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<p>[QUOTE=&quot;Market Harmony, post: 865154, member: 20154&quot;]Your question isn&#039;t too specific and the answer would change with the size of your speculative investment.</p><p><br /></p><p>- Are you considering $1 million+ investment, 100K-$1 million, or less than $100K?</p><p>- Do you really want to take physical possession of silver?</p><p>- Is your ideal situation to average into and out of a position or to move everything all at once?</p><p><br /></p><p>You note the historical average price ratio of gold:silver, so it seems that your theory is that the ratio will revert back to that mean.&nbsp; If that is the case, and this ratio will determine your entry and exit of the trade, then why would you even worry about physical possession?&nbsp; What I mean is that there are other ways to trade that gold:silver price ratio.&nbsp; You can trade this in the stock market by selling short the gold ETF&#039;s of GLD (or its double of UGL), while at the same time buying the silver ETF of SLV (or its double of AGQ).&nbsp; By shorting gold and buying silver you are effectively speculating on the ratio returning to the mean.</p><p><br /></p><p>I&#039;m curious as to what &quot;discounts and assay costs&quot; you are talking about?&nbsp; Individual investors will pay spot or better.&nbsp; Few, if any dealers will buy at spot unless they have a buyer already set up at a premium and they only act as the broker.&nbsp; A good dealer will buy at spot minus 5%.&nbsp; Assay costs should only come into play if you are dealing with precious metal containing scrap.&nbsp; In this case, the scrap must be homogenized and then assayed.&nbsp; But, you don&#039;t buy scrap as an investment.</p><p><br /></p><p>You pay a premium for brand names.&nbsp; That premium is not usually recognized when you are selling to dealers.&nbsp; If you are selling to an individual, then you might be able to get a premium for brand names.&nbsp; Buy and sell as close to spot as you can.&nbsp; And if something sounds or looks too good to be true, then 99.9% of the time, it is.&nbsp; Pass on it, there is plenty of silver out there <img src="styles/default/xenforo/clear.png" class="mceSmilieSprite mceSmilie2" alt=";)" unselectable="on" unselectable="on" />[/QUOTE]</p><p><br /></p>

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