silver and gold swaps

Can anyone advise what is the best cost effective way to swap Ag for Au or vice versa. I am talking about bullion bars or bullion coins. Obviously selling for fiat and then buying one loses on both transactions. Do any of the dealers offer a swap mechanism that avoids losing on both transactions.

I would value any advice. Thanks

 

bullion would be close to a GSR swap, bullion coins would depend on the coin

 

Thanks HiHo. Currently the GSR is 41.44. If I have 3x 100 oz Ag bar, who would swap that for 7.2 oz of gold.

The PM for example on last night's figures will pay you $10,221 and that will buy you about 6.2 oz AU - you lose 1oz ($1500) which is a staggering 15% ? Is there a better option ?

 

ozbullion provides a bullion buyback service, he may entertain a GSR swap with you, I would assume a fee may be in order

 

Thanks - just the info I wanted.

 

Hey Ronnie,

I'm quite a fan of swapping Ag for Au, have only been trading small quantities for gold proofs and fractionals, but if you have the quantity, I'd start looking at trading for 1oz blobs for your silver.

At the end of the day, if its straight oz's of gold you want to stack, trade your bull out. You may be able to do quite well trading small quantities of bullion for fractional coins, its just a case of getting to know the premiums.

I would certainly avoid a 2 stage transaction (silver-fiat then fiat-gold), specialy through somewhere like the Perth Mint.

Put some trade ads out, hold out for the right offers. You'll get bites, I guarantee it, its just a case of snapping up the right one for what you want.

 

ozbullion imo would be pretty decent
they will buyback for spot (no fees involved) (make sure you contact ozbullion on the forum first before you go in)

I think they will sell you silver at spot + markup....at least you don't lose twice(on the sell and buy) ....if you know what i mean. Their prices are decent as well.
Dont see much business' doing a straight up gsr swap as they need to make some profit

Privately though you may be able to - just have to find someone who is willing to go the other way that you are. You may need to pay abit extra on top as 100oz bars are low premium, and 1oz gold have some premium attached....

 

great thread.only this morning I was thinking the same.I was thinking 100 oz silver bar = 2 x 1 oz gold + 10 oz silver.Gsr at 41.3 or there abouts means the the person swapping the gold would be about 7 ounces of silver better off .Does this sound right?I was gonna put that in the trade section but I dont want to look like a d#%k.Plus Ive never done a trade on here.

 

Great advice from everyone - Thanks

 

I'm in the market for 100 oz bars at the moment. Only need a few. Must be Perth Mint. Just PM me.

 

... And yes will do gold swaps..

And always buy back for spot.

 

The easiest way to consider inter-metal swaps is to CONVERT ALL METALS INTO SENSIBLE FIAT PRICES.

For example

a Full Sovereign weighs 0.2354 and current GSR is 41.3 so AT THE GSR i could ask for my Sov
the following amoutn of silver

0.2354 x 41.3 = 9.72 oz silver

NOW IN FIAT

Cheapest available FULL SOVEREIGN is around $350 ( less than 5% over SPOT )

http://completed.shop.ebay.com.au/C...&_sticky=1&_trksid=p3286.c0.m14&_sop=15&_sc=1

so if silver is available at less than 5% spot than a straight GSR swap would make sense and it would be
'fair' for gold holder to both ask and receive the 9.7 oz of silver - BUT silver does not cost within 5% of spot.
So if i had KOOKs and wanted to get the SOVEREIGN than this is how i would go about it

I can sell a KOOK for lets say $42 - so id need to sell $350 worth of Kooks to be able to buy the SOV for fiat - so
$350/$42 = 8.33 Kooks ( and GSR said it was 9.7 oz ) but there are fees and hassles with selling the Kooks
so in this instance a 'fair' swap would probably be

8 Kooks + 2 x 50 Cent pieces = Sovereign
or 9 Maples = Sovereign

definition of 'fair' swap = when neither party can 'brag' about the swap - or when neither party is 'cursing' the other party for being taken advantage of.

if i sell $100 aud and get $106 USD than thats a fair swap - but if i get $115 USD for my $100 AUD , than the guy who got the AUD may eventually do some cursing - and the USD guy may do some bragging.

 

you need to find the gold owners searching for the form of silver you own.

I am willing to trade for certain type of silver eg, perth mint 10 oz bar/coins or certain bar like bullion club 10 oz, those low premium ones except Morgan bar. or pamp kilo bars,

so long as the cost of swap make sense to both ends, everyone will be happy. check out the tread put up by hiho on the cost of postal, it helps you consider the costs involved with overseas swaps as well.

 

Putting yor location in the From: part of your identification will allow face to face swappers to know your available.
Many won't bother otherwise.

 

Also useful for silver owners to carry some 'loose' change in the form of smaller silver coins to use in
'adjustment' for prices.

ie.

Lets say i have a half sovereign and i want silver, and you have a collection of silver coins and you want some
gold in the form of my half sovereign.

Now fiat price for Half Sov = $185 ( at this price they would be sold at the rate of AT LEAST one a day on SS )
Your Kookaburras = $42 ( apprx fiat price on SS )

so GSR for the trade

gold = 0.1107 oz agw
GSR = 42

amount of silver = 4.64 oz -

So if the silver holder ONLY has coins in 1 oz denominations ( ases, maples, kooks, philharmonics, buffalos, bars, etc ) and doesnt have FRACTIONAL silver coins ( 1966 50 Cent , florins, shillings, 6 pence, 3 pence , etc ) than
in order to get the bar he would have to give 5 oz of silver for the Half Sovereign - or sell them for fiat and incur additional costs