A few questions

I just have a few questions I'd like to get some opinions on. It's not really a survey but it may seem that way.

First is just more of a general idea on the kind of physical silver SS members like to stack.
.999, Sterling, other or just any? Bars or Coins? Generic or Brand name? Smaller or larger pieces (ie/ 1oz vs. 1kg)? Do you take liquidity into account?

Now to more specifics.
Do you think it's worth paying a premium for coins? If silver does reach the projected highs, will those wanting/willing to buy really care about the difference between a generic bar and a mint issue coin?

Would you pay more than an items perceived value just to get it? I'm constantly outbid on ebay by people who seem to do this, very rarely do I get anything because of it.

Would you buy a coin strictly for bullion value? For example, if the coin was damaged. What if the price was currently below spot? And would it still have resale value?

And moreso from my own personal curiosity, what makes PAMP worth so much more than others? Is it really worth such a high premium?

The reason I ask this is because currently I have a pretty small stack, I'm looking to increase my holdings as I'm sure we all always are but being only part-time employed, I need to try to get more bang for my buck. Small lots have a less dramatic effect on my finances but larger lots offer better value, especially over time when taking into account delivery costs of smaller individual lots. And Bars are noticably cheaper than coins of similar weight, as an example from the Perth Mint: a 10oz Bar is roughly $380 as where 10 x 1oz Coins is roughly $460. But then I think of liquidity and how much easier selling a 1oz coin is compared to a 10oz bar. There is so much to take into account.

So yeah, your thoughts would be greatly appreciated.

 

.999, Sterling, other or just any? - purchase is price dependant so all the above, especially if offered at spot.
Bars or Coins? - both
Generic or Brand name? - brand name, generic hard to obtain in Australia as far as i know.
Smaller or larger pieces (ie/ 1oz vs. 1kg)? - edited out
Do you take liquidity into account? - No... actually yes which is why i don't buy bars above 1kg (aside from the lack of funds).
Do you think it's worth paying a premium for coins? - No, but they can be pretty and are easier to trade
If silver does reach the projected highs, will those wanting/willing to buy really care about the difference between a generic bar and a mint issue coin? - Depends on whether they are a coin collector or not. As long as it from a recognised mint and thus percieved to be of guaranteed purity i think they won't care. I think they'll all be destined for the pot regardless.
Would you pay more than an items perceived value just to get it? - yes i have done but mostly regretted it afterwards.
Would you buy a coin strictly for bullion value? - Always. I don't pay premiums for proof.
if the coin was damaged What if the price was currently below spot? And would it still have resale value? - in my opinion yes for bullion value but i'm no expert.
what makes PAMP worth so much more than others? Is it really worth such a high premium? - not in my opinion hence i don't buy these. They do seem to be a little lighter coloured and shinier than the others though. But i'll leave them to the others.

Given that you have a small stack stick with whatever you can get as cheap as possible. Don't try to get the world collection of 1oz coins yet as you'll waste premiums and it'll cost you more. These coins are fun to trade but just focus on the stack. I reckon you should stick with 10 and 20oz bars, 500g bars and 1kg bars for now. If you want to play with 5 and 10oz coins go for it but just be aware of how many ounces the premiums will cost you. I don't think there will be a shtf situation in Australia so i don't buy this as a reason for getting smaller coins.

Hope i'm not the only one who answers these questions.

 

It depends on who you are selling to.

Better quality always has better appeal to fellow stackers. Even if their aim is most ounces for least dollars given a choice between ugly or nice, at the same price, they'd choose the nicer.

It's just human nature. Most of us are not going to be selling to industrial users who dont care one way or another.

 

It's good to get the perspectives of others, especially of those who are more experienced in trading and within the community.

And Thanks Naphthalene Man, I appreciate you taking the time to answer what I now realise was a significant number of questions.

 

First is just more of a general idea on the kind of physical silver SS members like to stack.
.999, Sterling, other or just any? Bars or Coins? Generic or Brand name? Smaller or larger pieces (ie/ 1oz vs. 1kg)? Do you take liquidity into account?

I used to stack ounces regardless of what it looked like. Now I am focussing on Perth mint products as they are recognised world-wide as a benchmark for minted coin quality. Other mints seek to produce coins as beautiful as the kooks, koalas and lunar series coins. The only non 999 silver I have are the 1966 50c pieces. I foresee myself only trading/ selling to Aussie stackers, and we all recognise these. About half my stack is coinage - most of this is 1 oz coins, plus a few 5 oz and 10 oz lunars/ kooks.
I recently sold/traded my 1 kilo kooks for smaller bars for liquidity in the future. The largest bars I have now are 20oz perth mint bars. Most of my holding are now 20 and 10 oz perth mint bars.
Yes - liquidity is taken into account!

