Why buy bars in the EU?

[ChrisSilver]

I have some bars that I bought before I knew that it was cheaper to buy coins from Germany etc, I also have some small 100g bars that I bought recently, even though they were more expensive per ounce that a lot of other silver I bought them because I wanted them and I will eventually collect a variety of small bars just because I wish to do so.

 

But if talking on a purely investment only basis, so excluding buying to collect or to show off, who on earth would buy the large bars such as the 5kg metalor bar or 100oz Johnson Matthey bars.

Currently Atkinsons have the JM bar currently for sale at £1685.67 delivered. This is about £16.86 per ounce.

Silver to go as an example have 1oz libertads for sale, 100 of those delivered to the UK would cost 1501.36. This is about £15.02 per ounce.

 

I wouldn't mind a massive 100oz bar, just to see all that silver in one big lump, and the premium for this including VAT isn't that bad. Though I would buy it with the understanding that it was as part of a silver collection and that it would be very difficult to sell, and not for the purpose of the best investment.

So if someone was a smart investor why on earth purchase some of these bars? Why on earth purchase any bars in the EU and take delivery to a country in the EU? 1oz coins seem a much wiser investment, or indeed any size coin for that matter.

Share your thoughts about bars in the EU.....

[silversword]

Under £17/oz is still not doing too badly, but yes I agree, if you can afford big bars, them you can afford the sort of order that makes shipping VAT-free coins from elsewhere worthwhile.

When I started out, I bought bars because I didn't know any better. For those only looking at UK dealers, where VAT applied to both coins and bars, the bars are more efficient but as soon as you look overseas its no contest. My stacking is pretty much coins only now

[morezone]

People who buy the bars either specifically want bars for whatever reason or they just don't know any better.

Before learning more and doing my research, I had no idea about the VAT "loopholes" within Europe.  Plus, you also have those who insist or buying from specific places (UK/Shop & Mortar store etc)  because of fear or fraud, being ripped off etc.

[Pete]

This year Germany raised the VAT on silver coins from 7% to 19%

However there is a VAT loophole that some dealers use to avoid charging the full VAT on coins.

Last year when coins were 7%, bars were 19% so I have no idea why anyone would wish to buy a silver brick.

 

Some bars have beautiful engravings but I am not convinced paying high premiums is worth it.

Some PAMP bars sell at very high premiums but a standard Maple, one of the cheapest and highest purity i.e. 99.99% fine rather than 99.9% fine can often cost almost half as much.

 

The worst looking poured bars can cost as much as a stack of one ounce coins so I agree - why on earth buy a brick of silver ?

[a_a]

Because it's cool. I'd buy some bars for sure if I didn't have to pay the 20%

[Ares]

I'd buy bars just as some of the plainer looking 1oz bars come out look pretty nice because of that plain look. I'm not a fan of the arty pamp style ones, the plain Heraeus or Sunshine mint bars look pretty cool.

[SilverPirate]

A big bar would be cool to own,But would be a lot harder to sell and you might not want to sell all your assets in one go but maybe a trickle out of the stack,like some of us plan to do,the resale target market would be smaller.

On the other side of the silver coin if you are hoarding bars for the long term  just as an alternative store of wealth together with other assets, they are  easy-err to store.

Some guys on here are deliberately stacking for there kids and grand kids, one big bar per offspring as a legacy is cool as hell, with a note saying sell this when you retire and enjoy your retirement.I would love to pass my stack onto my granddaughters and a big bar from grandad would give me such a buzz to hand over.Imagine there faces.

[SilverTrader]

I was not going to comment on this thread but:

obviously when comparing vat free coins to bars with vat then as an investment Selling bars is a hard sale !

 

On the other hand as a completely bias Silver bullion bar seller I feel i should point out some of the benefits of buying silver bars

Especially mine which will be the cheapest priced bars that i have seen when compared to other uk dealers.

pictures are in the photo gallery

 

Some of these reasons are completely untrue while most are just made up on the spot!

 

1, Shiny Shiny

2, The Chinese have not started faking the Sheffield hallmarked bars yet

3, The Sheffield assay office guarantee's the purity and weight

4, The hallmarks are recognized by all jewelers in the UK if not Europe and the world

4, The bars make me attractive to the opposite sex

5, The 250g bar makes a perfect table leveler

6, The 500g bar is the perfect paperweight

7, Carrying a kilo bar in each pocket stops me floating off the planet ( gravity is a myth )

8, the final reason is the 100g bars make my dick look Big

 

I rest my case !!