Why are fractionals so popular

Discussion in 'Bullion Investing' started by FOX85, Dec 6, 2015.

  1. FryDaddyJr

    FryDaddyJr Junior Member

    sure. why buy 1/10 oz silver rounds?
     
  2. Avatar

    Guest User Guest



    to hide this ad.
  3. longarm

    longarm Well-Known Member

    Because they're silver.
     
  4. longarm

    longarm Well-Known Member

    And I would suggest to buy what you like, whether it's gold silver or platinum. If you like the bigger coin buy the ATB 5 oz pucks or silver eagles are nice if you like the 1 oz. But I suggest buying whatever you can. I made a lot of money off my gold and silver in 2011 and now I'm just getting back to where I was then.
     
    USS656 likes this.
  5. chip

    chip Novice collector

    I have a tenth ounce fractional silver, one with the prospector on it.

    I bought it in case there is a zombie apocalypse you should be able to buy a loaf of brains with it.
     
    FryDaddyJr likes this.
  6. longarm

    longarm Well-Known Member

    Well you better hang on to it then
     
  7. mikem2000

    mikem2000 Lost Cause

    Well, with a strengthening dollar, low inflation, fuel costs dropping like a rock, and stagnant industrial demand, it seems to me that would be a reason NOT to buy them
     
  8. longarm

    longarm Well-Known Member

  9. longarm

    longarm Well-Known Member

  10. SilverTracker

    SilverTracker Well-Known Member

    Collect what you like. In a serious end time scenario silver, gold all PM's are just metals. Stacking should be enjoyable buying what you like and used to sell off if the economy goes down or if a personal financial crises hits.

    I am just about to buy for the 1st time fractional gold after I unload some of my junk silver. And maybe a piece of fractional platinum or pallidium.
     
  11. fish4uinmd

    fish4uinmd Well-Known Member

    Can you feel the love already in the new year? :arghh:
     
  12. AndrewDS1

    AndrewDS1 New Member

    Everyone has their own preferences and strategies for owning and investing in coins or silver. Just go with what you want to have and let the market decide. You can't control the market, but you can control what you buy and hold.

    Personally, I think fractionals have their positives and negatives. First: bullion fractionals do cost more per ounce, then say 1 oz silver coins. So I don't see much point other than they are less expensive up front, and are often low mintage and maybe harder to find. You have to make the trade-off on where you think will the market will be in the future. But if I'm looking for bulk silver, I buy 10 oz bars: cheapest per ounce than bullion coins or rounds!

    But I like highly graded mint and proof fractionals also not only for price, but because of low mintages and I suspect it is harder to get a high grade for a smaller coin . But a highly graded proof 1/10 oz silver coin from a recognized coin can end up being worth more than its bigger 1 oz cousin because the mintages are so much lower. One of my current favorite, the Mexico Libertad silver proof, struck over 9300 1 oz coins, but one of the smaller fractionals was about 2400 coins only. Look at the one year the gold American Buffalo minted fractionals. The fractionals are worth almost as much as their 1oz cousins.

    I keep going to the example of the 1909 VDM Lincoln Penny, struck in Philly and SF. 23m+ struck in Philly and a mint coin is now work about $20; but less than 500K at SF and an example is worth $1750. That's the 'bullion' logic I use when deciding what to buy. Low mintage is a good bet, but not guaranteed.

    Also, fractionals can be more popular if they are in a matched coin set. Same coin, Mexico Libertad has a 5-coin silver set (1oz to 1/20oz) proof releases as well as a 7-coin set (the addition of the 2oz and 5oz plus the smaller coins). I think proof fractionals are worth more (in the long term) when they are in a matched set. A lot of collectors really love sets. So I bought a 5-coin PF70 Libertad silver set for $400 dollars in Sept; same set has already increased in price since then despite the falling silver prices (well over $500 in just 3 months).
     
  13. longarm

    longarm Well-Known Member

    These rounds have always held their value for me and I sold hundreds of them when silver was at $35-40 oz back in 2011. I sell off mostly the rounds and bullion coins when the price goes up and these bring a nice profit if you bought at a good price. 1/10 silver rounds sold listings.
     
  14. Jim Peters

    Jim Peters New Member

    Where do you get your best price on these say if you were to buy today? Or which seller is your favorite?
    Thanks
    Jim
     
  15. Brett_in_Sacto

    Brett_in_Sacto Well-Known Member

    That - my friend - is the hunt we all have... :)
     
  16. GoldFinger1969

    GoldFinger1969 Well-Known Member

    I've bought fractional GOLD coins but never would consider silver ones. The price is 1/80th the price of gold, there's no reason to go that small. Even if a premium wasn't involved, you now have 10x the number of coins or whatever. Silver already takes up alot more space than gold !
     
  17. imrich

    imrich Supporter! Supporter

    One advantage is that an average 7.62mm ammunition can full of silver coins won't be carried at a very rapid speed by the average male, making it possibly easier to locate, with carrier, if stolen.

    JMHO
     
Draft saved Draft deleted

Share This Page