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research24
15th March 2009, 13:34
I was going to write "diversified portfolio" but that would be a sacrilege to physical.:p Anyway, I wanted to gather opinions about what you all think about the desireability to diversify one's holdings, i.e. bars, rounds, sovereign mints and junk. Also take into consideration the many reasons we hold physical. This will help newbies as well.

Assuming one has a sizeable stash, Is it necessary, why and how. Thanks for your input.

ricm123
15th March 2009, 14:44
I was going to write "diversified portfolio" but that would be a sacrilege to physical.:p Anyway, I wanted to gather opinions about what you all think about the desirability to diversify one's holdings, i.e. bars, rounds, sovereign mints and junk. Also take into consideration the many reasons we hold physical. This will help newbies as well.

Assuming one has a sizeable stash, Is it necessary, why and how. Thanks for your input.

Seems like to end objective should play a role in the sizes / shapes selected. (Not love or emotional attraction to big shiny things.)

Younger folks saving up for a new house may be fine with 100 oz'ers.

Doomsday / survivalists may prefer a mixture of 90% (junk) coins, 1 oz rounds, and some 10 oz bars for easier bartering when the sky falls.

Thought should be given to how and where to exchange; it may be difficult to find a 'taker' for a 100 oz'er. A 1,000 oz bar may be very difficult to liquidate. If you have several PM / Coin dealers nearby, it may be wise to ask them what size bars they are most likely to buy.

While space may be an issue, I think a 20 oz tube makes a good 'Goldilocks' unit, not too big - not too small...

Other than storage space, I think it all comes down to using the same logic one uses when cashing a large check. A $100 bill is fine at a large retailer / grocer, but may not be worth 2 cents at a 7-11 or for a pizza delivery.

If I was saving up FRN's for a large purchase, I'd prefer larger bills.
I like to be able to cover my transactions / purchases with minimal counting and change making, so my cash in pocket is usually a reasonable mixture of bill denominations and loose change.

Whatever you have, if you drop it on your foot, the more it hurts - the better!

cugir321
15th March 2009, 15:35
I've got big, mediums, and silver nickles. I've got lots of mediums so I can have time to find a buyer for my biggy's. If it jumps way up and the world's not ending then, no prob....it will all bring spot. Even the nickles. I believe they brought 2.65ish each during the Hunt bro's thing. That's around 40.00 for a dollar's worth face.

By the way, was just looking at the morgan bars on apmex....1.49 over spot. Das is goot!!! Anybody know how many grams are in this bar?

If silver never goes crazy, I think I'll have my kids hide it in my casket. They can dig me up and thank me when it jumps someday in the future. It should be fairly safe if they can fit it in the box.

main1event
15th March 2009, 16:04
To be perfectly honest with you, I'd be perfectly content just owning 1 oz rounds or bars. The smaller the denomination the better.

The reason I bought 100 oz bars last year is that there was little 1 to 10 oz bars available.

chux03
15th March 2009, 16:12
Diversified?? Maybe diversified retail investment silver products......BUT DIVERSITY of your portfolio means more than just holding one type of anything, physical included imho.

Why don't you just call that a MIX of retail investment products made of silver bullion?? No sense in confusing....anyone about what diversity in an investment portfolio really is, even if is EXCLUSIVELY silver.

But physical wise I like 90% pre 1965 US coinage as well as any of the 1 ounce bullion rounds. I wouldn't mind owning some SHIPWRECK SILVER as well....

TomGray
15th March 2009, 16:15
I prefer 1 oz rounds which are clearly marked .999 fine silver and 1 Troy oz. I believe there is a possibility, to acquiesce to some who object to the doom and gloom we have had here recently, that you may need to barter silver for other stuff. I am not sure that a 1,000 oz bar of silvery metal would be very useful when out scavenging for a carton of milk.

Though NWT Mint takes a lot of grief here, due to their four month delivery time, their rounds are beautiful and, this is the part I like, vaguely look like US Mint coins. They look like US coinage. Which may make using them easier.

As for storage, 500 rounds don't take up much more space then a 500 Oz bar. (Not that I have a 500 Oz bar, but, if someone would like to ship me one so that I can measure it, please contact me immediately!)

