What would you get into if you were interested in investing in gold?

[WaxonWaxov]

Hi,

 

If you were interested in investing in physical gold, with a budget of about $1000 every two months, what would you choose?

[PerryHall]

I would buy some nice slabbed Saints and Liberty $20's in MS62 or 63 at close to bullion as possible. Also, slabbed Liberty $10's in MS61 or 62 can be found at not too much more than bullion. Some of the modern gold commems are selling near melt and should be considered. I would personnaly avoid the first lady coins since the mint will be selling them at a large premium over melt.

[James_OldeTowne]

None of the above. I would be pursuing early darkside gold. Cheap, available, historic and fascinating, and often very beautiful.

[jgrinz]

As BIG and as PURE as you can find - RAW BUFFALO's maybe

[bsshog40]

I love the Eagles. Beautiful coins!!!!!

[lkenefic]

Timely thread...Just as PerryHall said, I've been looking at Double Eagles in AU58-MS62...more common date stuff that typically sells for just above melt. $10 pieces are probably a good bet as well.

 

L

[WaxonWaxov]

None of the above. I would be pursuing early darkside gold. Cheap, available, historic and fascinating, and often very beautiful.

 

Sorry, Dark Side?

[WaxonWaxov]

I would personnaly avoid the first lady coins since the mint will be selling them at a large premium over melt.

 

Good point

[Zoins]

None of the above. I would be pursuing early darkside gold. Cheap, available, historic and fascinating, and often very beautiful.

Sorry, Dark Side?

Darkside means world coins from a US perspective. Lightside means US coinage. I'm not sure how those terms evolved but that's what they mean. Interestingly enough I was on a UK coin site the other day and when you clicked on "world coins" you got a picture of a Morgan dollar

 

The options above don't cover classic gold available at bullion prices, either US or darkside but should. Some people buy Mexican 50 Peso coins for bullion which I happen to think are very beautiful, though these are much more recent than some of the world gold you can get at low premiums. In the past, it seems that some marketing agencies pushed a lot of darkside gold at high premiums to unsuspecting neophyte collectors who lost their shirts. A lot of darkside gold can be had for little premium over bullion value.

[carson city]

I would invest in graded MS69 and PF69 mini-Buffalo's when they are released, later this year. Not much of a premium over spot and always a market to sell into, if necessary.

[WaxonWaxov]

I tried to add classic gold not much above spot, but I guess I can't edit the poll.

 

Thanks for the clarification on 'Darkside'

[DC Dawg]

I love the Buffaloes. But I would also consider classic gold.

I would use the money to build an early 20th century then a Liberty Head gold typeset.

 

Scott

[texasrichard]

If its strictly a physical play then I'd go with classic US and World stuff in various sizes; but something most people would recognize. Buy various sizes to allow you the best opportunity to liquidate or use for barter if the need ever came.

[Ambassador]

If we're talking doomsday I might rather have a few boxes of ammo and some canned goods stashed in the mountains.

[vtrockin]

If I really wanted to invest in gold I'd buy into the Gold EFT or gold futures...the most liquid gold investment, but then again it's not nearly as pretty as the above mentioned items.

[texasrichard]

If we're talking doomsday I might rather have a few boxes of ammo and some canned goods stashed in the mountains.

 

You are correct, I forgot to mention that part

[Ambassador]

Now that is a very attractive collection , kinda like a type set.

 

edited to add

 

Thread hijack complete.

[WaxonWaxov]

If we're talking doomsday I might rather have a few boxes of ammo and some canned goods stashed in the mountains.

 

Doomsday? Kinda...

 

I'm just worried that the Dollar is going to continue to go straight to hell.

 

I like the idea of Gold Futures, but I want physical gold that I can hide where the goverment can't steal it like they did the 500 double eagles from my Great Grandfather in 1933.

[MikeInFL]

I prefer Krugerrands or Maple Leaves -- whichever can be fond closer to spot. Practically liquid any place they take gold.....Mike

[TomB]

The terms Darkside and Lightside, in reference to coinage, first came about on the old PCGS boards as far as I can tell. We longtime members would go at each other in a tongue-in-cheek manner to attack US coinage or world coinage. The term Darkside came into being first since it was used to label someone who was drifting toward world coinage. The term Lightside was simply its counterpart.

