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Humboldt

Any Silver Stackers Here ?

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Humboldt

I have been looking into adding some PMs to my portfolio, I currently have Junk/ Consititutional silver only

Most of my research has been on gold, I have not found much about silver. The research I have done has mostly been on the internet 
But at 80 to 1 Ratio Silver looks like a bargain , 
Some points on gold vs silver:
-Storing gold coins is easier than silver because it is worth so much more (less coins for more value) and gold does not tarnish like silver.
-However if SHTF silver may be more attractive as currency because its value in a one ounce coin is much less and will be easier to exchange. 
-Silver is attractive for someone like me who is starting out because there is less of an upfront cost. I dont have that much extra cash and I don't want to sell stocks for this.

I am still on the fence as to whether I should continue saving for gold coins or just start out with silver right now . Also need to convince Wife its a worthwhile investment 

i have pointed out to her that the 50.cent half dollar franklin coin would buy a gallon of gas in 1974 and today that same coin will buy 2 gallons at silver value 

 

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Headshot
8 hours ago, Humboldt said:

if SHTF silver may be more attractive as currency because its value in a one ounce coin is much less and will be easier to exchange.

If the shit hits the fan, then food storage and guns to protect it will be more valuable than any precious metal.

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Humboldt
7 hours ago, Headshot said:

If the shit hits the fan, then food storage and guns to protect it will be more valuable than any precious metal.

 Lots of different types of SHTF Scenarios , When the banking ponzi scheme fails 2008x?  Hyperinflation like whats happening in Venezuela , another great depression , Etc 

I'm stocked up in the food , guns and bullet dept , but that's not what i'm willing to trade in a SHTF situation

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savarity

If you must buy a precious metal, stick to gold, it's the first go to in case of economic uncertainty or inflation. Personally, I think gold is overvalued though.

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Humboldt
32 minutes ago, savarity said:

If you must buy a precious metal, stick to gold, it's the first go to in case of economic uncertainty or inflation. Personally, I think gold is overvalued though.

Personally i think the stock mkt is overvalued , could be silver is undervalued at 80-1,,It was always 30 to 1 for years , Silver has a lot more industrial use then Gold . Back in the old days a Exchange of 20 silver dollars would get you a 20 dollar gold piece , In 1933 President Rooseveit {FDR] demanded the Citizens to turn over all Gold currencies to be replaced with Fiat currencies , Gold price's doubled the week after ....

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Chris24
Posted (edited)

I've been an avid fan of silver for many years, actually bought my first car in 1981 using profits from sorting rolls of half dollars and pulling out the 90% silver and 40% silver clad coins.

That said I have to point out that 1) the last Franklin half dollar was minted in 1963, and at that time gas was 30 cents per gallon.  So it would have bought around 1.7 gallons.  Today that Franklin half is worth around  $5.67 and where I live would buy around 2.1 gallons. So yes it has held its value and even appreciated a bit over that time.

By contrast, using the site http://www.moneychimp.com/features/market_cagr.htm shows that since 1963 the S&P has yielded an annualized return of 10.07% over that same 55-year time period.  You don't have to run that through a compound interest calculator to see that you'd end up with many, many times more money investing in a broad stock portfolio.

Silver does not produce value, it only holds value.  It's a fun hedge and also a way to speculate on price swings (and yes that extreme SHTF scenario, where arguably food or bullets would be a better hedge), but is not a long term investment. 

I think it's Warren Buffet who is credited with observing that if you stacked all the gold ever mined in the history of the world, it would be enough to buy approx. 30 Exxons (based on the market cap of Exxon at the time).  Which would you rather own - - a mountain of gold that doesn't produce anything, or 30 Exxons with profits rolling in every minute and dividends being paid every quarter? 

 

Edit - just read Humboldts' reply.  I wonder if 500-round bricks of.22 bullets might be a better currency - - - or even a speculation on price swings as we've seen even within the past few years. 

