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<p>[QUOTE=&quot;fatima, post: 881805, member: 22143&quot;]Of course this depends upon your definition of gain.&nbsp; If the worth of the coin fell to $4 did you have a loss?&nbsp; Most people in that position then would say, &quot;no not utill I sell it&quot;.&nbsp;&nbsp; Sure you don&#039;t need a business degree to figure this out, but holding bullion is nothing more than a business transaction.&nbsp;&nbsp; In a business transaction gain or loss is not calculated until the transaction has completed.&nbsp;&nbsp; </p><p><br /></p><p>For this example lets assume your silver bullion is more valuable than when you bought it.&nbsp;&nbsp; Is it a gain?&nbsp; That depends upon if you use the silver in some sort of business transaction.&nbsp; If not, then you are actually in the loss category due to the opportunity cost of acquiring and holding that silver over the period.&nbsp;&nbsp; This is splitting hairs, but technically you have not gained anything until you use the silver for it&#039;s purpose.&nbsp; For bullion this means that you most likely sell it for more than it cost you to acquire it and hold it. </p><p><br /></p><p>----------</p><p><br /></p><p>In general, holding physical PMs from a pure financial standpoint is not something that the small fry, like most of us, should be concerned about for the short term.&nbsp;&nbsp; Gold, and to a lesser extent silver are hedges against government financial abuses and policies revolving around fiat currency that punish anyone who is a saver.&nbsp;&nbsp; (IMO, silver isn&#039;t quite the same as gold in this regard mostly due to how the central bankers view gold but that is a different subject.)&nbsp; This means if you are buying bullion you can&#039;t be concerned with day to day pricing because with the kinds of access we have for buying and selling, the fees will quickly eat you up if you try to day trade it.&nbsp;&nbsp; </p><p><br /></p><p>This is a conversation purely from the bullion perspective.&nbsp; If of course you get caught up in the fun of the numismatic aspects of this activity then your objectives will be a little different. e.g.&nbsp;&nbsp; It&#039;s no longer just a business transaction because your &quot;gain&quot; then becomes the pleasure of owning a certain coin even though you could only sell it for a financial loss at the moment.[/QUOTE]</p><p><br /></p>

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