The most dangerous mistake stackers make

Discussion in 'Bullion Investing' started by myownprivy, Nov 17, 2017.

  1. myownprivy

    myownprivy Active Member

    "Who cares if I pay a high premium now. Silver will go up so much in the future that I will still make money."

    This flawed logic is an example of you, the buyer, convincing yourself that you're not actually getting ripped off. You are convincing yourself why it is ok to overpay.

    Point number 1: You are assuming silver will go up in price. You do not know this. So, you should be careful about how much you pay. This applies to whether you are investing in silver to make money or storing your wealth in silver to hedge against inflation.

    Point 2: The higher the premium that you pay now, the higher the likelihood that you will either lose money when you sell, not make your money back when you sell, or make less money when you sell than if you had paid a lower premium in beginning.


    Please, people, do not convince yourself to overpay for precious metals. Pay as close to spot as possible.
     
    Two Dogs likes this.
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  3. green18

    green18 Sweet on Commemorative Coins Supporter

    OK...................
     
  4. James S

    James S Low Mintage

  5. Bman33

    Bman33 Well-Known Member

    Sounds like you are a bar/round guy. Junk 90% is a good one too if you are looking closest to spot. I went through an ASE Phase but now I'm over it.
     
    green18 likes this.
  6. -jeffB

    -jeffB Greshams LEO Supporter

    It can be simpler than that.

    Why pay an unnecessary (say) 30% extra premium, when you could instead get 30% more silver? Then, if silver goes up 30%, instead of getting back what you paid, you get back 30% more than you paid!
     
  7. myownprivy

    myownprivy Active Member


    I'm a full oz gold guy. Gold Maples at just a 3% premium.
    However, for silver, yes, circulated junk at spot or up to 5% over.

    I am no longer a silver maple or silver eagle guy due to the 13+% premiums. And I am definitely not a "seminumismatic" stacker.

    I made the mistake years ago of overpaying on silver Maples plus a few privy Maples.
     
  8. sakata

    sakata Devil's Advocate

    What a load of old codswallop. All it shows it that you don't understand why people who have studied the situation actually buy silver.
     
    Adam34falcon likes this.
  9. asheland

    asheland The Silver Lion

    I agree staying close to spot is good advice.
     
    juris klavins likes this.
  10. desertgem

    desertgem MODERATOR Senior Errer Collecktor Moderator

    Convert Kenny Roger;s 1978 "The Gambler" to silver bullion and it tells you all you need to know. IMO

    You've got to know when to hold'em, know when to fold'em
    Know when to walk away, know when to run.
    You never count your money when you're sittin' at the table,
    There'll be time enough for countin' when the dealin's done.
     
    green18 likes this.
  11. Santinidollar

    Santinidollar Supporter! Supporter

    Codswallop. I like that. Maybe the second time I’ve seen that used in my life.:cool:
     
    green18 likes this.
  12. losthomer

    losthomer Active Member

    Paying a low premium seems obvious as long as the spot price is reasonable to the buyer.

    I would happily pay a 50% premium if spot is $5. If spot is to high I ain't buying, even with no premium.
     
    Last edited: Nov 18, 2017
  13. longnine009

    longnine009 Most Exalted Excellency

    Someone paid 45 million for this beauty the other night. I think anything over 29 cents was overpaying but hey, it's their money so why should I care?

    [​IMG]
     
    Last edited: Nov 18, 2017
    Adam34falcon likes this.
  14. losthomer

    losthomer Active Member

    That painting revolutionized the ketchup industry.
     
    Last edited: Nov 18, 2017
    asheland, -jeffB and Two Dogs like this.
  15. ldhair

    ldhair Clean Supporter

    Anyone have a chart of spot price over the past 50 years?
     
  16. longnine009

    longnine009 Most Exalted Excellency

    Yeah, someone called it that which a two-year-old could accomplish with a bottle of ketchup if left in a room by himself.
     
    Last edited: Nov 18, 2017
  17. SilverWilliesCoinsdotcom

    SilverWilliesCoinsdotcom Well-Known Member

    You make three.
    Is this how something goes viral? Or trends?
     
  18. juris klavins

    juris klavins Well-Known Member

    Yes it is - buying those 'desirable' Engelhard and Johnson-Matthey bars means paying the built-in premium of 20+%, same for art bars - at the end of the day, their real life value is the same as low premium commercial bars and rounds
     
    asheland likes this.
  19. ToppCatt

    ToppCatt ToppCatt

    Try Google. Pasting it didn't work here.
     
  20. green18

    green18 Sweet on Commemorative Coins Supporter

    First time for me......:)
     
  21. SilverWilliesCoinsdotcom

    SilverWilliesCoinsdotcom Well-Known Member

    silver
    source macrotrends . net
    upload_2017-11-19_4-38-41.png
     
    ldhair likes this.
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