G'day, I'm new to silver stacking. I have just opened an account with ABC bullion and have started buying pool allocated silver. I buy it at spot price and the company store it for me and it is backed by physical metal with free insurance. I am just wondering if this is a good thing to do or would the smarter thing be to buy bullion bars/coins and have them shipped to your door and stored privately? Any advice would be appreciated.
If you trust your dealer, cool. If you have the slightest doubt, do both. It's a big relief not to have to store physical, or pay someone + insurance to do it for you. I have pooled unallocated with goldstackers
excellent piece that you wrote bullion baron. Each to their own but I personally would not buy unallocated silver.
If you dont hold it, you dont own it.. simple as that.. I dont care if the queen her self is sitting on my stack and guarding it..
...ask the members on the forum who suffered six figures losses last year from believing that mantra.
I believe in the value of diversification. So I have a little as physical metal - not in my hand, or my house, but nearby, and only as much as I'd need until I could get my hands on the rest - a little in vaults as allocated and segregated, and a little in allocated but unsegregated accounts. All of these accounts are geographically distributed as well, and not all with the same company.
The only diversification I believe in is diversification of opinion. It's truly different horses for courses. What suits one person may not suit another. As my only asset is silver, I keep a 2 ton, 1930s style Chubb safe in my attic. Each entrance to the room has a special trip wire on the door, window and skylight with an individual shotgun aimed accordingly. Others I know will only ever use unallocated as they cannot be bothered with storage and insurance and enjoy playing the Gold silver ratio. Maybe it's an age thing; physical v virtual? I know I'm right, let me tell you about physical women.....
At least two members on this forum lost metal in amounts in excess of $100,000 in 2013 from burglary - one guy, and I quote pretty much verbatim a conversation I had with him said "I should never have listened to that rubbish about how if you don't hold it you don't own it, because now I don't have any of it". Basically the constant spouting of that line leads to poor storage choices being made, creating far greater exposure than otherwise necessary. Far more metal has been lost by members of this forum through home (or even storage facility) theft than through unallocated accounts going belly up. Doesn't mean people should blindly accept that every offering is equal, or that every dealer is financially sound or doesn't have some other risk factor hanging over them. Disclaimer - I'm a shareholder of a bullion dealer that offers unallocated accounts, but as the architect of the system, I sleep well at night knowing how it works and that the metal is there to cover all client accounts. Sick of spending money on new safes every six months.
