Why You Need Premium and Numismatic Pieces in Your Bullion Stack

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Typically the mindset of stacking precious metals is to buy at the lowest cost per ounce, so when it's time to sell you will make a profit. That general goal will always be true, but what about when spot price is lower than your purchase cost and you have to sell to cover an expense? It's never ideal, but it can happen to anyone.

Selling When Spot Price Drops


Spot price may not be higher when the time comes to sell, and many private sellers and dealers won't pay much of a premium on generic bullion. This is where premium and numismatic pieces help. The value of these is more in their collectability and rarity, than solely based on their melt value. An excellent example of this is the large premiums a high grade, low mintage US Morgan Dollar will command, far above its silver value.

Collectibles Retain Their Value


When spot price is high, it makes sense to sell your generic bullion for a profit. When spot price is low, the premium and numismatic pieces will still hold their value and command a high premium, so it's ideal to have some in your stack for this purpose. As a bonus, collecting adds variety to stacking, which keeps things from becoming boring while you work towards your stacking goals.

There are many factors that drive the price of premium and numismatic pieces. The main factors are that it's in high demand, low mintage and is no longer being produced. It's still wise to seek the advice of experts before making a purchase, as not everything that is premium or numismatic will be in high demand later. With some premium pieces in your stack, you'll not only be prepared in case you need to sell when spot price drops, but their value will appreciate over time if you don't need to sell.


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21 comments
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You received an upvote of 90% from Precious the Silver Mermaid!

Thank you for contributing more great content to the #SilverGoldStackers tag.
You have created a Precious Gem!

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I've been buying and selling Hive in my Wallet Section... It can be very tricky at first... I found it's best to keep a Hard Copy of what I'm doing...

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Thanks for your advice, I found that old coins can be priced much higher than the spot price. As of now, I still have more old coins than bullion in my stack. Currently looking to add a premium one to my stack.

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You're welcome! Yeah, the older coins will tend to be more expensive because of the age, history and low mintage left.

Good luck with your stacking!

!PIZZA
!DOOK

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Thank you for your encouragement

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I've sure been delving deep into the Numismatics in the last two or three years.

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Same here. I'm actually switching back to bullion because I've gone heavy into them so much.

!LUV
!PIZZA
!DOOK

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Those are some good points. I've been saying for a while now that I need to add some pieces to my collection that I hold just for the value of the silver, not because of the design or collectibility of them.

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What a beauty! Five ounce Mexican silver round! Awesome!
!DOOK

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