Swapping Silver For Gold

S

ShinyStuff

New Member
Ok, I have a lot of silver stored with ABC in Sydney as part of my SMSF.

Am getting a bit tired of waiting for my investment to improve... I bought at top of silver price... anyway!!!

Should I just swap it out for gold now? I actually believe that the potential for silver to improve is there, but gold is more of a sure thing right?

I appreciate you comments.

Shiny
 
My 2 cents is stick with silver and be patient.

There will be further gyrations and you should have been aware of that when you entered into the market. So if I were in your position and my net worth has increased, perhaps I'd even consider adding to the position at the right moment. This is a way to reduce your overall average price.

I should add one more thing and it's very very important... if you are "pricing" your value in $'s then perhaps silver and gold were not the right things for you to have purchased, stick with stocks. If you value ounces instead then it's a game of ounces. You really can't have your hat in both rings.
 
Would having 70 times less volume mean you wouldn't need to pay to store your stack?
if so then that would be one reason you would swap your silver for gold.

is your silver in the form of semi-numi coins with a premium? be a shame if you got your silver one day and it was all toned and blotchy.
the possibility of tarnish would be a good reason to swap for gold.

is there even the slightest chance that silver, being an industrial metal is in oversupply and could one day fall off the pm charts?
if so then that's another reason to swap.

I recently started to make a switch to gold, mostly because I could see a problem building up in the future, too much volume for value, I already stack an industrial metal in scrap copper, I feel a bit like a gold miner, I get free copper as a by-product of chasing gold in electronics, gold miners get free silver as a by-product of chasing gold in ore.

If you mostly bought silver at the higher end then what makes it worse is your not even holding it, so you invested in something that's somewhere that's going nowhere.

So to put some spark into your investment, change it up to at least give you personal entertainment.
with your cashed in silver you can become a born again stacker whilst swapping the fiat back into gold.

you might start a little collection, gold coins are great to collect as they don't come with much premium.
a 50 year old gold coin generally has the same premium as a current gold coin.

Unless off-course you wanted to go gold numi's, the good thing about it is you can put all your eggs into one little coin.
Like a genuine $50,000 gold sovereign, instead of say 100 x $500 sovereigns.
that way, if you have false teeth you can carve out the shape of the coin on the top of your dentures, slot the 50k coin in and your money will always do the talking for you.
 
There is benefit in switching even if gold doesn't perform any better, as you can claim the capital loss which you can then offset against any future gains (never expires)
Assuming of course that the fees incurred by switches are made up for.
I'm getting the feeling that gold stands a better chance of doing better from here on out.
 
thanks everyone... it is the storage fees that is giving me the pip. i may swap out a percentage...say 25% and see how it goes.

shiny
 
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