PM investment for two year old child. Advice needed, please.

[dts]

Hello all,

 

A friend of mine has asked me today what PM's she should buy with £1000 that she has spare to invest for her two year old child, who wouldn't be able to get their hands on them until they are 18 (maybe 21).

 

Currently thinking 3 x sovereigns from HGM and the rest in silver, maybe 2015 brittanias from STG.

 

Would appreciate your thoughts on what you think she should get and why ?

 

Thank you.

[Danny-boy]

Personally, I'd go for all sovereigns.

Just my opinion.

[Kman]

Personally, I'd go for all sovereigns.

Just my opinion.

 

Yep I would of said just go for 5 sovereigns

 

Easy to store, easy to sell. 

[dts]

Thanks danny and kman for such quick replies.

 

That was my initial thought as well. I was thinking about the greater potential upside of silver though. Would it be better to take that into account as well ?

[Keithoil]

I would agree sovereigns all day long, you never know when the little one gets older they may even want to keep them!!

[Cornishfarmer]

I wouldn't suggest sovs, because they will be worth spot. I'd say go for something with potential big rise like lunar or panda, even try to get something from the year they were born. They will still be worth spot but if you get the right coin maybe a lot more

Have never understood the love for sovs (except the 2005 one). Because you are storing money in gold rather than the bank hoping the spot price will rise

[Agpanda]

I would go with some gold and silver Pandas from the year the child is born.

They are highly collectible, + its nice to have something as old as your self.

[Cornishfarmer]

I would go with some gold and silver Pandas from the year the child is born.

They are highly collectible, + its nice to have something as old as your self.

Esp if they were born in 2013 because I think that's the best design

[motorbikez]

I'd suggest silver lunar Bu or proof far more potential than gold sovereign which will only be worth spot. Other alternative £1000 is a reasonable amount to put in a JISA, you could invest the whole amount in a gold/silver mining share which would have the potential to do very well over a 15+ year period.

[dts]

Thanks guys for such quick replies.

 

@Cornishfarmer

I hadn't thought of it like that before. Something to mull over. Thanks.

[dts]

MB, Thanks for the ideas, she's already thought of that though. She's already got a JISA, but doesn't really want to buy shares.  She's a very clued up lady and will no doubt be asking other trusted friends for their opinion on this as well.

 

Roughly how much would 2013 1/10 gold pandas and snakes cost currently ?

[dts]

Just checked on ebay.

 

Last 1/10 gold snake sold in Nov. for about £93 delivered. Is this about the right price ?

 

Couldn't see any 2013 gold 1/10 pandas sold  though.

[Cornishfarmer]

Coin invest direct did have some 1/4 gold 2014 pandas for a very good price. Not sure if still available, I'd also suggest waiting 2 months because your mind will change 10 times and better to change before you buy than regret once you have

[dts]

Haha, I know that feeling. Been there so many times already and I've only just really started in this game.

 

I do really like the idea of her having some coins from her birth year though. I think her mum will like it too as it's such a great idea.

 

She was born in 2012 though, not 2013. Don't know how I got that wrong. Must be an age thing.

 

I'll have a look at coininvest. Thanks for the tip.

[Kman]

 I'd say go for something with potential big rise 

 

It would worry me making it all too complicated

 

No point having some nice numismatic coins if in 18 years they're going to take them to a dealer and get spot anyway. 

 

Would have to make sure they know exactly what they have and that they're going to properly research it when the time comes to sell. 

[HighlandTiger]

I wouldn't suggest sovs, because they will be worth spot. I'd say go for something with potential big rise like lunar or panda, even try to get something from the year they were born. They will still be worth spot but if you get the right coin maybe a lot more

Have never understood the love for sovs (except the 2005 one). Because you are storing money in gold rather than the bank hoping the spot price will rise

 

Just a thought. When this Child is 18 we will be on Series 4 lunars from Perth Mint. Will people be sick of lunars by then, and will the current series number 2 have any decent premium as there will be soooooooo many lunar coins out there.

 

Personally I have to agree with many others. Buy Sovs, there is no downside to these coins

[Cornishfarmer]

Just a thought. When this Child is 18 we will be on Series 4 lunars from Perth Mint. Will people be sick of lunars by then, and will the current series number 2 have any decent premium as there will be soooooooo many lunar coins out there.