 

 

Edited by Chris24
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papimafioso69

I had bought silver about 12 yrs. ago . I was on a fishing charter on Lake Erie when CNBC announce  that George Soros was dumping his silver holdings . That was on a Thursday in May  2011 and silver was about 48.00 a ounce . By the time I went  to the bank on Monday it was down to 32.00 and the broker gave me 28.00 take it or leave it . I'm 62 and I remember the Hunt brothers cornered the silver market and people where standing in lines selling there old silverware in 77 .  I made a profit buying sliver because I had bought from 18.00 to 28.00 but selling it can be difficult when it starts to crash .  The price today is 15.73 up about a 1.25 from a few months ago . If you have a good broker I would buy a little . But since 1977 there's been to run ups maybe there's another . The good thing , it won't spoil . 

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savarity
Personally i think the stock mkt is overvalued , could be silver is undervalued at 80-1,,It was always 30 to 1 for years , Silver has a lot more industrial use then Gold . Back in the old days a Exchange of 20 silver dollars would get you a 20 dollar gold piece , In 1933 President Rooseveit {FDR] demanded the Citizens to turn over all Gold currencies to be replaced with Fiat currencies , Gold price's doubled the week after ....
Well, aluminum has even more industrial uses, maybe buy some of Alcoa?

Point is focus, are you buying a precious metal for wealth preservation, or as a play on industrial usage? If your concern is run-away inflation or economic collapse, then gold is the immediate go to, silver just tags along.

If your goal is to speculate and make money, instead of preserving wealth already gained, then precious metals might not be the best choice.

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Humboldt
3 minutes ago, savarity said:

Well, aluminum has even more industrial uses, maybe buy some of Alcoa?

Point is focus, are you buying a precious metal for wealth preservation, or as a play on industrial usage? If your concern is run-away inflation or economic collapse, then gold is the immediate go to, silver just tags along.

If your goal is to speculate and make money, instead of preserving wealth already gained, then precious metals might not be the best choice.

Stock mkt been making me a bit Nervous lately , just not sure , don't want to go thru another 2008 or worse As they say if you don't hold it you don't own it .....

When Steve Mnuchin called the top investment banks and ask if they are still liquid , Plunge Protection team .thinking it would be best to watch from a safe distance for a while ..So i'm into Silver for Wealth preservation ...

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papimafioso69
On ‎1‎/‎8‎/‎2019 at 10:03 PM, Humboldt said:

Stock mkt been making me a bit Nervous lately , just not sure , don't want to go thru another 2008 or worse As they say if you don't hold it you don't own it .....

When Steve Mnuchin called the top investment banks and ask if they are still liquid , Plunge Protection team .thinking it would be best to watch from a safe distance for a while ..So i'm into Silver for Wealth preservation ...

I have all my money in my annuity in a safe bond fund the last 18 months and I know I missed last yrs. run up but all my friends that were in the aggressive funds in my union have lost all there gains and are back to a 2 yrs low .  I agree with the bears that soon than later a major drop should be coming . I'll take my 2 % until I retire in June and then find a no load bond fund with another company . Are fund is a scam with a 10.00 a month service fees and front and back end % charges . Someone in my union is getting a kick back for sure . 

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jtmwatchbiz
9 hours ago, papimafioso69 said:

Someone in my union is getting a kick back for sure . 

nah...you think?  :biggrin_01:

corleonefamily.jpg

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Headshot
1 minute ago, jtmwatchbiz said:

nah...you think?  :biggrin_01:

corleonefamily.jpg

I don't think he belongs to the Actors Guild.

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  • Haha 1

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papimafioso69

That's funny . 

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Humboldt

Lets see what happens in France today , when the yellow vest protesters make a bank run ..You should not have your money in the bank anyway. It is all about confidence and trust. Once this start moving it quickly can become an avalanche... and not only in France .If you don't hold it you don't own it .. 

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jtmwatchbiz
19 hours ago, Headshot said:

I don't think he belongs to the Actors Guild.

it must have taken a very long time to become such a party-pooper. 

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