Are 40% Kennedy halves as liquid as 90% junk silver?

[FreedomStacker91]

I'm rather new to stacking and am wondering if it'd be a decent idea to convert to 40% halves instead of my normal SAEs for the time being. These inflated premiums are quickly increasing my cost average and I don't see it as being sustainable in the long run. I really don't mind the space they take up right now and my LCS is willing to give them to me pennies over melt since he's having trouble getting them out the door. It doesn't seem like a bad idea to me but with how disliked they are within the stacking community for the sheer volume needed for the silver cotent, I'm worried about their liquidity when the time comes to convert my stack back into fiat. Could someone with more experience than me put their 2 cents in? I'd hate to clear him out and be stuck with a sack of 60% copper. I would consider 90% but even that is going for 18x right now locally so it's not a great deal ether.

[MetalMandible]

In my experience, you are better off holding out for a better deal on 90%.  Much like 35% silver "war nickels", the low premium is almost certainly not going to be offset with how undesirable these coins are for most stackers.  I would suggest saving your fiat, as premiums gradually return to more tolerable levels.  

[Arganto]

If they're not popular selling privately can you get a reasonable deal selling them to a someone who will refine them? If you can get close to spot when you sell them on it may be worthwhile, but obviously not if you're only likely to be paid a fraction of spot. Maybe worth asking around and checking some websites. Kitco will buy it from you for instance but I've no idea what their rate will be.

[MikeG1978]

I suppose you can look it as a long term investment  and if the price goes high enough people will have these as silver is silver 

I collect 40%, 50% and 90%

As well as .999

There are always bargains on here plus some old coins may hold a numismatic value too

[Robb]

19 hours ago, FreedomStacker91 said:

 my LCS is willing to give them to me pennies over melt since he's having trouble getting them out the door.

I'm worried about their liquidity when the time comes to convert my stack back into fiat. 

Read those two sentences you wrote.  I think you will find your answer as to whether or not buying them would be good move hidden somewhere in there 😉

 

 

[FreedomStacker91]

This would be purely long term. I guess I was primarily asking if shops still redily take in 40% as willingly as they take 90%. Silver is silver, right? I just don't want to run the risk of being expected to liquidate at a large percentage under spotdue to the fact they are 40%. I would expect spot or just under, would I be in te ballpark? If not, then I will continue with my 90%, bars, and SAEs.

[MrUpwardlyMobile]

I’ve seen shops buying 40% silver near me but they weren’t paying the 90% of spot that they pay for 90% silver.  They were paying 75-80%.  Ive also noticed the premiums on 40% silver are lower because the demand is lower due to it being less efficient for storage.

[FreedomStacker91]

Thank you everyone who replied, I'll be leaving the 40% alone for the time being an focus on SAE's and 90% stuff. I figured it would be a long shot to be worth the money but with the price per ounce I couldn't help but ask. I guess it's time to hit the LCS and see what he has on hand today, may pick up my 1st piece of gold since silver is so nuts right now. 

[MrUpwardlyMobile]

36 minutes ago, FreedomStacker91 said:

Thank you everyone who replied, I'll be leaving the 40% alone for the time being an focus on SAE's and 90% stuff. I figured it would be a long shot to be worth the money but with the price per ounce I couldn't help but ask. I guess it's time to hit the LCS and see what he has on hand today, may pick up my 1st piece of gold since silver is so nuts right now. 

40% silver could make sense if you were getting: a) a below spot deal; b) a bulk quantity; and c) space isn’t really an issue for you.

[jeffolie]

space and storage make me want the 90% over the 40%

[Varus]

Agio-Disagio is maximal for40%.