Slabbing, Bullion Only Coins, Right or Wrong ?

It looking around the web looking for my next purchase, i see allot of Slabbed Bullion
Coins selling for huge premiums !! though i am a TPG guy myself and believe in that
Process, the grading of bullion coins doesnt make a whole lot of sense to me, who really
Cares what the grade is, its bullion plain and simple and one of my favorite phrases

FIRST DAY OF ISSUE

OR

FIRST STRIKE

all gimmicks to make you pay more

 

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I'm not opposed to slabbing gold. Silver not so much.

 

Collectors of them care. Once graded they are no longer just bullion. People don't have to participate in that segment of the market if they don't want to but it has existed for years and we are long past the point where once graded it should be called just bullion.

 

I can't see why uncirculated silver get slabbed unless it's a proof coin silver or gold. otherwise a huge waste of money in my opinion.

 

Tell that to a MS69 ASE. They are graded but have no real premium.

 

That has nothing to do with ASEs from the US Mint. That is true of almost all products not intended for circulation from the US Mint

 

Only benefit I would see would be slabbed gold coins for verification.

 

Slabbing bullion isn't for me. However, there is clearly a market for all the "gimmicky" stuff. Is any of it worth it? Short answer is: yes, but not for me.

 

It all depends if you think gold is only for investment.
Then anything above spot is too high.

Do you consider price differences between a Proof and a Uncirculated?
Or between a PF70 and PF69?
Where do you draw the line? and where do *other people* draw the line.

It all varies. If someone collects various gold pieces based on their *numismatic* value, then there are going to have different opinions based on someone collecting based on the Bullion value.

I have various collections based on bullion, numismatic and a combination of both.
So it depends what *you* are collecting it for and if it's worth slabbing or not.

 

For a bullion only coin, sure you can say verification however most are easily checked out, if you have a local expert that you trust or buy from like APMEX
Or another well respected Bullion dealer you would generally have no issues

And do i really care if i have a PR70 or PR69, i would say not !!

 

But some people do. So your definition is related to what you are comfortable for.

Other people's discussions/arguments don't matter to you. But they all have their own reasons.

I don't like slabbed gold either. And I get my gold from Provident/Apmex in at least AU even for their choice selections.

 

Not to put anybody down for what they collect, but the added value by getting something graded just for the purpose of a number in a coin thats sole purpose
Is the bullion content doesnt make much sense, i would never do it however we
all float are boats differently

 

Yes, but it all comes down to opinions.

To me, rounds and bars are solely for bullion content.
Coins are for bullion content *and* numismatic collectibility. And one may define a ASE/AGE as a coin or as strictly bullion .. it's what ever floats that persons boat.

 

Personally, I don't see the point. Unless you have something special, like a 08/07 uncirculated silver eagle error, or a 1995 W-Proof silver eagle, I wouldn't bother. And even then, they would need to grade high for it to matter.

If all you want is a collection of [insert bullion coin] where you have a given grade for each year, go for it. Beyond that, the plastic doesn't really add anything to a strictly bullion coin other than empty volume that takes up too much space.

 

While I realize that slabbed bullion may not be the 'cat's meow' for everyone, it is for some.
And here's why. I'll just pick a random ATB 5oz coin.
2015 North Carolina Blue Ridge Parkway Mintages - Bullion 45,000 Collector 17,461
For the collector SP coins most will grade out at 70 or 69. The means you have a population of around 17,000 that would/could slab at or near the higest grade possible.
On the other hand, the bullion coin, while having a much higher mintage, few will grade at a 69 and virtually none at 70. Just look at the PCGS population report and see how many of the bullion coins there are that graded at 70. Now compare that with the population of the SP coins that graded at 70. In my book that makes a high grade bullion much rarer that a high grade SP coin.
However, I'll say that a lot of dealers don't like them for one reason - size. They take up a lot of room. When I go to sell a high value slabbed ATB 5oz coin I have a hard time finding the right dealer to give me more than melt. But when I do find the right dealer, then I can get a really good deal.
For those of you who may not see the value of a coin encased in plastic, I'll just say on thing, "GSA." Look at the values of some of the GSA hoard silver dollars compared to a simular silver dollars - same date, mint and grade. People seem to be willing to pay an very high premium for plastic.

 

You could leave the ASE out of the slab, save $30 and create a pure play on the labels...

 

As always buy the coin not the holder !

 

Lipstick on a pig.

 

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