Best option coin or bar

[Bogart]

Having nothing better to do decided to do some comparisons of prices between bars and coins.

Cheapest 1oz bar is as I write  £1601

Cheapest 1oz coin Kruggerand  is £1584 pre owned.

Both including postage before we resurrect that topic.

Now if one was buying purely for a bullion stash is not the Kruggerand the obvious choice?

Edited February 6, 2023 by Bogart

[James32]

Honestly if choosing between krugerrand and bar, then it's purely your own taste. Both sell sh#tty on resale. Both very close to spot if not spot.

 

[LawrenceChard]

26 minutes ago, Bogart said:

Having nothing better to do decided to do some comparisons of prices between bars and coins.

Cheapest 1oz bar is as I write  £1601

Cheapest 1oz coin Kruggerand  is £1584 pre owned.

Both including postage before we resurrect that topic.

Now if one was buying purely for a bullion stash is not the Kruggerand the obvious choice?

Avoid the Kruggerand, but buy the Krugerrand.

Coins are almost always better than bars, IMO!

😎

[James32]

7 minutes ago, LawrenceChard said:

Avoid the Kruggerand, but buy the Krugerrand.

Coins are almost always better than bars, IMO!

😎

Ordinarily yes..but specifically talking about a generic bar and a preowned krugerrand..there's zero difference on the secondary market. Sad but true. Both are viewed as bargain buys in the UK st least. 

[MrStacker]

If investing over 12k and you want to store it long term then bars can eat up your train of thought more over coins.

Personally I prefer coins and limit the amount of non-royal mint produced bullion I stack. I've never been a fan of the Krugerrands but many youtubers will persuade you to invest in them! I'd rather buy a dated 1oz Britannia or "pre-owned" one instead of the Krugs.

 

[ArgentSmith]

Anyone producing 9,18 22ct would want to start with fine gold so logically you would think a refined bar would be more desirable in the same way 9999 silver is better than Sterling... but krugs like sovs have appeal perhaps because they are easily recognisable? 

Edited February 6, 2023 by ArgentSmith

[SiCole]

Given the current time of the year etc I would post on here looking for a Britannia with low premium. Maybe an unpopular opinion but I reckon you would get one around 1580 at 1550 spot.

[Bogart]

Prices on here yes but I was specifically just comparing dealer prices as I had always assumed, incorrectly it seems, that a bar of a reasonable size would always be cheaper than a coin even a pre owned one.

There was a bit of an underlying reason in querying this as I have just sold some 100g bars and wondered if better to buy some smaller bars as opposed to coins. Not everybody can jump on a 100g bar, even

though mine were/are a bargain.😁

Edited February 6, 2023 by Bogart

[LawrenceChard]

10 hours ago, MrStacker said:

If investing over 12k and you want to store it long term then bars can eat up your train of thought more over coins.

Personally I prefer coins and limit the amount of non-royal mint produced bullion I stack. I've never been a fan of the Krugerrands but many youtubers will persuade you to invest in them! I'd rather buy a dated 1oz Britannia or "pre-owned" one instead of the Krugs.

 

I also would prefer a Britannia, but it was not a choice.

The choice was Krugerrand or one ounce gold bar. Not only that, but the asking price on the bar was £17 more.

 

[Silverlocks]

2 hours ago, Bogart said:

Prices on here yes but I was specifically just comparing dealer prices as I had always assumed, incorrectly it seems, that a bar of a reasonable size would always be cheaper than a coin even a pre owned one.

There was a bit of an underlying reason in querying this as I have just sold some 100g bars and wondered if better to buy some smaller bars as opposed to coins. Not everybody can jump on a 100g bar, even

though mine were/are a bargain.😁

I've seen folks sell 50g bars here on several occasions, but only ever seen one unsuccessful listing of a 100g bar, although that was from a vendor that seems to persistently flog slightly overpriced gold bars on FB groups as well.

Some folks could afford the 5 grand for a 100g bar in one hit, but it's likely in a minority.  However, if your premiums were low on purchase you're not going to take a massive hit if you have to flog them back to a dealer.  Unless you're forced into a quick sale you're probably going to be able to flog them eventually; if you have some smaller, more liquid stuff as well they're likely fine.

Edited February 6, 2023 by Silverlocks

[SilverDrum]

10 hours ago, SiCole said:

Given the current time of the year etc I would post on here looking for a Britannia with low premium. Maybe an unpopular opinion but I reckon you would get one around 1580 at 1550 spot.

This would be my opinion also. Exit strategy is important, a CGT free coin doesn't risk losing profits that are taxed on exit. In a hurry would you be happy to lose profit to the taxman if you needed to sell it all in one go? 

