Bars or Coins?

[jpatter666]

I've seen the discussions on paper/physical gold -- I've some coins, but I was wondering about getting some 1oz or 10oz bars (which are a little cheaper).

Any particular reason to get coins? Trying to gain the "collectible" value as well? And would you still hold coins over bars for silver?

Thanks!
-J

[grapejelly]

Re: Bars or Coins?

for gold, ONLY coins. I like krugs, mapleleafs, sovereigns, philharmonics. I do also get "off brands", doesn't matter really, i look for a low premium so I no longer have much interest in American Eagles.

I do think solid gold offers some advantages because it is impossilbe for forge. It is very difficult to forge 22kt but not impossible.

Silver, it isn't as clear. I favor a mix of rounds, "junk" silver, and 10oz bars. I don't much care for anything over 10oz bars because 100oz can be drilled and filled fairly easily. It wouldn't be that hard to detect, but why bother with it. And that rules out 1000oz bars too

I do think old American double eagles and eagles are worth getting as long as you don't go for rarified ones. I have paid a $100 premium over melt per oz. but I wouldn't pay more than that. And that is just mainly for fun, not as an investment.

[Jay]

Re: Bars or Coins?

for gold, ONLY coins. I like krugs, mapleleafs, sovereigns, philharmonics. I do also get "off brands", doesn't matter really, i look for a low premium so I no longer have much interest in American Eagles.

I do think solid gold offers some advantages because it is impossilbe for forge. It is very difficult to forge 22kt but not impossible.

Silver, it isn't as clear. I favor a mix of rounds, "junk" silver, and 10oz bars. I don't much care for anything over 10oz bars because 100oz can be drilled and filled fairly easily. It wouldn't be that hard to detect, but why bother with it. And that rules out 1000oz bars too

I do think old American double eagles and eagles are worth getting as long as you don't go for rarified ones. I have paid a $100 premium over melt per oz. but I wouldn't pay more than that. And that is just mainly for fun, not as an investment.

Grape, what do you think of non-currency coins, like the American artist coins, i.e. Grant Wood, from the 80's or the Harwood gold coins?

[grapejelly]

Re: Bars or Coins?

Grape, what do you think of non-currency coins, like the American artist coins, i.e. Grant Wood, from the 80's or the Harwood gold coins?

I buy metal as cheap as I can. No premium to it. I've got some really funny stuff sold on TV infomercials but it's all just metal at this point. Rounds, commemoratives, etc, just so long as it is stamped with weight and purity and is real.

[WDCRob]

Re: Bars or Coins?

Related Q...

Is there any reason not to buy silver in 1000 oz bars?

Other than the ability of people to make change if things go all Mad Max I mean.

[grapejelly]

Re: Bars or Coins?

Related Q...

Is there any reason not to buy silver in 1000 oz bars?

Other than the ability of people to make change if things go all Mad Max I mean.

Lead has a specific gravity very similar to silver.

You really don't want 1000oz bars. They are very illiquid. They have to be assayed in tough times. Terrible idea buying them.

[WDCRob]

Re: Bars or Coins?

Thanks Grape - always appreciate unequivocal answers :-)

Anyone concur? Disagree?

Seems kind of silly to worry about given the relatively low spread compared to 100 oz bars, but I was curious.

[jtabeb]

Re: Bars or Coins?

Thanks Grape - always appreciate unequivocal answers :-)

Anyone concur? Disagree?

Seems kind of silly to worry about given the relatively low spread compared to 100 oz bars, but I was curious.

You ever try to get change for a $100 at a gas station?

I built up my inital silver hoard with 100 OZ bars to get alot of it. But the rest is all in 1 OZ form because it is a good form for transactions and because there is not usually a problem with people wondering about it being FAKE or drilled.

I think a resale 1000 oz bar would not be very trust worthy.

My 2 OZ, anyway.

[Jay]

Re: Bars or Coins?

You ever try to get change for a $100 at a gas station?

I built up my inital silver hoard with 100 OZ bars to get alot of it. But the rest is all in 1 OZ form because it is a good form for transactions and because there is not usually a problem with people wondering about it being FAKE or drilled.

I think a resale 1000 oz bar would not be very trust worthy.

My 2 OZ, anyway.

How about 90%? Low denomination, easy to handle, and hard to fake no?

[grapejelly]

Re: Bars or Coins?

How about 90%? Low denomination, easy to handle, and hard to fake no?

about perfect...

[jtabeb]

Re: Bars or Coins?

about perfect...

No argument there. (Agree)

[WDCRob]

Re: Bars or Coins?

Ok... I'm a newb at this, but...

The premium to buy that stuff over the big bars is 32% right now, but the sell spread is only 5%.

So if you don't anticipate a Mad Max scenario aren't you unnecessarily buying fewer ounces?

What am I missing?

[jtabeb]

Re: Bars or Coins?

Ok... I'm a newb at this, but...

The premium to buy that stuff over the big bars is 32% right now, but the sell spread is only 5%.

So if you don't anticipate a Mad Max scenario aren't you unnecessarily buying fewer ounces?

What am I missing?

What you are missing is that if things reverse rapidly the premium on small denominations is likely to MUCH higher than bulk. Plus since it is not readily divisable you could end up with something so valuable (if you had say, a 400 oz bar) that there is no market for it (except maybe soveriegn governments) so you want to think "small" in terms of denomination, but large in total volume.

[metalman]

Re: Bars or Coins?

never been tempted to buy bars. too easy to counterfeit. many famous cases. coins are harder to fake but it happens.

[WDCRob]

Re: Bars or Coins?

Three for three, unanimous... thanks for the answers all.