Fullauto_Shooter Posted January 2, 2011 Share Posted January 2, 2011 (edited) I've been investing in silver for the past two years (very small amounts - 10 ounces here, 20 there), but recently started investing more. Many sources indicate that silver is currently very undervalued when compared to it's historical value ratio to gold (silver has historically traded at about 9-14% of the value of gold). Who knows what the future may hold, but I'm banking that silver will continue to rise over the next year or two, at least until public trust in the economy is restored. Even on the low end of historical value, at 9% of gold, silver "should" be at about $130 per ounce - current spot is just under $31 per ounce. Anyone else investing in silver? Edited January 2, 2011 by Fullauto_Shooter Link to comment Share on other sites More sharing options...
Chris Keen Posted January 2, 2011 Share Posted January 2, 2011 Just the opposite .... I've been investing heavily in Gold for the last 3 years, and while my investment has rapidly increased in value, so has the spot price. Almost to the point that I've been thnking of switching over to Silver ... like you said. I started with a half ounce, and now have over 7oz, but with the current Gold market I think it's time to stop investing. It's pretty high, and although I'd like to think it's topped out, I kinda doubt it. Anyways can't really go wrong with silver. In fact if the US economy completely collapsed, it'd be kinda hard to go buy gas & groceries with a $1400 gold coin! Link to comment Share on other sites More sharing options...
mlmiller1 Posted January 2, 2011 Share Posted January 2, 2011 Just bought my first tiny bit the other day. My intention is to buy a little every payday for a few months. Even if the stock market doesn't have another "adjustment", the silver should always have value. I expect another market drop though, & my retirement time is coming soon at work. I would hate to retire from my present job & wind up having to work another job that wouldn't pay as much as my present one does. If I can save a little "retirement bonus" silver, maybe I can make it through. MLM Link to comment Share on other sites More sharing options...
outerlimits Posted January 2, 2011 Share Posted January 2, 2011 been investing in copper and brass, by way of starline and montana gold. Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 2, 2011 Author Share Posted January 2, 2011 been investing in copper and brass, by way of starline and montana gold. I'm with you on this one! Don't think either will lose much value in the coming years, and we can all get some good use out of them in the meantime. Seriously, I just stocked up on several cases of MG bullets after hearing reports that lead and copper are poised to make another price jump. Will probably try to get another couple cases over the next few months as a further hedge. All this investing stuff would sure be a lot easier if money weren't so damn tight. Link to comment Share on other sites More sharing options...
bbbean Posted January 2, 2011 Share Posted January 2, 2011 I'm buying Dec 11 Cotton bull call spreads. Link to comment Share on other sites More sharing options...
The_Vigilante Posted January 2, 2011 Share Posted January 2, 2011 (edited) I just started buying silver-the Silver Eagles-got 20oz and will be buying more on a monthly basis. Just curious, where are you finding the best prices to buy your silver? What kind of silver are you buying? Bullion? Silver Eagles, Pre-1965 coins? Edited January 2, 2011 by The_Vigilante Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 2, 2011 Author Share Posted January 2, 2011 I just started buying silver-the Silver Eagles-got 20oz and will be buying more on a monthly basis. Just curious, where are you finding the best prices to buy your silver? What kind of silver are you buying? Bullion? Silver Eagles, Pre-1965 coins? I find the best deals come from private internet sales, though they are obviously riskier than dealing with an established dealer. Have purchased several small lots from folks over on AR15.com with good results. I've been picking up small quanties of mostly bullion and generic silver rounds, but have bought a few American Silver Eagles when I could get them cheap. I haven't messed with any of the "junk silver" pre-64 coins since many sellers charge a premium for their "collectibility". Over the past year or so, I've bought just under 100oz in private deals. Just made a big, for me anyway, purchase of 100oz of Canadian Silver Maples (.9999 fine vs the more typical .999 fine) from Monarch Precious Metals (MPM) - did some shopping around and their final shipped prices were slightly better than KITCO and several other big dealers. The actual difference in price came from MPMs cheaper shipping and insurance rates; I couldn't see the price difference until I registered on several sites and went all the way through the transaction process, stopping just short of confirming the buy. Seems like the best deals come if you can afford to buy in bulk (over 500oz); I'm not in a position to do that, so I'll just keep picking up some here and there. It's pretty cool to see the stack growing. Link to comment Share on other sites More sharing options...
EEH Posted January 2, 2011 Share Posted January 2, 2011 (edited) Back in the early 80's when the famous HUNT bros.tried to capture the silver market,I had a small coin collection which I sold at $20.00 on the dollar,never looked back,,all dimes, quarters,and half dollar-common dates--dont know how that relates to todays market,, Edited January 2, 2011 by EEH Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 2, 2011 Author Share Posted January 2, 2011 Back in the early 80's when the famous HUNT bros.tried to capture the silver market,I had a small coin collection which I sold at $20.00 on the dollar,never looked back,,all dimes, quarters,and half dollar-common dates--dont know how that relates to todays market,, Current rates for 90% junk silver coinage runs about $22-$23 per dollar of face value, depending on how much you buy. During the big silver run back in the 80s, my dad traded right at 4 pounds of pre-64 coins for a nearly new pickup truck. Link to comment Share on other sites More sharing options...
