Sorry, Basically , Proof coins are higher quality coins and have lower mintages and thus cost more. Bullion is just bullion. Google for PROOF coins and how they are made. There are even PIEDFORT coins, and these are to PROOF coins what PROOFS are to BULLION. Google em.
With proof coins you are basically paying a premium for a numismatic value over and above what the actual metal content is worth.
Another way to look at them is: Bullion will always have a minimum sale price of whatever spot is at the time, and may become numismatic due to rarity or coin design. Proof will have a hefty premium on it at time of purchase which may translate to no premium 1, 5, 10, 50 years in the future. It may also translate to a very hefty premium in the future. It also depends on rarity and coin design, and if there's a desire for the particular coin at time of sale. Case in point. 2000 Lunar Dragon. Bullion coin, now trading for at least twice spot (or 5 times if you look at the Swap thread). Saint Mary McKillop Gold coin. Proof coin, now worth $30 under release price (but still over spot) after a short time trading at twice release price. Source: Silverstackers. http://forums.silverstackers.com/topic-6888-silver-stackers-alchemy-challenge-swap-1.html http://forums.silverstackers.com/message-91069.html#p91069
I thought piedfort were just an extra thick form factor? I've only seen them as proofs but I don't follow why you consider them another quality classification? Perhaps I missed the memo -- but I'm always looking to learn something new.
The Piedfort is struck on a double planchet ( bullion and proof on single ) so is twice as heavy and around 10 times as rare as the proof and the proof is aroudnd 10 times as rare as the bullion coin, and the strike quality is equal to the proof coin. Just looking at rarity effects alone, the reasons why a proof coin is more expensive than the bullion version is coz the proof has a higher quality strike on the faces of the coin ( deeper cameo for starters ) and has a lower mintage and they both contribute to the higher price of any proof over its corresponding bullion version. Now with the Piedfort, its on a doulbe planchet ( double the weight/thickness - but same diameter ) its proof quality strike and has an even lower mintage than even the proof. you get logarithmic effects on the prices of these coins. Rough example. Look for any 100 Francs silver coin ( the ones that came in issues of bullion, proof & piedfort ) what you will find is that the bullion coins trade on eBay at roughly around SPOT + 15%-50%, the proof would be SPOT + 25% - 75% and the piedfort would be SPOT + 100%-200%. The Piedfort is cool.
I gotmy first piedfort two weeks ago. RAM Kookaburra $10 coin in sterling silver 40grams. Very nice coin, and a seminal coin as it turns out in the introduction of the later PM kookaburra series that started the following year. Its also the first ever piedfort coin in Australia if I'm not mistaken.
I carry a Maria Theresa Thaler all the time. I have tried to go back to an ASE or Phil or Maple but no luck. They're all too thick. The MTT is the most perfect coin dimensions for a fondling silver piece ever It stood the real market test and was accepted throughout the places it circulated as desirable money. Even its 83% purity giving it hardness and durability is perfect. Very very nice. I am certain that if it was better known and more common here it would be a coin that many more would desire. Just like the 4 ducat a real winner for me.
The lucky person gets the proof coin at the bullion price. Was possible on fee-Bay 6 months ago but not any more. You can often get lucky and win proof sterling ( 0.925 ) silver coins close to spot silver content if prepared to research fee-Bay. Be careful with descriptions as bullion coins can often be described as proof coins because they are nice and shiny or reverse proofs ie the background is fosted so looks like a proof. A real proof has the cameo, raised portrait for example, frosted and the background polished shiny. A proof is indeed a beautiful coin with finer detail and sharper features contrasted by the frosting. Most proofs are sold with a certificate, frequently numbered and often in a presentation box. Old greasy fingermarks are difficult ( maybe impossible ? ) to remove without scratching the smooth surface when viewed with a good loupe.
I've offered proof $10 State coins for bullion value before but no-one wanted them. Proof is overated. I've decided to keep them now.
