Need advice on stacking silver .

Discussion in 'Silver' started by mel1092, Apr 25, 2020.

  1. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    Hi everyone so over the years I have bought small amounts of silver Perth mint coins and flipped them after 6 months to a year for a small profit .Now I have about 3k to spend on silver and I’m not sure weather to continue to buy coins or bars . I notice with the coins lately there has been super high premiums and this kinda dosn’t sit well with me paying $10 over spot . So I was wondering if it’s possible to flip bars or if I kept bars for 2-3 yrs would I see a small gain in my investment.also when would you say would be a good time to buy silver . Any help on this matter would be greatly appreciated.
     
  2. Tin Can

    Tin Can Member

    Joined:
    Mar 30, 2019
    Messages:
    70
    Likes Received:
    26
    Trophy Points:
    18
    Some Perth Mint coins have collector value, and not just bullion value. So you need to identify which PM coins have semi-collector demand (e.g. low mintage) and which are just bullion value.
     
    Last edited: Apr 25, 2020
  3. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    yeh and with bars do they tend to sell ok like 10oz and kilo ?.
     
  4. Tin Can

    Tin Can Member

    Joined:
    Mar 30, 2019
    Messages:
    70
    Likes Received:
    26
    Trophy Points:
    18
    The higher the price of any item tends to limit the potential buyers. For instance, there will be more interest in 1oz coins / bars than 1kg coins / bars.
    And you might have noticed, premiums are smaller for greater weight coins / bars.
    So, $3k will get you XXX 1 oz bars, XX 10oz bars, but only X 1kg bars. It is then easier to sell only X of your 1oz bars than X or your 10oz or 1kg bars.
    Maybe, check the SS sales for the various AG bars in the sales forum to gauge the relative demand?
     
  5. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    Thanks for the advice .May I ask what ss sales are sorry I’m new to all of this.
     
  6. Tin Can

    Tin Can Member

    Joined:
    Mar 30, 2019
    Messages:
    70
    Likes Received:
    26
    Trophy Points:
    18
  7. Jason1

    Jason1 Well-Known Member

    Joined:
    Aug 9, 2019
    Messages:
    624
    Likes Received:
    662
    Trophy Points:
    93
    Location:
    Qld
    1kg bars sell very easy, so disregard the above advice saying 1kg are harder to sell, they are easy. buy bars forget coins, More silver for your money.
    you will sell a 1kg bar quicker than you will sell 30+ 1 ounce coins at a premium.
    silver coins are typically bad investments, they tarnish, get milk spots easy and at that point you have lost money.
    bars can be hit by a train and still have the same value.
    Figure out if you are a coin collector or if you are a bullion investor.

    also save your money right now there is a silver shortage and premiums are stupid while spot price is low, not a good time to be buying
     
  8. GoldenEye

    GoldenEye Well-Known Member Silver Stacker

    Joined:
    Dec 31, 2014
    Messages:
    1,250
    Likes Received:
    920
    Trophy Points:
    113
    Location:
    Melbourne, Australia
  9. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    thanks guys for all your help .do you ever make any profit on bars or do you only make your money back ?.
     
    Alloy likes this.
  10. Jason1

    Jason1 Well-Known Member

    Joined:
    Aug 9, 2019
    Messages:
    624
    Likes Received:
    662
    Trophy Points:
    93
    Location:
    Qld
    PM's are a long term investment, your not going to get rich over night.
     
  11. Tin Can

    Tin Can Member

    Joined:
    Mar 30, 2019
    Messages:
    70
    Likes Received:
    26
    Trophy Points:
    18
    I did not say 1kg bars are difficult to sell. If I have have $500 to spend, will you sell me your 1kg silver bar? But you will sell me some 1oz bars.
    And yes, I agree the OP needs to decide if they are are a coin collector or if you are a bullion investor (or a stacker, whatever this is).
     
  12. Jason1

    Jason1 Well-Known Member

    Joined:
    Aug 9, 2019
    Messages:
    624
    Likes Received:
    662
    Trophy Points:
    93
    Location:
    Qld
    sorry your post was confusing so I miss interpreted what you said.
    but as for your question, there are plenty of buyers with more than $500 who will buy a 1kg bar, ive never had problems finding a buyer for 1kg bars, So dont let that put you off. the guy with only $500 misses out, no point focusing your stacking strategy to sell to people with no or little money, as you will be paying to much of a premium on your investment, you end up with less metal for more money.
    5kg, 100ounce bars is where you start finding it a bit slower to sell. People seem to rather buy 5x 1kg bars more than 1 x5kg ive noticed
     
  13. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    Yeh i asked this question because i have been finding it harder and harder to sell bullion coins lately with the premiums they have on them .Thats why i was thinking of going into bars But do bars still gain profit over time or maybe not .Cause they dont have a set mintage do they ?.I was thinking of actually buying 10oz coins but not sure .Sorry im really a beginner at this .
     
