Premiums on small gold coins

[CSdot]

Just an observation from someone who is putting together a Mint State 7070 style type set.* There sure seems to be a greater premium on the smaller US pre-1933 gold coins ($1 - $5) than on the larger US pre-1933 gold coins. ($10 - $20). Example: generic MS65 Indian Princess $1 = $2,000, and generic MS65 $20 Saint = $2,000.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

* This is just a generalization, as I am sure there are exceptions to this rule.

[Nutmeg Coin]

That's true; just check population figures; however, the universal appeal goes with the bigger coins rather than small coins that you may need to squint at to see correctly.

[michael]

deleted

 

wrong thread

[michael]

deleted wrong tangent

 

 

[GoldFinger1969]

It's no different than buying a big bar of chocolate than a smaller one: you pay more proportionately on the smaller bar.

 

American Gold Eagles or other fractional ounce coins sell at much higher premiums to gold content than the 1-ounce coins.

[James_OldeTowne]

It's no different than buying a big bar of chocolate than a smaller one: you pay more proportionately on the smaller bar.

 

American Gold Eagles or other fractional ounce coins sell at much higher premiums to gold content than the 1-ounce coins.

No question about it.

 

There is the same amount of overhead cost involved in selling a bullion coin whether it's 1/20-oz, or 1-oz. So proportionally, that overhead cost will be much higher for the smaller coin.

 

Using loose numbers, think of it this way. We have to pay an employee $15 in salary for the few minutes it takes to ring up a sale. Compared to $1500 for a 1-ounce gold coin, that's only 1% of the value. On a $75 coin (1/20-oz), that's 20%!!

 

When folks come in looking for bullion, I always try to steer them toward the largest possible coin (or bar) they can afford.

[GoldFinger1969]

There is the same amount of overhead cost involved in selling a bullion coin whether it's 1/20-oz, or 1-oz. So proportionally, that overhead cost will be much higher for the smaller coin.Using loose numbers, think of it this way. We have to pay an employee $15 in salary for the few minutes it takes to ring up a sale. Compared to $1500 for a 1-ounce gold coin, that's only 1% of the value. On a $75 coin (1/20-oz), that's 20%!!When folks come in looking for bullion, I always try to steer them toward the largest possible coin (or bar) they can afford.

 

James, ballpark figures in %, how much above bullion spot do you charge for a 1 oz, 1/2 oz., 1/4 oz., and 1/10th ounce gold coin ?