Personally I have to agree with many others. Buy Sovs, there is no downside to these coins

This is my point it has the potential for a big rise and sovs don't so much, maybe the 2 different heads in 2015 may be an exception. I was born in the 80's and except for 1989 if rather have a mint panda than sov. That's my way off looking at it anyway

[silversword]

I'm going to be contrary and suggest that if the child is British, why not get a nice 1oz gold Britannia, and a corresponding 1oz silver one to go with it. Far more visually impressive than sovereigns in my view, and a nice keepsake as well as an investment.

If 2012 or 2013 is the birth year both are readily available at reasonable prices and they'd make a nice set if you spend the change on a presentation box to keep them in.

[dts]

Thank you all for your answers. I appreciate the time you took.

 

@Silversword. What a nice idea. I hadn't even considered that. I'll definitely add that one to the list.

 

Just goes to show what a great place this forum is. You all go so far out of your way to help each other out, often with several very diverse opinions/ideas.

 

I'm really glad I found this place. Thanks again to all.

 

I'll be sure to let you all know what she decides to do, when she does.

[Paul]

A 1oz of gold for annually of his/her growing up years would make a sizeable stack for them coming of age.  (18-20 years = 18-20oz)

 

A coin that changes years years like Panda/Kanagroo/Perth Lunar series is good?

Or 

Just get a different 1oz or nearest equivalent of 1oz'ers from around the world? Eagle/Maple/britannia/50 pesco/buffalo/panda/kanagroo/£5 sov

 

If it is more so on an "as and when" basis they'll be bought when a few spare quid comes along, i would stick with sovereigns, here and there as when and just add them to the stack. 3 or 4 a year will stick build over a long period

Liquid, low spread, easy sell, world recoginsed, 

 

 

Also more importantly learn the child as they grow the value of what precious metals actually represent.  Instill this into them early age, they will live a debt free and frugal life, how if you can convince them on our corrupt money system, the invisible ties & shackles that bind society to the hamster wheel of life control, debt & usury interest. Dont let them learn of these invisible shackles, and the coins should stay with them through their lifetime for their own children  

"A slave doesn't rebel when he thinks he's free" 

[dts]

Thanks Paul. Another great idea. And you make some good points.

 

I was under the impression that this is a one-off purchase but I'll suggest it as I could be wrong about that. Even if it is intended to be a one off, she might like the idea. I know I do.

[mr-dead]

I defo would not buy sovereigns.  In 18 years time you'll just get spot or a little over.

 

I would go for something semi numi like Pandas which usually apreciate above and beyond spot values.

 

2015 is the first year with no weight stamped on the coin so could become a key year date in the future.

 

For a little extra cash you could get the 1oz & 1/4oz 2015 Pandas.

[Lindeman]

Plenty good advice here dts. You've probably read enough by now, but for what it's worth, I would plump for a birth year gold sovereign (2012 happens to be a unique design!) and a 1 oz gold 2015 Britannia. Both on Atkinsons together for a shade over £1000 together. Simple and easy to give/store.

[bones]

i like the idea of a 1 0z gold and silver Britannia the year the young un  was born  . then if she decides to add to it , throw in the odd oz of the more collector silver coins . and a sovereign or 1/10 or 1/4 collector coin now and then . should add up to a nice nest egg

 

i would make it 21 though not 18 . i have 3 kids that all got £3500 inheritance when they turned 18 and they all wasted it 

 

2 of them allso got £3500 when they turned 21 ( the youngest is still only 18) and they spent it much more wisely . driving license , cars , savings 

 

dont get me wrong the spent as well just more sensible 

[Pipers]

Selling Gold at premiums is not as easy as it is with silver, just ask Arshimo.  For me if buying Gold buy coins at the cheapest you can.  Britannia one year sovereign next philharmonic next then eagle etc.

 

With Silver ask your friend how are you going to sell, if they are just going to sell to a dealer then just buy maples and philharmonics, if they want to sell to collectors buy perth mint and pandas too.

 

I would invest 20 silver coins to one Gold coin

 

As you are aware everyone has a different opinion.