Bullion or Collectables
 

Here's my question. I was told that it is preferable to own collectibles over bullion. It was pointed out that when gold was made illegal, the fine for having it was $10000.00 and/or 10 years in jail. Now I know American's range from those that think "everything is just fine" to the total take over of the country, the collapse of our dollar, riots in the streets and forced Fema Camp incarceration.

Let's suppose you were concerned about the "possibility" that history would repeat itself and the Government would again "outlaw" bullion. Better stated, "if one does not learn from history, they are bound to repeat it". If you had 100, 000.00 and wanted to invest half in gold, how would you purchase it. (Bullion or Collectable):s1:

Re: Bullion or Collectables
 

Id invest half in silver then play the ratio honestly. I hear monster boxes stack quite nicely.

Re: Bullion or Collectables
 

actually I take that back...I would invest the $100,000 in a foreclosed house that I can buy outright. I would then rent that house out for say $1000/mo (just a number), and then spend that money on bullion every month.

A collectible is something that you collect right? Well I collect bullion, that makes it a collectible for me :biggrin:

Re: Bullion or Collectables
 

All bullion. The reasons and the environment for confiscating bullion in the 1930's no longer exist.

Remember, prior to the 1933 confiscation, people could exchange their fiat for gold. A primary motivation for confiscation was to get off the gold standard. It worked. They don't need to do it again.

Re: Bullion or Collectables
 

I know the argument you're referring to, it goes something like this. When gold was recalled back in 1933, they made a special exemption for "rare or collectable" coins. Great, that was back then, if the gov't decides to confiscate again, there's no rational basis to think that they'll use the same model. This time they may declare all gold illegal, but they may not.

Now personally, I like numismatic gold, such as $10 and $20 gold pieces, but if you like bullion, do that.

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I'll take whatever I can get my grubby little hands on.

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I would buy PCGS 70 graded collectible gold coins when they first come out and only have a small premium and then sell them in a few years after the premium skyrockets... And buy normal bullion with your profits.

Re: Bullion or Collectables
 

Collectables only have value if they are desired.

An ex-girlfriend of mine's mom used to collect Beany Babies in the 90's. She sold them online, made thousands of dollars collecting and selling.

Don't know if people still collect them, but I imagine they're only worth the price of a stuffed animal now.

That being said, if you pay $400 for a rare silver dime. If the economy goes to crap (and it will) people will only pay you for the silver value of the dime. No one will give a crap how rare it is. Only surviving.

None of the rules of before will apply now.

Re: Bullion or Collectables
 

OK, I'll bite. Following your criteria, I'd put half the gold into bullion, in various forms, maples, eagles, k-rands, etc. That's the doomsday fund.

The other half would go into rare U.S. gold in semi-key dates or where there are price vs grade irregularites. For example, the recent price of a 1908-D Saint Gaudens double eagle in MS-64 was $1,500, while in MS-65 it was $12,000. I'd buy the MS-64. Many similar price discrepancies can be found in gold coins from grade to grade. Speaking personally, I truly enjoy fine things and would love to have more than just bullion in my stash.

Re: Bullion or Collectables
 

Do you like Chinese Modern Coins?

www.coinex.net

Re: Bullion or Collectables
 

You should buy gold and silver coin collectibles for enjoyment purposes only because the large premium you pay for a collectible coin. It also depends on why you are buying gold and silver (i.e. collector or for investment purposes).
Opinions will vary on this forum. DYODD.

Re: Bullion or Collectables
 

Have not gotten into the Chinese coins...yet. The OP's question was limited to gold, but I enjoy collecting silver coins more. I just completed the Australian lunar silver series one, and was going after the British Britannias next, but I've been distracted by modern Candian bullion proof coins. Like the Chinese coins, there are some truly beautiful designs with very low mintages (10,000 to 30,000) available for reasonable premiums over bullion coin prices.
I have just bought three of these and will do a separate post when I receive them.

RED, sorry for the hijack. OutlawJosey is exactly right, and I am simply offering my own preference. However, collector and investment purposes are not necessarily mutually exclusive. Many collectors make quite a bit on their collections, but this tends to be on the highest grade, truly rare coins.

BTW, I don't figure confiscation into my plans for acquiring precious metals of any type. I believe that if it happens again it will be such a sign of desperation on the part of the govt. that it will happen shortly before the collapse of the govt. Again, just my opinion.

Re: Bullion or Collectables
 

Any collectors item is only worth something to another collector of same.If somebody else isn't into it, its just another car,motorcycle,dolly or coin.

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Re: Bullion or Collectables
 

It would never happen, though some here seem to think it's a reasonable hypothesis. Even right now, good quality higher end coins are at least holding their ground, if not appreciating a bit. If the only reason you're paying $400 for a dime is because you think you're going to make a profit from it, you're a speculator, not a collector. Speculators will panic in a real depression, collectors will add to their collections, and hold on to what they have.

If things get bad enough that this ceases to be true, then the world is basically FUBAR'd anyway, and bullion isn't going to save anyone.

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This is all very good information. I am new to this myself.

Re: Bullion or Collectables
 

Frankly - 80 to 90% in BULLION (both silver {some say only 33% in silver MAX} & gold) and the rest in gold and silver NUMISMATICS. You figure if you want the MINT packaging or slabs (but get one of them for later think swap meet, Ebay, Online sales, Numismatic club(s), and any other out-of-the -box trades).

So here we go HALF or 1/3 in SILVER bullion with only 10 to 20% of that in NUMISMATICS.

and HALF or 2/3 in GOLD bullion with only 10 to 20% of that in NUMISMATICS.

I prefer 50 - 50 "thingie" but many like McAlvany prefer 66% gold to 33% silver.

DYODD

Mathmatically I will end up with TRADING off much silver (in my limited way) into gold when the ratio starts to touch below 50 to 1 on thew way hopefully to 30 to 1 (silver to gold ratio).

:yes::yes::Surrender:

PS Gold is the ultimate CURRENCY - silver is close behind - and Platinum is in the running too!

Re: Bullion or Collectables
 

Excellent post, my sentiments exactly..besides who cares what the government has done in the past, all you gotta do is protect your ass-ets and don't tell anyone you own it..if you go around telling everyone that you own gold WSHTF then you deserve to be inside an oven & cooked well done!