HOWEVER! If you want to capitalise on the fluctuating GSR, probably best to pick a larger bar to stack - ie kilo or 5 kilo bricks to be able to swiftly swap the brick for some golden ounces.

It all depends on your goal. If you are in this for the LONG haul and are of the belief that silver wont skyrocket and plummet soon after, stack smaller denominations. If you think it will spike and fall to pieces, stack BIG bars to quickly offload to avoid your predicted plummet. Make sense?


Do you think it's worth paying a premium for coins? If silver does reach the projected highs, will those wanting/willing to buy really care about the difference between a generic bar and a mint issue coin?

Paying a premium for coins is pretty unavoidable if you are looking to buy from bullion dealers etc - but you will be able to buy what you want and not have to worry about who is going to part with a bit of silver and having to fight for it . I have sold silver on SS and asked for spot plus 4% -- people were jumping all over me for it (why? Because you can't get silver that cheap). I answered a question the other day regarding price for a silver bar and I said because I offered my silver for spot plus 4%, I'd think it customary for someone to offer the same for me on SS.

Don't pay exorbitant premiums for coins such as the canadian wolf or the grizzly. Nice coins..but really..WHY ARE YOU STACKING? I stack to preserve my wealth and make as much as I can along the way. Paying massive premiums for these sorts of coins is not worth it IMO. Grab one of each to satisfy your interest once you already have 1000 oz of bars and kooks. You will then be able to justify spending a big premium on them

Will you be selling your silver to a dealer or other stackers or the public? A dealer probably won't give a sh!t, but I would and so would other people if it looked all beaten up or was an offensive design (nazi silver anyone????).


Would you pay more than an items perceived value just to get it? I'm constantly outbid on ebay by people who seem to do this, very rarely do I get anything because of it.

Answered above re. the Canadian Wolves/Grizzly coins. Don't buy on eBay if you can't snag a bargain. Just chuck up a 'wanted' ad on SS and keep talking to people. Either that or speak to Mark from Bullionmark or Ossie from BullionMoney. I have bought from both. No complaints AT ALL. Ossie actually just let me put a deposit on a big order to lock in spot price on my large purchase. GREAT price.


Would you buy a coin strictly for bullion value? For example, if the coin was damaged. What if the price was currently below spot? And would it still have resale value?

Mate- I doubt that would ever happen. No one will sell under spot if they have at least one operating brain cell. If it says 999 silver and it's recognisable, No issues. If you see it for less than spot - BUY it. Yes VERY re-saleable. VERY RE-SALEABLE. My 50c pieces look like sh!t... people STILL willing to pay well over spot for them.

And moreso from my own personal curiosity, what makes PAMP worth so much more than others? Is it really worth such a high premium?

They look nice. It's still 999 silver. Stick to what you know. Get ounces first. Pretty stuff later. Do you pay more for milk that comes with a pretty label? Maybe PAMP is for you!!


The reason I ask this is because currently I have a pretty small stack, I'm looking to increase my holdings as I'm sure we all always are but being only part-time employed, I need to try to get more bang for my buck. Small lots have a less dramatic effect on my finances but larger lots offer better value, especially over time when taking into account delivery costs of smaller individual lots. And Bars are noticably cheaper than coins of similar weight, as an example from the Perth Mint: a 10oz Bar is roughly $380 as where 10 x 1oz Coins is roughly $460. But then I think of liquidity and how much easier selling a 1oz coin is compared to a 10oz bar. There is so much to take into account.


I know what you mean. But you are one of the few with such a fantastic dilemma! I'm assisting my friend spend around $10K on silver. I recommended ALL 10 oz perth mint bars. It small enough to be liquid and large enough to circumvent some premium in price. They are symmetrical (unlike big coins) and are easily portable (fit well into a box). If there were readily available 5 oz bars, I'd be encouraging him to buy a quarter of the fiat value in 5 oz bars and the rest in 10 oz'ers.

IMO anyone with around $1000 to spend, buy 2 or 3 x 10 oz bars. If you have to, because of limited finances to spend each month, some 1 oz'ers may be your only other option.

