Of the major one ounce world silver bullion coins (e.g., ASE, Maple, Britannia, Libertad, Panda, Kookaburra, Koala, Lunar, Philharmonic), which do you think are most likely to have a numismatic value above silver spot in the future? Some of these issues carry a pretty high premium above silver spot right now, but it is hard to know if that will hold in the future. Please support your answer with details such as striking design, guaranteed purity, highly recognizable, limited mintages, strong collector base, emerging market, higher face value, etc. Thanks, TC
chinese panda, british britannia, australia lunar series II, american eagle & mexican libertad. some of those or many of those years were collectible and have potential to increase its value in the future.
My heart is with Ase's. Can't go wrong with the guaranteed purity and they seem to be enjoying a popularity among collectors. I'm quite passionate about 'em, yet, (I must confess) I don't collect or invest in any of the other choices.
I think that ASE's for the time being are just going to be just bullion coins with 1996 being the exception. The way that I see for ASE's to have any numismatic value is if the series was discontinued and demand for earlier years goes up and those earlier years start to become scarce as a result.
The problem with these having potential numismatic value is that the market for them is so thin. What I mean by that is that 90% or more of the people who buy these coins buy them for one reason - for the silver. To them they are nothing but that - a chunck of silver. And that's all they will ever be. But the other 10% who buy them provide the illusion, mostly to each other, that the coins have numismatic value. But if you want to find out the truth, take some and try and sell them one day in a dealer's shop or at a coin show. You'll get offered the same thing you would if they were silver bars.
I think ASEs have the most potential. Someday the US Mint will discontinue the series but the demand will continue. So there is a reasonable chance that the coins will start to accrue at least some, and perhaps substantial numismatic value. The fact that coin dealers and "serious collectors" ignore the series is irrelevant right now. Many times it is the discarded item of today that becomes a valued collectible several decades later. Time will tell. Nothing is certain in predicting the future.
My only disagreement with Cloud would be that these aren't discarded today, they are made to be collected. I just have never liked items that are ready made collectibles, since their population really never goes down. If there was a huge spike in silver and a large amount of these were melted, then I would be more interested in them as collectibles. As it is, I see all of them being uncirculated and available in bulk for purchase for a long time. I could see their premium increase some more than today, but I think their underlying value for years will be tied to bullion value. Just my opinion. However, put a gun to my head and make me choose amongst the options, I would agree US produced ASE and Pandas, (cuteness factor), would have highest possibility to increase and be treated numismatically.
Check out these mintage numbers. Ever look for a Britannia? Still looking, haven't found one yet. http://www.britanniacoins.info/mintage.html Something to consider.
I just learned about Philharmonic recently. First, it's definitely one of the most beautiful gold bullion coins. Second, it has the largest denomination value, 100 Euros. Yeah, I know Euro got a crappy reputation recently, but let's face it, it is still more valuable than the dollars, if you still have some illusion about the dollar. So, in case one day the gold price collapses, then the coin is still worth 100 Euros at least. A third factor is its purity of course. I really wish AGE could have that kind of purity, but that would reduce the appeal of Buffalo. The major issue I have with Philharmonic is it is so much wider than the other coins, which means it can be much thinner at the same time. So, I am not sure if that (1) still makes it elegant looking, and (2) easy to store, as thinner gold tend to bend easily.
I have picked up a few of them, nice design, government issue, I admit I paid a greivous premium (5$) but they appealed to me. I am not looking to get a date set of them but if I find some place to get them closer to melt I might do a date set.
That may or may not be relevant. Several years ago I discussed the $5 face value on Maple Leafs with a representative from the bullion desk at Scotiabank. They told me that the face value was put on the coin to permit it to be exported without having to pay certain taxes, but that the bank would not redeem the coin for $5 should the bullion price drop lower than that. I don't know the situation with the Euro-denominated coins, but you should look into it if it is a factor in your decision. It is dangerous to assume that the law that applies to the ASE making it a $1 legal tender coin also applies to the bullion from other nations.
Thank you for addressing my post. I just realized that I posted an irrelevant reply to the OP, my bad... Still, about the $5 coin worth less than $5 in case of bullion price collapse. That quite an interesting scenario. That's basically saying the coin is not a government recognized legal tender of currency, because that could be the only justification for its valuation less than its "face value". Otherwise, a paper note, or a regular coin would be worth even less.
No, this is a mistake that many people make. They seem to think that just because a bullion coin is designated as legal tender that it will always at least be worth its face value. That is not so. The only reason that bullion coins have any value at all is because of their bullion content. And if the price of bullion becomes less than the face value then that coin becomes worth less than its face value. This is because bullion coins are not money, and they are not made with the intention to be used as money - they are bullion. Bullion has a fluctuating value that can be virtually anything from 1 cent per ounce to many thousands of dollars per ounce. Money on the other hand has a set value that is determined by what is printed on it by the issuing authority. And that value never changes. A $5 dollar bill is always worth $5 regardless of what happens in any marketplace.