
Pillar of the Community
United States
2049 Posts |
I am still focused on a mix of 90% and bars/rounds. Not a fan of ASEs unless I can find them for a really good deal. For gov't issued I really like the Brittanias.
|
|
Bedrock of the Community
Australia
21786 Posts |
If you are a silver stacker, it implies that you will accumulate a large amount of silver over time
I believe 10 ounce bars are the best way go, because
they are the most optimal for lowest premium per ounce versus stored volume.
Bonus advantage:
Prismatic shape of bars also an advantage for storage convenience.
Definitely a consideration in this regard, if you only have a small safe.
Heavier bars (especially in multiples) can present transport security problems.
---------------------------------------------------------------------------------------------------------------------------------------------------
If you like the variations in designs of 1 ounce silver rounds that is OK, but the premiums per ounce are higher.
Thus, you are taking the first step away from silver stacking, and towards numismatics instead.
Lots of stackers do both, but I stack 1oz Pt, not Ag.- storage not a problem with my small safe.
|
|
Pillar of the Community
United States
2049 Posts |
Love 10-ounce bars! Like Sel said, lower premiums and easy to store. And it would be easier to sell to a private party if cash is needed from 2 standpoints - less likely to be faked and your audience will be limited when trying to liquidate a 100-ounce bar.
|
|
Pillar of the Community
 Canada
665 Posts |
I am with @Sel. At my local bullion store (Vancouver BC Region), 1oz silver has a spread between buy & sell of 18.4% whereas 10oz Silver has a spread of 14.8%. 100oz has a spread of 9.5%. so if stacking is your goal, the 100oz is the best to minimize the appreciation required to cover the spread though I agree it is a pain to store and transport.
Gold is by far the preferred "stacking" PM from a spread perspective... 1oz Gold is 3.7% for MLs/3.2% for Bars. 10oz bars are only 2.9% but the price of entry is high.
As far as Pt is concerned, locally the spread is 7.4% for 1oz albeit at just over half the price of entry of 1oz gold.
The biggest risk for folks like me who has a foot in Numismatics and another in bullion, is the tendency to pay too much for bullion because of compelling design and then classify a coin purchased for 1.5x bullion as a stacker vs. a NCLT item.
Edited by vonigohcr
04/24/2023 11:36 am
|
|
Valued Member
United States
240 Posts |
|
|
Pillar of the Community
United States
2213 Posts |
I confess not being a pure stacker, about 70% stacker, 30% numismatic collector.
Edited by livingwater
04/24/2023 3:28 pm
|
|
Pillar of the Community
United States
2049 Posts |
I have set specific yearly and long-term goals for what I want for total weight and how I want the allocation to be. I keep track of it all on a spreadsheet. I have hit all of the individual goals for this year except for the 1-oz bars/rounds (need 3 more). I find that having the specific goals really keeps me focused when going to coin shows, but I also will not hesitate to grab something for which I have hit my goal if the deal is a good one. I may change my goals to reflect how the market is, but the long-term of goal of a certain number of ounces will remain the same.
|
|
Pillar of the Community
United States
2365 Posts |
We just switched from tubes of rounds to tubes of BU ASE's. Personally, I would not "stack" Britannia's.. The Britannia's are great coins for collecting but, not stacking. Their numismatic values are ever increasing. If you don't mind a mixture of coins, that would be a good choice for stacking or rounds to start. We stack gold coins from different countries and have found it's an interesting way to go with greater and more interesting variety. 1/10th oz of gold makes for nice stacking with a smaller investment (in gold bullion) at one time albeit, higher than silver. Also, you could consider stacking "junk silver" coins to start as well. Palladium might also be a good choice for stacking. It has even more uses than silver, cheaper than gold and is an increasing market. I'm a slow stacker!  Edited by dsking
04/24/2023 6:01 pm
|
|
Pillar of the Community
 United States
2001 Posts |
I understand the preference of larger weight bars to lower the premium. My fears are of a complete dollar collapse as countries around the globe dump the U.S.D. as the reserve currency and also the impending chaos that will be caused when the U.S. adopts the Central Bank Digital Currency. I would like to have some reserves on hand to be able to barter with. I tend to lean more towards government issued 1 ounce bullion because they are easy to verify authenticity and easily transactable. Bars on the other hand, how do you fractionalize a 10 ounce bar? I even thought about gold in the form of 1 gram bars but even they would be difficult to fractionalize. And 90% junk silver appears to carry an even higher premium over melt from what I have been seeing. For me the way to go seems to be 1 ounce government bullion but I suppose I will have to keep hunting for a deal when available. The premiums are just out of line right now to make it worthwhile..
|
|
Pillar of the Community
United States
2213 Posts |
You wouldn't have to fractionalize all your stack. There are goods and services that are more expensive, car parts/repair, house repair, etc. In my city a service call for an electrician/plumber is about the cost of 1 gram gold. Trade with a rancher for a quarter hog or beef and you're easily into silver bars range. Some fractional would be needed to round out the bill. A while back I saw a stacker being interviewed on YouTube, said he traded 10 oz silver bars for a new deck. There are several states that passed or working on passing bills to allow using silver/gold as legal tender.
Edited by livingwater
04/25/2023 07:41 am
|
|
Pillar of the Community
United States
1747 Posts |
Mister T, I share your concern. But if it comes to bartering bullion, I don't see how a government issued oz holds more value than a bar (especially if it is a name brand bar). If there is "chaos" as @ livingwater states you will barter for goods and services.
I think a mix of 1, 10 and 100 oz silver bars makes sense. To me, the more you pay in premiums, the more you are diluting your purchasing power from the start. You don't go to the grocery store now and pay in all quarters or dollar bills.
|
|
Pillar of the Community
United States
2001 Posts |
Valid points from all of you. I suppose a mix would be best after all. The reason I liked the 1 ounce coins was because I was thinking of small purchases such as a tank of fuel or small portions of food. I hadn't considered the need to barter for larger purchases or services. Plus who knows what the exchange rate would be in an emergency situation. I did see 250 gram bars in the $236 range. That turns out to be about $29.38 per ounce. I think I will try that route. Thanks for all your advice.
|
|
Pillar of the Community
United States
2001 Posts |
After some careful consideration I did go for a 10 oz bar for $284. I had done some comprehensive research concerning the prices of the metals, and their performance over the past 50 years. I was trying to understand if gold was over valued or silver was under valued. My conclusion was that both are true actually. I wont go into all the data I compiled to reach this conclusion but to stay on par with inflation, gold should be at $1678.50 and silver should be at $50.75 as of this posting. No doubt that the markets are manipulated and silver is being suppressed. Everything in life is a gamble but I feel pretty good about stacking silver at this point.
|
|
Pillar of the Community
United States
2280 Posts |
I'm a proud Numismatist 100%
Numismatics > Bullion "Stacking"
You realize when you know how to think, it empowers you far beyond those who know only what to think.
-Neil deGrasse Tyson
Edited by NumismaticsFTW
05/02/2023 06:11 am
|
| |
Replies: 22 / Views: 5,771 |
Posted 04/24/2023 08:13 am
