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<p>[QUOTE=&quot;GDJMSP, post: 2014540, member: 112&quot;]It doesn&#039;t have anything to do with anybody covering their losses because they (the mint) are not allowed, by law, to ever have any losses.</p><p><br /></p><p>When they are getting ready to mint ASE&#039;s, they buy the silver at a given price, say a million ounces. Once that purchase has occurred all of the ASE&#039;s minted from the batch of silver, all one million of them, are sold at a given price. And that given price never changes for those specific ASE&#039;s, regardless of whether the spot price goes up or goes down.</p><p><br /></p><p>If spot prices go up after the mint sells those specific coins, the collectors are happy because they can sell for a profit.</p><p><br /></p><p>But if spot prices go down then collectors are not happy because if they sell, they have to sell at a loss.</p><p><br /></p><p>So what the mint sold the coins at doesn&#039;t haven&#039;t anything to do with it. The spot price going down is what causes the collectors a loss, nothing else.</p><p><br /></p><p>edit - if collectors, even small ones, want to leave the mint out of it, that&#039;s easy enough to do. They can just buy silver on the open market, and for less than ASE&#039;s are going to cost them. After that all they have to worry about is what spot price does.[/QUOTE]</p><p><br /></p>

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