Reddit's silver "apes" now targeting silver, opportunity or fool's gold?

[james.hendrickson]

QMM - Where is the best price for gold grains?

[QuarterMillionMan]

James I had to dig through my old files of gold receipts and I found it from 2011 from CMC mint which I think no longer exists. I wrote $6 each so I overpaid way back 12 years ago but maybe today my calculations of $5 each is not factoring in the mark up for the premiums today which could be $7 each who knows. I'm not sure today where 1 grain gold pieces are sold.

[disneysteve]

Here is a 5x camera zoom close up (hard to see the markings) of the 1 grain gold (not 1 gram). For comparison a 1 gram gold bullion on APMEX is $100. So a 1 grain gold bullion is about $5 each

What purpose do the 1 grain pieces serve? Why would anyone choose to buy them? I guess if you only want to invest $5, but that wouldn't really make any sense and can you even walk into a shop and just buy one or two? But if you want to buy 20 for $100, why not just buy a bigger item?

[QuarterMillionMan]

This guy can explain it better than I can, I watch too many of these videos which scares me. Towards the end of the video I like his spectrometer which tests the purity of his gold which shows 99.99 pure AU gold.

Introducing Barter Bars, gold bars in-stock, which gold bars are the best gold bars to buy, trade - YouTube

[disneysteve]

This guy can explain it better than I can, I watch too many of these videos which scares me.

I figured it was a doomsday prep thing.

You need to find something better to do with your time.

[QuarterMillionMan]

Ha-ha.

[Bozzdivine]

I figured it was a doomsday prep thing.

You need to find something better to do with your time.

I've actually heard a lot of preppers talk about gold as the future currency and stuff like that. But what makes them think that, when the end comes, gold will be of any value? Like, you cannot eat it or shoot it. Methink that only the simplest natural barter will be something that really works

[james.hendrickson]

There is a classic book on this subject by a former Wall Street Guy and Marine Corp Veteran names Barton Biggs. Bigg's argument is that most people in the financial industry don't really have a good sense of how to manage the risk of extraordinary events such as wars or revolutions because, by and large, they lack military experience and have lived in a time of peace and prosperity. So, to address the issue he looked at the performance of several asset classes during the second world war.

His conclusion was that precious metals, in small amounts, we are good hedge in a doomsday situation. He also argued that larger amounts of precious metals were likely be be stolen by occupying powers (e.g. anyone with large amounts of gold or silver had it stolen by either the Nazis or the Communists).

The book is called Wealth, War and Wisdom. Its a solid read if you're worried about a doomsday type scenario.

In my view, the probability of these kinds of scenarios is low, but their potential financial consequences are high, which means their risk is non-negligible.

[QuarterMillionMan]

Did anyone ever wonder how uncirculated collectible coins such as this American silver eagle perfect MS70 or any other collectible coins are obtained? Keep in mind you can buy a brand new 2023 SAE (silver American eagle) for about $40. Spot price of silver is $23 today. I was watching a paid programming info-commercial and they said the US Mint sells these perfect MS70s to authorized purchasers (AP) where only a dozen of these APs' exists. That's how these coins are uncirculated and in perfect MS70 condition and first sold to these APs, then the rest of us can get some but at probably heavily marked up prices. Some food for thought if anyone was wondering.

[QuarterMillionMan]

About 2015 my stacks of precious metals became too plentiful to store at home so rented a small safe deposit box $35 per year at the time, now $70 a year. I still store some at home but my stacks are getting plentiful again and will need to rent another box. My bank doesn't have the medium safe deposit box nor doesn't have the large size safe deposit boxes available at this time. They only have the small boxes available. This is the smallest box available.

[james.hendrickson]

About 2015 my stacks of precious metals became too plentiful to store at home so rented a small safe deposit box $35 per year at the time, now $70 a year. I still store some at home but my stacks are getting plentiful again and will need to rent another box. My bank doesn't have the medium safe deposit box nor doesn't have the large size safe deposit boxes available at this time. They only have the small boxes available. This is the smallest box available.

I find this posting inspiring and uplifting, thank you QMM.

[james.hendrickson]

And...you could always rent two small boxes, yes?

[disneysteve]

QMM, have you considered a home safe? Would that be a more cost effective option long term? Do you have any concern about limited access to the safe deposit box in the event of a major world event? When the apocalypse happens, will you be able to get into the bank to retrieve your stash?

I hadn’t thought about it until now but what happened when everything shut down for COVID? Were customers able to access their boxes? The branch closest to me closed and never reopened. I’m sure customers were allowed access at some point but there may have been a period when they couldn’t get in at all.

[QuarterMillionMan]

Yes, I'll be renting 2 small boxes. As for a home safe, no can do since I rent and not own my place. Not worried about zombie apocalypses or run on the banks. I still keep stashes in my apartment of small pieces of precious metals and cash on hand. In fact, I keep too much cash about $6000. I go to the casinos often and take $2000 or $3000 at a time and could be depleted in 2 trips.

[QuarterMillionMan]

~$5000, along with some Mexican pesos.