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<p>[QUOTE=&quot;NorthKorea, post: 1960876, member: 29643&quot;]The commemorative gold (and the American Arts medallions sort of fit in this assessment) tend to not grow in value, if they haven&#039;t already. What I mean is, there are certain coins in the series (Jackie Robinson uncirculated, as an example) that sell for huge premiums. The rest of the coins, as a rule, languish near melt. This has been the case for a while.</p><p><br /></p><p>If you ever *need* to sell, major bullion dealers will offer three back of spot (97%) for these types of coins.</p><p><br /></p><p>That noted, it&#039;s also quite likely that the coins being sold would be MS-68 or PF-69 and lower grades. The coins have been thoroughly searched, with higher grade ones being graded.</p><p><br /></p><p>If, however, you want cheap (cost relative to intrinsic value) coins, these are tough to beat. Just realize that they sell at a minimum premium due to their history of selling at a discount to gold value when it comes time to sell. The main reason is the lack of a fineness stamp/hallmark on these coins. Yes, we know that they should have .24187 troy ounces of gold per coin, but a non-coin person probably wouldn&#039;t know that without researching it. By contrast a gold eagle is clearly stamped with X ounce fine gold.</p><p><br /></p><p>To place all of this into actual numbers:</p><p><br /></p><p>Current spot value (according to coinflation) on $5 gold: $312.90</p><p>Price through APMEX: $326</p><p>Net premium: $13.10</p><p>Percentage premium to spot: 4.187%</p><p>Standard bid for commemoratives: -3%</p><p><br /></p><p>In order to recapture your entry cost, we need to solve for N:</p><p><br /></p><p>.97*N = 326</p><p>N = 326/.97</p><p>N = $336.08</p><p><br /></p><p>With the future spot of gold to sell at $336.08, you would need gold&#039;s spot price to rise $23.18 (7.41%) to break even. This doesn&#039;t account for the actual costs of holding, nor the costs related to liquidation (shipping out).</p><p><br /></p><p>If the spread on a 1/4 ounce AGE is less than $25, it probably makes more sense to buy one of those rather than the commem series counterpart. The spread is currently ~$31, based upon Kitco&#039;s prices, so at the moment, yes, the $326 commem is a slightly positive purchase expectation.</p><p><br /></p><p>(Edit: Typo)[/QUOTE]</p><p><br /></p>

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