Edited February 6, 2023 by SilverDrum

[Fenlander1]

Excellent topic. I too recently sold a cpl of 100g bars and have started converting that cash in to coin purely for future liquidity. 

Based the prices of both items discussed I feel it is a personal preference as there is no real difference in resale or cgt allowance.

I will however be getting some more bars but nothing above the 1oz as and they will be covered by SD insurance should I wish to sell in the future.

 

[Bogart]

There is that about the postage. I was asked about posting a 100g bar. Fine by me but the vendor bears the responsibility if it goes walkabout. So he declined😁

[LawrenceChard]

14 hours ago, James32 said:

Ordinarily yes..but specifically talking about a generic bar and a preowned krugerrand..there's zero difference on the secondary market. Sad but true. Both are viewed as bargain buys in the UK st least. 

We often have a slight differential on our buying prices for one ounce gold coins and one ounce gold bars.

On a day when we are paying 100%  or even 101% of spot for Krugerrands, we might only be offering 99% or 100% for bars.

Depending on stocks and demand, the differentials could be slightly greater, or less, perhaps between 2% and 0%.

You probably noticed, recently we were offering 100 gram bars for sale at 1% premium.

😎

 

[James32]

1 minute ago, LawrenceChard said:

We often have a slight differential on our buying prices for one ounce gold coins and one ounce gold bars.

On a day when we are paying 100%  or even 101% of spot for Krugerrands, we might only be offering 99% or 100% for bars.

Depending on stocks and demand, the differentials could be slightly greater, or less, perhaps between 2% and 0%.

You probably noticed, recently we were offering 100 gram bars for sale at 1% premium.

😎

 

Completely agree in regards to selling to a dealer. Unfortunately on here at least,both articles are viewed as having some kind of leprosy 😆 neither do much more than spot unless the krugerrand is brand new,or the bar is a Royal mint premium piece. 

[LawrenceChard]

24 minutes ago, James32 said:

Completely agree in regards to selling to a dealer. Unfortunately on here at least,both articles are viewed as having some kind of leprosy 😆 neither do much more than spot unless the krugerrand is brand new,or the bar is a Royal mint premium piece. 

I would always pay less for a krugerrand than a Krugerrand!

😎

[Bogart]

Yes they are much better.

[James32]

Just now, LawrenceChard said:

I would always pay less for a krugerrand than a Krugerrand!

😎

You have too much time on your hands...😆 

Ps, I got the 2 x Rs at least.

[ArgentSmith]

30 minutes ago, LawrenceChard said:

We often have a slight differential on our buying prices for one ounce gold coins and one ounce gold bars.

On a day when we are paying 100%  or even 101% of spot for Krugerrands, we might only be offering 99% or 100% for bars.

Depending on stocks and demand, the differentials could be slightly greater, or less, perhaps between 2% and 0%.

You probably noticed, recently we were offering 100 gram bars for sale at 1% premium.

😎

 

Not arguing with you Mr Chard Sir but can you explain to a simpleton like me the reason a 22ct "Krugerrand" carries a higher premium than 999+ bar?

[James32]

Just now, ArgentSmith said:

Not arguing with you Mr Chard Sir but can you explain to a simpleton like me the reason a 22ct "Krugerrand" carries a higher premium than 999+ bar?

Because of the salt water in Blackpool, apparently. 

[LawrenceChard]

15 minutes ago, ArgentSmith said:

Not arguing with you Mr Chard Sir but can you explain to a simpleton like me the reason a 22ct "Krugerrand" carries a higher premium than 999+ bar?

I know what you mean, but:

 

😎

[Bogart]

44 minutes ago, ArgentSmith said:

Not arguing with you Mr Chard Sir but can you explain to a simpleton like me the reason a 22ct "Krugerrand" carries a higher premium than 999+ bar?

Still has 1oz of 999 so identical in composition to a 1oz bar. More expensive beacuse it has some blokes hairy face on it.☺️

[ArgentSmith]

3 minutes ago, Bogart said:

Still has 1oz of 999 so identical in composition to a 1oz bar. More expensive beacuse it has some blokes hairy face on it.☺️

Identical in weight of gold but not composition 1% extra for a couple of grams of free copper 😀

[LawrenceChard]

27 minutes ago, Bogart said:

Still has 1oz of 999 so identical in composition to a 1oz bar. More expensive beacuse it has some blokes hairy face on it.☺️

We often pay about 1% more for Britannias than Krugers, because they have a nice looking woman on them!

 

[LawrenceChard]

23 minutes ago, ArgentSmith said:

Identical in weight of gold but not composition 1% extra for a couple of grams of free copper 😀

Have you seen the silly prices people ask / pay for copper ingots!

It's better than "free postage".

😎