The_Vigilante Posted January 2, 2011 Share Posted January 2, 2011 Collectability of pre 64 coins-unless the coins are in gem mint condition they don't have any collectability value!!! Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 2, 2011 Author Share Posted January 2, 2011 Collectability of pre 64 coins-unless the coins are in gem mint condition they don't have any collectability value!!! I agree completely, but some sellers pull out the old "collectible" line in an effort to dupe unsuspecting buyers into paying too much. The Pre-64 stuff is OK, just not what I'm really interested in. Much prefer .999 (or better) bullion and rounds. Link to comment Share on other sites More sharing options...
mpeltier Posted January 3, 2011 Share Posted January 3, 2011 This may be a stupid question, but an investment means you get more back than you put into it. I see plenty of sellers at market price, but who buys it back from you at market price. I see many buyers that are offering substantially less than market price. So, unless you bought it back when it was less than what buyers are willing to pay, it seems like it could be a fairly risky Investment. What am i missing??? Where do you sell it??? Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 3, 2011 Author Share Posted January 3, 2011 This may be a stupid question, but an investment means you get more back than you put into it. I see plenty of sellers at market price, but who buys it back from you at market price. I see many buyers that are offering substantially less than market price. So, unless you bought it back when it was less than what buyers are willing to pay, it seems like it could be a fairly risky Investment. What am i missing??? Where do you sell it??? Not a stupid question at all and you're right, any precious metal investment has the potential to lose value and can be risky. Most of the bigger buyers pay 95-98% of spot price for non-branded silver and many pay slightly over spot for branded items, such as Engelhard or Mathey Bars. The premium over spot increases with more popular items such as Canadian Maple Leafs and American Silver Eagels. There is a coin and bullion shop in Austin, TX that is currently paying spot+1.85 for ASEs and spot+1.65 for Maple Leafs. Prices typically decrease as the size of the bar increases; you'll get less per ounce for a 100oz bar than a 1oz, 5oz, or 10oz bar. You also have the option of selling to a private buyer - the internet makes this really easy. This will typically yield slightly higher prices than going through a dealer, but you may have to wait a bit to find a buyer. I'm kicking myself that I didn't buy a couple hundred ounces earlier this summer when it was under $20 an ounce. If I had, my investment would have already gained 50% over the past 6 months. The key thing is knowing when to take the money and run - I always seem to screw that part up. Some financial guys a lot smarter than me predict silver may top $50 an ounce by this time next year; guess I'll roll the dice and see what happens. Plus - I'm a collector at heart so it's cool just to look at and handle the rolls of silver coins. Same way with guns. Link to comment Share on other sites More sharing options...
Treym7 Posted January 3, 2011 Share Posted January 3, 2011 Saw a news story today that I thought I should share on this topic. Looks like in our state of South Carolina, it is illegal to buy precious metals without a permit. Even have a holding period after purchase. Just make sure it's legal where you live. This was a shock to me. http://www.wyff4.com/news/26352497/detail.html Trey Link to comment Share on other sites More sharing options...
Fullauto_Shooter Posted January 3, 2011 Author Share Posted January 3, 2011 Saw a news story today that I thought I should share on this topic. Looks like in our state of South Carolina, it is illegal to buy precious metals without a permit. Even have a holding period after purchase. Just make sure it's legal where you live. This was a shock to me. http://www.wyff4.com/news/26352497/detail.html Trey Thanks for sharing - I'm aware of no such law in TX. Seems quite "big-brother-esque" to me. There is historical precedent of our government regulating the trade of precious metals at the federal level, but wasn't aware of this at the state level. Gotta believe that I'll be fine here in TX. Link to comment Share on other sites More sharing options...
Sam Posted March 5, 2011 Share Posted March 5, 2011 Google "Crash J.P. Morgan, buy silver." Link to comment Share on other sites More sharing options...
Flatland Shooter Posted March 5, 2011 Share Posted March 5, 2011 I've got some small Engelhard bars purchased in the late 70's when I worked for the Hunt Brothers (Hunt Energy Corp). Still holding until I can at least break even. Bill Link to comment Share on other sites More sharing options...
Sam Posted March 5, 2011 Share Posted March 5, 2011 AH! Silver....it's the new green. Link to comment Share on other sites More sharing options...
Systemstooge Posted March 6, 2011 Share Posted March 6, 2011 Just curious, where are you finding the best prices to buy your silver? What kind of silver are you buying? Bullion? Silver Eagles, Pre-1965 coins? all of the above, buy and sell at Tulving.com but has to be in quantities. Easy to work with JM2C Link to comment Share on other sites More sharing options...
CocoBolo Posted March 6, 2011 Share Posted March 6, 2011 Well reminds me of old Hoover back in by contract truck mechanic days, everyday he would tell me how much he had made on silver, and everyday I would ask "Did you sell it?" He would say no boy I'm not stupid its going up. One day I came in and old Hoover looked really bad I thought maybe his wife died or something but no that was the day that the bottom dropped out of the silver prices, this was around 1980 I think. How shall I say this he had suffered a loss but it was his axx. Point is he could have made lots of money but he missed out by not knowing when to sell, it is risky, but if you knew when to bail it could pay off. Link to comment Share on other sites More sharing options...
David.Hylton Posted March 6, 2011 Share Posted March 6, 2011 I've actually sold what little siver and gold I had. I bought it years ago (siver was $3 or so and gold about $350). Wondering if the commodities market is becoming a bubble market like real estate. Several financial guys indicate there will be a price correction. Market is just too hot to jump in for me. I'll keep investing in guns. Link to comment Share on other sites More sharing options...
DWFAN Posted September 26, 2011 Share Posted September 26, 2011 Anyone buying this Crush ? Link to comment Share on other sites More sharing options...
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