Bought a 100oz Silver Bar

[George7941]

I have little faith in politicians managing money wisely, so I finally took the plunge and bought this Royal Canadian Mint bar from Costco three weeks ago for C$4939. Todays price for the same bar is C$5066. At least the price is moving in the right direction.

Price has to go up 12% for me to break even, to account for retail price vs what I can sell it for. So this has to be a long term investment.

Costco prices are about the same as bullion metal dealer prices but I do end up with a 4% discount from Executive Membership at Costco and using their credit card.

I am going to buy a few more bars. It does give me a nice sense of security owning something the government cannot dilute with their reckless spending.

 

[Klutch9]

Just don’t misplace it!!!

 

[WeyounDS9]

I also hold physical Bullion.
About a third of my portfolio is physical Gold/Silver.
This makes it more resilient IMHO.

 

[Hermann]

Don't drop it on your toes !

Long term precious metals pay off.

 

[LDB]

That's good but I'd rather have 100 one ounce rounds. I could use them in place of cash more easily than one bar. I have about 40 rolls of U.S. silver coins saved from the '60's when they changed over.

 

[IveBeenRued]

I’ve always been curious about this stuff. Walk me through a few things though. You purchase it for 12% above value hence you need it to rise in order to break even. Can you then liquidate it at market value or are you going to be selling for below market value at the time of sale?

 

[George7941]

I buy it at the retail price but bullion metal dealers will only buy silver from you at about a 12% discount off the retail price, which is their margin.

 

[E150GT]

That is a big bar of silver. I love the 10oz RCM bars. Very pretty as is this one.

 

[97prizm]

I have little faith in politicians managing money wisely, so I finally took the plunge and bought this Royal Canadian Mint bar from Costco three weeks ago for C$4939. Todays price for the same bar is C$5066. At least the price is moving in the right direction.

Price has to go up 12% for me to break even, to account for retail price vs what I can sell it for. So this has to be a long term investment.

Costco prices are about the same as bullion metal dealer prices but I do end up with a 4% discount from Executive Membership at Costco and using their credit card.

I am going to buy a few more bars. It does give me a nice sense of security owning something the government cannot dilute with their reckless spending.

View attachment 267928

Only if we had Star Trek replicators. You could in theory have as much gold , silver and platinum you could ever want. Weird trivia. Bonaparte Napoleon's parents had a baby rattle made out of Aluminum which at the time was extremely difficult to mine and produce making it more expensive than gold.

 

[Vil_Riker]

I’ve always been curious about this stuff. Walk me through a few things though. You purchase it for 12% above value hence you need it to rise in order to break even. Can you then liquidate it at market value or are you going to be selling for below market value at the time of sale?

For metals, there is a "spot" or "melt" price. That's basically the price of the metal you see quoted.

When you buy, the retail outlet will sell it to you for the spot price, plus a premium. The premium can vary from 3% to 35% depending on what you are buying. in general... For a single 100 oz bar, the premium will be the lowest available. For an American Eagle coin, you will pay the highest.

When you sell, the buyer will charge you a fee to buy, i.e. they will apply a discount. This varies wildly as well.

 

[MasterSolenoid]

Only if we had Star Trek replicators. You could in theory have as much gold , silver and platinum you could ever want. Weird trivia. Bonaparte Napoleon's parents had a baby rattle made out of Aluminum which at the time was extremely difficult to mine and produce making it more expensive than gold.

On Star Trek Voyager, they had to occasionally refill the 'elements' that fed the replicators.
(usually while visiting a new planet)
Unless there are elements that can be mixed to make gold & silver, your statement is .... illogical.

 

[Vil_Riker]

Only if we had Star Trek replicators. You could in theory have as much gold , silver and platinum you could ever want. Weird trivia. Bonaparte Napoleon's parents had a baby rattle made out of Aluminum which at the time was extremely difficult to mine and produce making it more expensive than gold.

Gold was worthless if I remember correctly, only latinum.

 

[cptbarkey]

Vulcan in the house ^

 

[dubber09]

Oh boy....
My strategy is to keep higher value (items) in gold - smaller size and weight with high value. Easier to conceal and move.
Silver is kept in 1oz coins but bars are ok too, just in case cash is not an option so those silver coins can be used for payment or trade. Easily recognized and trusted pieces is the key. Canadian silver coins are 99.99% silver as opposed to US coins that are 99.9%.

 

[SC Maintenance]

I like silver, but that is a pretty hefty premium for a bar. Eagles are only running about 15% above spot currently, in volume.

My favorite are walking liberties - mainly because my Grandfather used to save them and give them to me when I was very young. He got them at the bank - they were still in circulation, although most of what he gave me were Kennedy's with no silver in them.

 

[k1xv]

If you have a unwanted intruder in your home, you can use it as a blunt instrument weapon.

 

[Shannow]

Back when I had kids, the tooth fairy would give them an ounce of silver.

 

[k1xv]

Before 1965, USA dimes, quarters and half dollars were made of 90% silver.

 

[slackinoff]

If you have a unwanted intruder in your home, you can use it as a blunt instrument weapon.

Why did I immediately think the same thing? Home Alone style....on a string from the staircase.


@George7941 - that bar is sick! Very cool purchase.

 

[George7941]

I seem to have lucked out on my timing. Silver prices are marching up since I purchased late February