Regarding your comment on liquidity of a 1 oz coin and a 10 oz bar - IMO, people on SS for example are much more likely to snap up the 10 oz bar rather than a solitary 1 oz coin - get me? Those 1 oz coins, more than likely will be sold as a role of 10 or 20. Would you cash in silver $40, $50 or $100 at a time? I'd rather cash a bar and buy me the latest iphone5 or ipad2

Don't panic - find a theme that fits your needs and run with it. You are already buying PM's. 95% of the problem is already solved. Just get a stack happening and talk to us about how excited you are to have your founding ounces. I LOVE hearing about people's stacks and their latest purchases.

You were not the only one to reply, Naphthalene Man! Your fellow Novocastrian chirped in as well

Peace and shiny regards,
PPSS

 

When prices per ounce go sky high you'll like the fact you went for fractionals, esp gold.

Easier to sell a 1/10 for $500 than an ouncer for 5g quietly.

 

Just trade your gold for silver when you need to 'cash in'. That way, you can offload an oz of gold to someone who has silver - get the silver in frac - ie.. depending on the GSR of course, but I'm sure the trader would be happy to give you a mix of 1 oz, 10 oz etc. THEN..cash the silver in

there are always round about ways of doing the same thing

..the premiums you pay on 1/10 and 1/20 oz gold are buggers of things.

 

Thanks for the input guys, it's given me more to think about but it's still very helpful.

 

No problems. Let us know what you end up deciding on.

Shiny regards,
PPSS

 

Great questions and excellent opinions for a newbie like me to ponder ....gotta keep learning. Thanks

 

Great thread. Thanks to everyone involved, it 'twas very informative.

 

First is just more of a general idea on the kind of physical silver SS members like to stack.
.999, Sterling, other or just any? Bars or Coins? Generic or Brand name? Smaller or larger pieces (ie/ 1oz vs. 1kg)? Do you take liquidity into account?

I stack any silver or gold I can get, then trade up to bigger bars or ASE. Read below to get more answers on this question.

Do you think it's worth paying a premium for coins? If silver does reach the projected highs, will those wanting/willing to buy really care about the difference between a generic bar and a mint issue coin?

I try not to pay a premium, but for some items you will, but when you sell... there will be some you get back... like ASE I can buy local for $5 to $6 each above spot and when I sell get spot. Now if I buy a generic .999 1oz bar or coin I will pay from $.80 to $3 each above spot and sell below spot.
As shortages of silver some premiums will be greater, but if you sell you will get paid a premium. If you are always buying, at lowest premium, it will average out.

Would you pay more than an items perceived value just to get it? I'm constantly outbid on eBay by people who seem to do this, very rarely do I get anything because of it.

For me NEVER. If you are "playing" on eBay don't over pay, you have to be patience. I will bid on 20 to 30 items every day and only win ONE... it takes a lot of time. Just don't get in a hurry be persistentbid bid bid.


Would you buy a coin strictly for bullion value? For example, if the coin was damaged. What if the price was currently below spot? And would it still have resale value?

Yes I do. make sure you have a connection to sell these "damaged" coins so you can "trade up" This forum has a place where you could possibly trade or sell.


And moreso from my own personal curiosity, what makes PAMP worth so much more than others? Is it really worth such a high premium?

I won't spend the extra $ to buy... but its recognized worldwide as a trading unit, kinda like the car you drive... you can get to from work to home in a VW but some people like BMW or ???

I live in the states and what I buy and stack is different than other stackers... it's good to have views from other stackers. Also I have been trading silver and gold since 1982 and have very good connections to sell and trade.

Just start small... avoid getting scammed (buy local)... try not to over pay on EBay (wait for bargin's).

 

Well after much consideration, I think my primary focus will be on PM 10-20oz bars. More for an economical start to build a base. Maybe a few different coins just for the sake of having them (ie/ Maples, ASEs).
With that said though, if I find something else at a great price and within my budget I'll jump on it. Whether it be fractionally silver, generic or otherwise. They can always be traded later.
Gold is something to keep in mind too but I think any meaningful amounts will be much further down the track, perhaps once I have a sufficient stack of silver and a favourable GSR.

Thanks again to everyone who has answered my inquisition , any others may feel free to answer too as it's become apparent that I'm not the only one benefitting from your experience.

 

Nice one. You really can't go wrong with Perth mint produce. People see that swan and know its the good stuff lol. If you need a dealer that has a plentiful supply of pm bars (particularly 10 oz'ers) I can recommend one.

Happy days.