Comments on: Silver Set to Rebound http://www.moneymorning.com.au/20090910/silver-set-to-rebound.html Australian Financial News That Matters in 90 Seconds or Less Fri, 10 Sep 2010 14:01:06 +0100 http://wordpress.org/?v=2.8.5 hourly 1 By: totem http://www.moneymorning.com.au/20090910/silver-set-to-rebound.html/comment-page-1#comment-614 totem Sun, 13 Sep 2009 04:25:50 +0000 http://www.moneymorning.com.au/?p=2225#comment-614 If you buy the acutal metal: The Mints Bullion Refiners Bullion Dealers Coin Shops Ebay You can also buy Perth Mint gold and silver certificates in allocated or unallocated forms. The Mints are the Perth Mint and Royal Australian Mint. Bullion Refiners include ABC (Australian Bullion Company) - in Sydney - just walk in and buy, or call, direct transfer money and they will send to you Dealers include Ainslee and goldsilverbullion.com.au Coin shops will charge the most I'd guess - you pay the premium for a coin and then the margin for the shop. Some "shops" have no shopfront to speak of, eg International Numismatics in Melbourne The GOLD ETF is another option - though you don't own it, suffer capital gains tax, pay a "minding fee" (even though you can't get the gold) and pay brokerage fees - exit and entry. It is important to consider the premium paid... Silver seems to have a higher "spread" (the difference in price per ounce between what a dealer will sell it for and buy it for). I don't know why, though it may be due to the relatively fixed costs of fabrication, whixh are obviously going to be relatively tolerable for gold bought at over 1000 per ounce, than silver at 16-17 per ounce ABC has a nice table of buy and sell prices per ounce on their website.. http://www.ausbullion.com.au/liveprices.php Bullion metal lumps seem to be cheapest - my guess is it will be cheaper from a refiner than a distributor of that refiner. Coins have a fabrication premium, though they are also legal tender (yet the face value is pathetic) Coins are likely to cost more from a shop than direct purchase (in person or online) from the Mints. When there was increased demand in November last year I was told by a number of dealers they couldn't get any. The papers were full of stories about the Perth Mint ceasing any new orders because it had a 3 month delay to fill existing orders. But what they didn't tell you was.. This applied only to most of their range of sizes and lines There was always plenty of one ounce .9999 gold kangaroos available with only a week's delay open to individual investors. I know this because I rang the Mint myself (there may have been a ration, but this only matters if you wanted a serious pile of coins at that moment). Likewise for 20 coin rolls of one ounce .9999 silver kookaburras - in abundance. As for sourcing the refiner or cheapest distributors - this would be useful information for someone to post here You can also buy .9999 grade metal from AGS metals http://www.agsmetals.com.au If you buy the acutal metal:

The Mints
Bullion Refiners
Bullion Dealers
Coin Shops
Ebay

You can also buy Perth Mint gold and silver certificates in allocated or unallocated forms.

The Mints are the Perth Mint and Royal Australian Mint.

Bullion Refiners include ABC (Australian Bullion Company) – in Sydney – just walk in and buy, or call, direct transfer money and they will send to you

Dealers include Ainslee and goldsilverbullion.com.au

Coin shops will charge the most I’d guess – you pay the premium for a coin and then the margin for the shop.

Some “shops” have no shopfront to speak of, eg International Numismatics in Melbourne

The GOLD ETF is another option – though you don’t own it, suffer capital gains tax, pay a “minding fee” (even though you can’t get the gold) and pay brokerage fees – exit and entry.

It is important to consider the premium paid…

Silver seems to have a higher “spread” (the difference in price per ounce between what a dealer will sell it for and buy it for). I don’t know why, though it may be due to the relatively fixed costs of fabrication, whixh are obviously going to be relatively tolerable for gold bought at over 1000 per ounce, than silver at 16-17 per ounce

ABC has a nice table of buy and sell prices per ounce on their website..

http://www.ausbullion.com.au/liveprices.php

Bullion metal lumps seem to be cheapest – my guess is it will be cheaper from a refiner than a distributor of that refiner.

Coins have a fabrication premium, though they are also legal tender (yet the face value is pathetic)

Coins are likely to cost more from a shop than direct purchase (in person or online) from the Mints.

When there was increased demand in November last year I was told by a number of dealers they couldn’t get any. The papers were full of stories about the Perth Mint ceasing any new orders because it had a 3 month delay to fill existing orders.

But what they didn’t tell you was..

This applied only to most of their range of sizes and lines

There was always plenty of one ounce .9999 gold kangaroos available with only a week’s delay open to individual investors. I know this because I rang the Mint myself (there may have been a ration, but this only matters if you wanted a serious pile of coins at that moment).

Likewise for 20 coin rolls of one ounce .9999 silver kookaburras – in abundance.

As for sourcing the refiner or cheapest distributors – this would be useful information for someone to post here

You can also buy .9999 grade metal from AGS metals
http://www.agsmetals.com.au

]]> By: cb http://www.moneymorning.com.au/20090910/silver-set-to-rebound.html/comment-page-1#comment-551 cb Fri, 11 Sep 2009 04:36:53 +0000 http://www.moneymorning.com.au/?p=2225#comment-551 Murray, If you are after physical, you can contact the Perth Mint, or any of the bullion dealers in the country. Alas, traders also have to make a living, so you can expect to be in the hole as soon as you purchase, not unlike when you purchase property, or insurance. Consider it your insurance premium, lol. Either way you turn, someone is there to separate you from your money. If you are happy to have a paper promise that tracks the gold price, the etf that goes by the ticker name GOLD could be worth investigating. You can buy it in your trading account at a minimal cost, and each share is backed, I think, by 1/10th of a troy ounce of fine gold. Or at least that is the promise. Holding the actual physical metal necessarily comes at a premium, which you can justify to yourself as the cost of eliminating third party risk. Good luck. Murray,
If you are after physical, you can contact the Perth Mint, or any of the bullion dealers in the country. Alas, traders also have to make a living, so you can expect to be in the hole as soon as you purchase, not unlike when you purchase property, or insurance. Consider it your insurance premium, lol. Either way you turn, someone is there to separate you from your money. If you are happy to have a paper promise that tracks the gold price, the etf that goes by the ticker name GOLD could be worth investigating. You can buy it in your trading account at a minimal cost, and each share is backed, I think, by 1/10th of a troy ounce of fine gold. Or at least that is the promise. Holding the actual physical metal necessarily comes at a premium, which you can justify to yourself as the cost of eliminating third party risk. Good luck.

]]> By: Murray http://www.moneymorning.com.au/20090910/silver-set-to-rebound.html/comment-page-1#comment-549 Murray Thu, 10 Sep 2009 10:12:34 +0000 http://www.moneymorning.com.au/?p=2225#comment-549 Out of interest, how would you go about buying silver or gold in Aus? Do you actually have to buy the physical product from a coin shop or somewhere (I'd imagine there would be quite a commission added to the spot price), or can you trade it like stocks? Out of interest, how would you go about buying silver or gold in Aus? Do you actually have to buy the physical product from a coin shop or somewhere (I’d imagine there would be quite a commission added to the spot price), or can you trade it like stocks?

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