Opinions on 1/4 and 1/2 ounce coins as good risk management?

Discussion in 'Silver Coins' started by upandaway, Jun 24, 2012.

  1. upandaway

    upandaway Member

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    I've seen some of the nice 2012 Armenia Noah's Ark coins in the smaller sizes and wondered what your take is for risk management just encase silver never does go to great heights? I always buy now with this in mind for bullion and the smaller sizes are available to me at like for like 1 oz (x4 quarters) $6.75 over the full ounce coin. The 1/2 ounce coins are $2.95 total over a 1 oz coin. Considering premiums appear usually quite high on the fractional's I wonder if you guys think this is a good buy that fits the strategy ?
     
  2. miniroo

    miniroo Well-Known Member Silver Stacker

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    I think fractionals are great, whatever the price of silver they command a premium so makes little difference to me.

    1/4oz are nice as you can't get as much variety as you can with 1/2oz.
    but armenia? for the price of the 1/2oz coins, i'd rather buy perth mint koala's, at least they are australian, highly recognisable and all come in individual casings for protection.

    I'm pretty sure the armenian's come loose in a roll?
    well for the price I don't think they are worth it.
    but yeah the 1/4oz only because there isn't as many options in 1/4oz coins, they would sell easy, like 1.10oz coins.
     
  3. sammler

    sammler New Member

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    The type of risk management you envision to profit of, depends on the growing premium of fractional weight compared to full weight coins of the otherwise same series which in itself depends again on appreciation by collectors -which is the field of numismatics and may work for coins with potential numismatic value.

    Some older small fraction (1/2 oz) coins with considerably increased value today are the Koala and Lunar series coins. The assumption I made here is that you refer to dual use coins (bullion/ potential future numismatics) that are currently available with a relatively low added premium compared to pure small fractional numismatics -which have often hefty added costs to bullion.

    The core point in my opinion is the difference of numismatic investment to pure material/commodity oriented investment. Personally I like both, but it also needs to be priced in and has its own risks.
     

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