There are a few dealers who buy and sell round 50s, in a sort of flow business manner. Won't point them out directly, but you will know who they are depending on which state you live in. My question is, do they really make any money with such a low spread? Some are 40-50c between buy and ask price (presumably GST doesn't apply to such a transaction). Let's say "fair value" is $10 at the moment per coin, that's only ~0.5% margin, and presumably you have to hedge the spot price out of the float. Is it really worth the hassle? What am i missing (which is bound to be something)?
I know who you mean If you have the $ to spare flipping them "ONLY when the price goes up " I wouldn't waste my time
Though I don't believe it is a loss leader, in retail, the first step is to get the customer in the door. The turnover of 50 cent pieces is a way of familiarising the customer with the business. Who knows what they'll buy down the track?
I brought 3 from I.S. Wright, I asked the guy in the store if he had any loose Pre decimal and he went to the back and pulled out a few decent size tins and I bought a few round 50's, florins, shillings, ect. Oh and I bought 3 of the 1988(i think) commemorative silver $2 coin proofs because he had them on sale at a really fair price
50c spread on $10 is 5%, not 0.5%. It's all about turnover. Make 5% on your money each week and you double your money in 20 weeks.
Couple buy-back that i have seen is in the region of 10kg upwards...so it is a volume based commodity.
I'd like to find out if there are regular dealers in Perth, I seem to come across a lot from Melbourne.
Thanks Captain I've dealt with them before and they are great but I've never come upon their 50c so I will have to inquire.
Quit a few years ago I had some success with trevors coins. I dont know if they are still in Murray St Carillon center I believe they were taken over by Rare Coin Co The buyback prices mmmmmm
No they've long gone and sadly the Rare Coin Co. refuse to offer a shop front for their numismatic stock. I was quite a regular visitor there
ISW in Sydney = Spot + 10% for ordinary pieces and add 40c for shiny Unc. Getting harder to find without a large premium; Wynyard coins (MRR) will sell at $11 only at current prices, they have a weekly guranteed buyer!