By the way r24, you don't normally use Smiley Icons in your posts. I take it you are over your cold.:)

PSUDave
15th March 2009, 16:18
I have nothing over 10oz. and have no plans on buying anything bigger. Much easier to liquidate when the time comes. As far as what form to hold, I say whatever you can get the best deals on. When I first started buying, I mainly bought 90%, which I was picking up for 10x or less. With MS cashback last fall, I got some killer deals on ASEs, so I bought them. Now that the premiums have gone up on govt. 0.999 and 90%, I've been keeping an eye on generic .999 bars and rounds. The goal is to keep growing the stack, with the lowest cost/oz.

GloryQuest
15th March 2009, 17:03
My stash, while in my opinion not very sizable, varies from 1/2-ounce size to kilogram. Mostly coins, but also some bars; no rounds yet.

My plan is to stay within that range (1/2 ounce to kilogram) and I plan to add some rounds in the future.

SilverKid
15th March 2009, 17:32
One thing to keep in mind is confiscation. I believe that junk silver is the least likely to be illegal to own if big brother tries to take our loot away. It is the only gold/silver coins being used today as regular money.

research24
15th March 2009, 17:46
I was wondering if you folks had REASONS for buying what you do. Ill admit to a fair amount of vanity, that I buy it just because I like the way it looks.

But if there is any one over-arching factor for me it is LIQUIDITY, either for conversion to paper or as pure spendable money (at a time when paper isn't).

People on this forum used to be real touchy about premiums, but what happened? All the most desirable forms now have high premiums. But why are they desirable? Look at junk silver, it ususally has premiums several dollars over spot.

Large bars have the lowest price. Is that because they are less liquid?

ricm123
15th March 2009, 19:51
I've got big, mediums, and silver nickles. I've got lots of mediums so I can have time to find a buyer for my biggy's. If it jumps way up and the world's not ending then, no prob....it will all bring spot. Even the nickles. I believe they brought 2.65ish each during the Hunt bro's thing. That's around 40.00 for a dollar's worth face.

By the way, was just looking at the morgan bars on apmex....1.49 over spot. Das is goot!!! Anybody know how many grams are in this bar?

If silver never goes crazy, I think I'll have my kids hide it in my casket. They can dig me up and thank me when it jumps someday in the future. It should be fairly safe if they can fit it in the box.

I just opened an Apmex acct & bought a box of the Morgan bars as more or less a trail / test of their services.
The price is as low as $1.49 over spot!
I'd have to buy 500 oz to get the $1.49 price. They're charging me $2.11 over spot.
I ordered the nifty little box of 20 anyway and will write off the higher-than-anticipated premium to grins, giggles & education.
(I fear I may go 180 degrees against my own philosophy and fall in love with the set.)
Seems like a Cashier's check may be best pay method for small order at Apmex?

cugir321
15th March 2009, 19:58
Tyrants, tyrants, tyrants......

Big stuff....Bought big bar last week for 14.50 per

Medium for ease of passing....SAE, Maples, less junk

Small size for change.....The war nickles go when the spike in silver is hugh. Or the economy tanks.



I was wondering if you folks had REASONS for buying what you do. Ill admit to a fair amount of vanity, that I buy it just because I like the way it looks.

But if there is any one over-arching factor for me it is LIQUIDITY, either for conversion to paper or as pure spendable money (at a time when paper isn't).

People on this forum used to be real touchy about premiums, but what happened? All the most desirable forms now have high premiums. But why are they desirable? Look at junk silver, it ususally has premiums several dollars over spot.

Large bars have the lowest price. Is that because they are less liquid?

cugir321
15th March 2009, 20:01
Yes they like MO's and cashiers checks. It's about 10.00 more to use a credit card....for me it's worth it....gas, mo fee, time....is worth the extra 10.00.

Shipping was 12.00 for a MO and 22.00 for a CC


I just opened an Apmex acct & bought a box of the Morgan bars as more or less a trail / test of their services.
The price is as low as $1.49 over spot!
I'd have to buy 500 oz to get the $1.49 price. They're charging me $2.11 over spot.
I ordered the nifty little box of 20 anyway and will write off the higher-than-anticipated premium to grins, giggles & education.
(I fear I may go 180 degrees against my own philosophy and fall in love with the set.)
Seems like a Cashier's check may be best pay method for small order at Apmex?

research24
15th March 2009, 20:13
Yeah, that credit card surcharge really pisses me off.

