Gyroscopic Investing

You'd think with the recent rise in gold, coin premiums might be up. However, the opposite seems to be happening. I guess it's just supply and demand. For some reason people have stopped buying coins and inventories are bulging so coin sellers are dumping.

Last week I bought some 1 oz Kangeroos at spot from Gainesville coin. Today I see Provident has Krugerrands at spot. Premiums seem to dropping everywhere I look.

If you haven't bought coins before, now looks like a great time to buy.

-FarmerD

I think the low fee ETF's are finally starting to take a chunk out of coin sellers pockets, and they are finally having to adjust their spreads to compete. Competition is such a wonderful thing!

pmward wrote: ↑Wed Jun 26, 2019 9:46 am I think the low fee ETF's are finally starting to take a chunk out of coin sellers pockets, and they are finally having to adjust their spreads to compete. Competition is such a wonderful thing!

It is. A local dealer has an RCM 100 oz silver bar, $1 over spot. That's pretty low for silver. I'm only going to buy one ever, just to have the experience. I'll put it out on my coffee table. But silver needs to go to $15 first.

Oh man. When it comes to gold I have a huge weakness for buying and stowing MapleGrams in my wallet. Kind of addicted, but the spreads on those, even today, are pretty bad!

I've always thought the premiums from coin sellers were inversely related to price changes. Maybe it's my imagination, because I don't buy all that often. As a percentage, I've usually paid about a 4% premium. Of course, now that prices are on the rise, I worry about that instead of the premium.

Added: I often bought "BU" coins from Apmex in the past, and I don't think coins have to be Brilliant Uncirculated to be bullion- correct me if I'm wrong. So there can be a premium there.

I'm not sure what the official definition of "Premium" is but I always think of it as the difference between what I could sell my coins for vs what I would have to pay to buy them back. Right now the difference is around $45 on AJPM where I get my prices. I think it may have been higher when I bought some of my coins years ago but it doesn't seem that low to me right now.

jacksonM wrote: ↑Wed Jun 26, 2019 3:50 pm I'm not sure what the official definition of "Premium" is but I always think of it as the difference between what I could sell my coins for vs what I would have to pay to buy them back.
...

Maybe we should say the spread, like Libertarian666 does. Of course, we don’t know what the sell-spread will be when we buy.

I guess “premium” has traditionally been used on this forum for American eagles vs krugerrands: pay more when you buy, get more back when you sell.

I usually only hold physical bullion in the "deep" portion of my gold allocation. That way I minimize my exposure to the spreads as much as possible.

And let's face it, selling off those nice looking coins is always kind of sad.

Indeed. I’ve never done it.

US Coin in Houston just sold me a 100 oz Royal Canadian silver bar for 5% over spot. It's dense!

ochotona wrote: ↑Thu Jun 27, 2019 12:42 pm US Coin in Houston just sold me a 100 oz Royal Canadian silver bar for 5% over spot. It's dense!

100oz - fondle territory! How do you keep that from tarnishing? Vac-sealed bag or something?

Smith1776 wrote: ↑Wed Jun 26, 2019 11:35 am Oh man. When it comes to gold I have a huge weakness for buying and stowing MapleGrams in my wallet. Kind of addicted, but the spreads on those, even today, are pretty bad!

Yes, for any newbies reading this: 1oz gold bullion coins are the way to go if you’re going to buy physical. It’s simply a better deal than fractional coins.
Save those Golden Grahams for the cereal bowl!

dualstow wrote: ↑Thu Jun 27, 2019 3:52 pm

Smith1776 wrote: ↑Wed Jun 26, 2019 11:35 am Oh man. When it comes to gold I have a huge weakness for buying and stowing MapleGrams in my wallet. Kind of addicted, but the spreads on those, even today, are pretty bad!

Yes, for any newbies reading this: 1oz gold bullion coins are the way to go if you’re going to buy physical. It’s simply a better deal than fractional coins.
Save those Golden Grahams for the cereal bowl!

What I'd really like to buy and stow in my wallet is this bad boy:

https://www.sprottmoney.com/valcambi-co ... tIQAvD_BwE

I’ve seen that. I keep imagining you peel it and there’s chocolate inside!

I'm thinking about buying some silver so I don't feel like an impostor singing that Silver And Gold song from the Rudolph claymation.

While we're sharing our precious metals holdings. Here are some of the MapleGrams I keep in my wallet daily. Just in case, you know, hyperinflation hits while I'm out grabbing coffee.

Wow, you guys have nice tables! If you could just brush that metal clutter out of the way...

It's times like this that I wonder to myself, "What would Budd's opinion be?". I kind of miss the contrarian and dissenting voice around here.

Budd can go take a leap. My portfolio peaked out late September 2018, then we had that big stock correction, I got stopped-out by the end of December, and went back in with a light 25% stock allocation thereafter, if you recall that whole episode. As of yesterday, my portfolio had totally recovered back to new All Time Highs... due mainly to bonds and gold.

Smith1776 wrote: ↑Thu Jun 27, 2019 4:50 pm

dualstow wrote: ↑Thu Jun 27, 2019 3:52 pm

Smith1776 wrote: ↑Wed Jun 26, 2019 11:35 am Oh man. When it comes to gold I have a huge weakness for buying and stowing MapleGrams in my wallet. Kind of addicted, but the spreads on those, even today, are pretty bad!

Yes, for any newbies reading this: 1oz gold bullion coins are the way to go if you’re going to buy physical. It’s simply a better deal than fractional coins.
Save those Golden Grahams for the cereal bowl!

What I'd really like to buy and stow in my wallet is this bad boy:

https://www.sprottmoney.com/valcambi-co ... tIQAvD_BwE

I have one of those. I don’t carry it around with me though. I just thought it was cool, and it is.

Smith1776 wrote: ↑Fri Jun 28, 2019 2:05 am While we're sharing our precious metals holdings. Here are some of the MapleGrams I keep in my wallet daily. Just in case, you know, hyperinflation hits while I'm out grabbing coffee.

The MapleGrams remind me of the sad, sad story of Olympic figure skater Debi Thomas and karat bars...

ochotona wrote: ↑Fri Jun 28, 2019 9:23 pm

Smith1776 wrote: ↑Fri Jun 28, 2019 2:05 am While we're sharing our precious metals holdings. Here are some of the MapleGrams I keep in my wallet daily. Just in case, you know, hyperinflation hits while I'm out grabbing coffee.

The MapleGrams remind me of the sad, sad story of Olympic figure skater Debi Thomas and karat bars...

Well, I regret to inform you that I am not an olympian.

Joking aside, that’s really an amazing story. I’ve never heard of her till now.

Smith1776 wrote: ↑Fri Jun 28, 2019 9:38 pm

ochotona wrote: ↑Fri Jun 28, 2019 9:23 pm

Smith1776 wrote: ↑Fri Jun 28, 2019 2:05 am While we're sharing our precious metals holdings. Here are some of the MapleGrams I keep in my wallet daily. Just in case, you know, hyperinflation hits while I'm out grabbing coffee.

The MapleGrams remind me of the sad, sad story of Olympic figure skater Debi Thomas and karat bars...

Well, I regret to inform you that I am not an olympian.

Joking aside, that’s really an amazing story. I’ve never heard of her till now.

Yes, mental illness is very sad in many cases.