  14. Jason1

    Jason1 Well-Known Member

    Joined:
    Aug 9, 2019
    Messages:
    624
    Likes Received:
    662
    Trophy Points:
    93
    Location:
    Qld
    if metal goes up then the value of your bar goes up, if the metal goes down the value of your bar goes down.
    Buy them low premium and you dont have to care about premiums with bars.
    Ps 10ounce coins are crap. no one really likes them that much, their market is lower and usually lose premium fast. 10 ounce bars better buy
     
  15. Tin Can

    Tin Can Member

    Joined:
    Mar 30, 2019
    Messages:
    70
    Likes Received:
    26
    Trophy Points:
    18
    OK, thanks.
    The OP asked for advice about what weight of silver to buy and then sell.
    Your comment ("People seem to rather buy 5x 1kg bars more than 1 x5kg ive noticed") supports my notion smaller size silver has more demand.
    But, let the OP decide what strategy is appropriate for them.
     
  16. GoldenEye

    GoldenEye Well-Known Member Silver Stacker

    Joined:
    Dec 31, 2014
    Messages:
    1,250
    Likes Received:
    920
    Trophy Points:
    113
    Location:
    Melbourne, Australia
    A while back I got some round 50c coins for 50c and they're now about $10. I also heard of someone who got some gold sovereigns for $2 and they're now about $650.
     
  17. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    Oh really .The 10ounces look so nice though .But it does make sense for sure .Maybe i might just buy 10oz bars .
     
  18. Jason1

    Jason1 Well-Known Member

    Joined:
    Aug 9, 2019
    Messages:
    624
    Likes Received:
    662
    Trophy Points:
    93
    Location:
    Qld
    the difference between 1kg bars and 5kg is a few grand, but the price per ounce premium difference isnt far different between the two.
    Where as the 1ounce premium is substantially higher on single ounce bars than that of a 1kg bar.
    Yes there is a point where the size hampers how quickly it can sell, as there are more sort after sizes hence why I mentioned the 5 kg example.
    However 1kg is not a size that hampers the ease of sale, its a very popular size with serious stackers who like liquid sized bars.
    so no that example doesnt prove what you said about 1 ounce bars vs 1kg, If silver was the price of gold then 1 ounce bars would obviously be a good choice.
    the less premium alone makes 1kg bars more sort after than 1kg worth of 1 ounce bars, and its less mucking around selling multiple 1kg bars vs hundreds if not thousands of one ounce bars. bugger selling those individually or in small lots when you start getting into a stack with thousands of ounces of silver .
    Most stackers when purchasing are very conscious of premiums hence buy sizes that are more economical per ounce which is why 1kg is a very popular size to buy.
     
    Last edited: Apr 25, 2020
  19. mel1092

    mel1092 Member

    Joined:
    Jul 23, 2019
    Messages:
    98
    Likes Received:
    23
    Trophy Points:
    8
    Thanks for your input jason you have really helped me alot.Think i might get some 10oz bars and maybe 2 1 kilo bars of silver .
     
  20. JNS

    JNS Active Member Silver Stacker

    Joined:
    Oct 8, 2015
    Messages:
    510
    Likes Received:
    136
    Trophy Points:
    43
    Location:
    Traveller, Lives in hotel
    Even working full time in coins and bars trading, it can pursuits you with little gain.
    Unless you are dealing with considerable amount of transactions per day.

    Little bucks to earn in this process gives much headache rather earning through other
    good means like trading in markets, escrowing, business ventures or being professionally employed.

    G/S are long term instruments that are so attached in market changes and aggregate demands.

    IMHO, stacking metals is just a means of protecting a diversified portfolio.

    Stacking ONLY with your disposable fiat to grow and to trade with surmountable gains with no further expectations.
    No other great secrets on this game.

    About buying the stack, it can bought anytime from now, nobody knows anything about tomorrow's road map.

    Keep STACKING ( a long journey :) ), Relax and Enjoy the process.
     
    Ivykoin and JohnnyBravo300 like this.

Share This Page