I am new to stacking and thought this could be a good time to step in .. should I go for 1 kilo coins or 1 ounce coins ? I am based in Europe and I can almost get the 1 kilo coin at spot from guernsey mint 15 GBP per ounce while the one ounce are 18 gbp I have 1k sterling to invest Let me know your thoughts newbie stacker
In the year 2034 (that is my timeline) when silver is a 500 GBP per ounce could it be a problem to unload the hummers ?
at 5% compound interest silver will reach 40 in 2033 from today's 15. That is a nice profit. From what I have read this seems to be a reasonable estimate... I think this is a safe bet ... how come all my friends think i am crazy ?
A legal tender 1kg coin - how sick is that! They look fantastic. However above points are fair too. More people are able to buy 1oz than kilos. I believe its good to have some diversity in the stack. Stack a bit of everything - kilos, 1oz, 10oz etc. Also don't forget about bars - should be closer to spot.
As a new stacker where the liquidity advantage of a 1oz, ie need a bit of cash to pay a bill, is not an issue. The one kg low premium govt issue coin is a good way to start. Having one 'exotic' britania 2013 wouldn't hurt. Wouldn't hurt your thumb trying to flip it, as much. Rule #1 - put family first.
Just to chip in. I assume that you are in the UK? A Kilo coin would almost certainly attract the attention of customs and you are more than likely to get stung with 20% VAT and customs charges on top before the coin was released and sent to you. Some members on here have been caught before, others have got their coins without getting charged. At the end of the day, you need to decide if the gamble is worth it
The 1oz coins can be offloaded one at a time and are attractive to a much wider spectrum of potential buyers, so have superior liquidity. But -- you said you can get the kilo coins for spot but not so with the 1oz coins. If I could get kilo coins (which frequently have a slap-in-the-face premium) for spot, my stash would be made up of kilo coins. Being able to regularly buy coins for spot is manna from heaven that shouldn't be ignored.
For SMSF I'm going large denomination coins and large size bars with small premium. I can't sell them to individuals through the Trust, really. Too fiddly. But private holdings, mostly small and I'm a small fish anyway. Just contributing for perspective.
I just buy the coins I like, their weight is secondary. Sometimes though it's the combination that 'works'. For ex, I like the Libertad design and on a kilo coin it greatly adds. Or a specific lunar year animal for personal reasons. Or a specific old junk coin just because of its design and popularity amongst bidders. You say you just started, why not some popular 1 ouncers of various kinds? It gives you a better resolution than buy or sell all. In the end, the primary thing that matters here is the silver as storage of value. Take care of that first, and make other reasons secondary. If you have a bunch of 1 ouncers, plenty enough to give you sufficient high trading resolution, then consider kilocoins. Just imagine you'd buy a kilocoin, and over some time you need dollars. Then you're forced to sell the kilocoin at whatever price may then be. While with ouncers, you can limit the potential loss by just selling what is needed.
As 'hobwell' stated above.....beware Value Added Tax @20% plus Import Duty, plus Customes handling charge, plus Royal Mail tax collection charges. In my experience you are taking one hell of a gamble. Thought about gold ....zero VAT rated? Just a thought.