other1z
15th March 2009, 20:22
If you feel like digging them up, there are at least 2 very lengthy (i.e. 50+ response) threads about this that many of the old-timers discussed. I believe they are in the silver bullion section though.

other1z
15th March 2009, 20:25
I just opened an Apmex acct & bought a box of the Morgan bars as more or less a trail / test of their services.
The price is as low as $1.49 over spot!
I'd have to buy 500 oz to get the $1.49 price. They're charging me $2.11 over spot.
I ordered the nifty little box of 20 anyway and will write off the higher-than-anticipated premium to grins, giggles & education.
(I fear I may go 180 degrees against my own philosophy and fall in love with the set.)
Seems like a Cashier's check may be best pay method for small order at Apmex?

I haven't seen this posted in a while, so I'll say it.

Don't get too caught up on how much you pay (or won't pay) over spot price. If you truly believe silver will increase in value, then even $5 over spot is not silly. That doesn't mean you should find and jump on the best deals you can get, but don't stop buying silver because you can't find something for close to spot. Spot is a paper price.

cdavport
15th March 2009, 20:31
I bought 90% and rounds for use in SHTF scenario. 10 oz. bars because I like them. 100 oz bars to own more ounces for less premium. I did buy the megabar, 1000 oz. but realized that was a mistake. I later had it minted into rounds. Big bars not for me. No place to sell in my neck of the woods, so they have to be shipped, and that is a royal pain. And when you ship, you got all your eggs in one basket. If silver happens to spike to say $100 oz/ you got a hundred grand in one small box to ship at the fedex counter. In fact, I couldn't even get fedex to take it, I had to go to UPS. Cost a fortune to ship with insurance. Never again.

research24
15th March 2009, 20:38
I bought 90% and rounds for use in SHTF scenario. 10 oz. bars because I like them. 100 oz bars to own more ounces for less premium. I did buy the megabar, 1000 oz. but realized that was a mistake. I later had it minted into rounds. Big bars not for me. No place to sell in my neck of the woods, so they have to be shipped, and that is a royal pain. And when you ship, you got all your eggs in one basket. If silver happens to spike to say $100 oz/ you got a hundred grand in one small box to ship at the fedex counter. In fact, I couldn't even get fedex to take it, I had to go to UPS. Cost a fortune to ship with insurance. Never again.

I think I remember (if it was you) when you said you were buying a big bar. I was going to say something but thought, nah, he's a big boy who can make his own decisions. Anyway, thanks for your input. Pretty much mirrors my thinkingn.

cdavport
15th March 2009, 20:43
I think I remember (if it was you) when you said you were buying a big bar. I was going to say something but thought, nah, he's a big boy who can make his own decisions. Anyway, thanks for your input. Pretty much mirrors my thinkingn.

Well, I wish you would have, maybe I would have listened to logic. I bought 3 of them. Probably a male thing. (mine bigger than....)

akak
15th March 2009, 20:47
Cdavport, I pretty much follow your same line of thought regarding the various forms and sizes of silver. I think it's good to have at least 200 oz. or 25%, whichever is more, of 1 oz. coins, along with a mixture of 10 oz. bars, 90% US silver coins (don't you DARE call them "junk"!), and 100 oz. bars. I get the feeling that many people here unfairly overlook the 100 oz. bars, which with their vastly lower premiums are a great bargain if one is accumulating many hundreds of ounces of silver. They are not hard to handle or store (unlike the monster 1000 oz. bars), and with the current premiums on them vs. 1 oz. coins, one could be looking at over a 20% price difference between them.

One thing that I personally stay away from is the "generic" 1 oz. rounds. I suspect that if and when silver really escalates in price, those would be the first form of silver to be counterfeited. I am not necessarily in love with coins produced by the national mints, but their more intricate and standardized designs make them less likely to be successfully counterfeited, IMO.

By the way, I fully expect that if and when silver skyrockets in price, the sale of any 100 oz. bar (or maybe almost any bars of any size) will require an assay upon sale, to determine if the bar is genuine silver or not --- overall, bars are the easiest form of silver to counterfeit or alter.

hiyosilver
15th March 2009, 21:00
I refer to mine as a mixed load........I guess the only thing I don't have now is thousand ouncers and 5 ouncers.... just about cover everything else though....greater percentage in large bars and 90% for the reason I believe all .999 will require assay to be liquid, therefore more fees for small form; and the 90% for barter.