[Zoins]

The terms Darkside and Lightside, in reference to coinage, first came about on the old PCGS boards as far as I can tell. We longtime members would go at each other in a tongue-in-cheek manner to attack US coinage or world coinage. The term Darkside came into being first since it was used to label someone who was drifting toward world coinage. The term Lightside was simply its counterpart.

Ah, seems to be an offshoot of the Jedi vs. Sith sides of the force in Star Wars?

[TomB]

Yes, I believe so. It's too bad you cannot access the old boards from about 2000 since that is the timeframe where I believe the terms originated.

[MikeKing]

I would say none of the above.

I would 'invest' in 19th century gold coins that are choice for the grade.

[thebeav]

I would consider scrap gold jewelry.

1) It can be purchased at a discount to melt.

2) It's always easily convertable to money, even without assay.

3) It's ugly, so there's no chance of falling in love with it ,and , as a result, not getting out when you should.

 

Paul

[michael]

cant answer you as gold is NOT an investment it is a spectulation and/or a hedge..............

 

but if you want to buy gold purely as a hedge then buy for the smallest percentage above melt specifically coins that are more easily liquid

 

that would be mexican 50 pesos..............

 

if you want something more easily saleable but much higher above melt then american gold eagles

 

circ 19th century gold common date libs are a good/cool hedge but they are not easy to sell

[World Colonial]

None of the above. I would be pursuing early darkside gold. Cheap, available, historic and fascinating, and often very beautiful.

 

I bought an 1858 France ANACS AU-58 for about 20% over spot and just sold it but the premium was less. I bought it with the same line of thought you had but after holding it during most of the gold run-up, I'm not convinced this type of coin will develop much of a premium. That's why I sold it even though I do agree with you that this type of coin is dirt cheap.

 

I've come to the conclusion that bullion is the best way to own the metal if that is what you want. And for that, I would buy one ounce Eagles, Mapleleafs or Krugerrands if you can afford them.

[Zoins]

cant answer you as gold is NOT an investment it is a spectulation and/or a hedge..............

Interesting point. What is the average annual return on gold over the long run? Say over periods of 1, 5, 10, 20, 50 years? Can you invest in gold over the long term the way people invest in the SP500? Or is it more like speculating in commodities on the Chicago Mercantile Exchange?

[cpm9ball]

There have been reports that China's economy is in serious trouble, and they have invested heavily in U.S. Bonds. If China were to demand payment in full to help stave off financial collapse, it could put the U.S. economy in dire straits. There would likely be a "domino effect" on many other foreign economies. I would rather invest in generic gold bars rather than specialized U.S. or foreign bullion coins. You wouldn't be paying the premium as you would with bullion coins, and the rising price of gold on the world market would give you one heck of a return on your investment.

 

Chris

[MikeKing]

so what you're saying is that we are finally going to see $1,000.00 gold again, like all the soothsayers have been predicting for the past 20 somewhat years???

[jtryka]

cant answer you as gold is NOT an investment it is a spectulation and/or a hedge..............

Interesting point. What is the average annual return on gold over the long run? Say over periods of 1, 5, 10, 20, 50 years? Can you invest in gold over the long term the way people invest in the SP500? Or is it more like speculating in commodities on the Chicago Mercantile Exchange?

 

The question you are really asking is how much is the dollar depreciating? Gold is simply a form of money, call it the anti-dollar. Over the long-term, gold in dollar terms should roughly match the rate of inflation, after all, the amount of gold changes little, but it's the activity of fed printing presses that create more dollars thus requiring more greenbacks to buy the same amount of gold or anything else.

 

This is not a long-term growth investment, like say stock in a company that can grow revenues and earnings faster than the government increases money supply. It is simply a hedge to protect a portion of one's wealth from depreciating fiat currencies. When you see gold rise from $350 to $650, the price of gold really didn't rise, rather the value of the paper dollar fell that much! Sort of how gasoline went from $1.10 to $2.50, or your home value went from $150,000 to $275,000, it has more to do with the depreciation of the dollar than anything else!