Metal Mania

David C. Harper, PresenterDebbie Bradley, Moderator

A Webinar presented by Krause Publications

What’s today’s price?$1,800 gold, $40 silver

Probably the most often-asked question, especially by journalists, with the possible exception of where prices will be in the future

Unless you are planning to buy or sell at that moment, it’s not relevant

Daily prices, daily fluctuations and the headlines they generate create a pressure to act and that pressure is often counterproductive

Gold up 29.3 percent since Jan. 5. Silver up 34.1 percent Statistics used to make you think you can’t possibly go wrong Since June 16, gold up 16.4 percent, silver up 10.5 percent Don’t be stampeded

Why do you want to own gold and silver?

(Answer this honestly)

Collectors love to take fliers. I assume non-collectors do too. Do you want to own gold and silver simply because they are hot?

Do you want to own gold and silver as a prudent investment diversification strategy where you will take a position up to the financial industry’s rule of thumb of 10 percent of your assets? What’s your time horizon?

Do you fear a calamity and gold and silver are your way through it?

Is owning precious metals some sort of political statement or cocktail hour small talk topic to prove you are sophisticated or one of the in-crowd?

What’s the best form to invest in precious metals? Bullion coins Why do I say this? I’m biased: I’m a

collector. Piggyback on well-established coin

business infrastructure

Other forms of precious metal investment Obsolete standard, pre-1965 American

silver coins or pre-1934 gold coins Bars of varying sizes Privately produced 1 ounce rounds Gold and silver futures contracts Stock of mining companies Exchange Traded Funds

If I buy coins: Should they be graded? What about fakes? Take delivery. Fraudsters like lazy

investors What about buy-back promises?

Plan your exit and do a test sale If you have coins, sell some back to the

original seller Are you happy with the outcome? Reality

versus promises Premiums fluctuate in the best of times, but

there could be hidden delays or discounts with buy-back promises

Will this work when you are under pressure? Remember when silver went from nearly $50 to $35 in just a few days in May?

Don’t get sidetracked after you identify your goal If you are holding gold and silver as a

long-term investment, does it matter if there is a sudden plunge in price? It might be a buying opportunity.

If all of the gold truly is in Fort Knox, does it matter at all to your strategy? It might if you are taking a flier based on this information.

Coin Collecting Collecting gives you points of reference

whether they are historical information or personal experience

Gives you a ready resource of active buyers and sellers at coin shows, in shops, online and elsewhere

Resources Numismatic News and its Coin Market

price guide www.numismaticnews.net North American Coins and Prices Standard Catalog of World Coins

Learn more about precious metals

Check out the reference materials at NumisMaster.com

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