Just curious, dragon etc pre-order hedging

Discussion in 'Lunar Forum' started by Matthew 26:14, Jul 19, 2011.

  1. Matthew 26:14

    Matthew 26:14 New Member

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    Just curious if anyone knows if the dealers who have taken pre-orders on the dragons are hedged against the silver price? I think they were taking orders when silver was about $AU33 an oz and were selling the pre-orders at $40 an oz. If spot silver goes to say $50 an oz and the mint releases the coins to the dealers at say $55 an ounce, will they be losing out $15 on every coin they then offered for pre-order? Or are they hedged?
     
    Matthew 26:14, Jul 19, 2011
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  2. Captain Kookaburra

    Captain Kookaburra Well-Known Member Silver Stacker

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    I think you can assume that they are hedged.
     
    Captain Kookaburra, Jul 19, 2011
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  3. fishball

    fishball New Member Silver Stacker

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    I thought the mint would lock in the prices since they were 'pre-allocations' ????
     
    fishball, Jul 19, 2011
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  4. Lovey80

    Lovey80 Well-Known Member

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    Thats what I figured. The way I had it figured the only loser could possibly be the end buyer if spot plummets before taking delivery??? Have I got this wrong?
     
    Lovey80, Jul 19, 2011
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  5. Matthew 26:14

    Matthew 26:14 New Member

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    Assuming the dealers making the offer have some agreement with the PM in place if not, well, exposed is an understatement.
     
    Matthew 26:14, Jul 19, 2011
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  6. Ozi

    Ozi Member

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    Aren't the coins bullion so would be dependent on bullion prices? Proof coins are normally fixed price. Dealers could always cancel order.
     
    Ozi, Aug 4, 2011
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  7. hiho

    hiho Active Member Silver Stacker

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    dont worry you'll get your Koalas :p
     
    hiho, Aug 4, 2011
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  8. jpanggy

    jpanggy Active Member

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    2012: Year of the Koala.

    Win!
     
    jpanggy, Aug 4, 2011
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  9. SilverBaron

    SilverBaron Member Silver Stacker

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    Trust me.

    You wouldn't
     
    SilverBaron, Aug 4, 2011
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