Are we going to see smaller gold coins rise in popularity?

[Foster88]

As we all know, this recent and sudden rise of the gold spot price has left many of us questioning, what next. Is it going to stay? Is this the new normal?

So, as percentages over ‘spot’ are being massively squeezed currently, might we see smaller gold coins or small quantities in bar form becoming more popular to buy and sell.

By this I mean, Sovereigns, 1/4oz coins, Half Sovereigns, 1/10th oz coins and 1g bars.

I don’t want to expand much more because I wonder how you all feel about this.

But as ‘spot’ goes up and the squeeze on the cost living rises (robbery), we may see that smaller denominations of gold become more popular and larger gold coins and bars become less unaffordable for most.

Have you abandoned a date run?

Are you thinking of buying little but more often?

I’ll leave this open to you all.

Edited October 29, 2023 by Foster88

[Roy]

It's just an initial shock, you soon get over it.

'For every action there is an equal and opposite reaction'...some will baulk, some will carry on regardless.

I remember promising that I'd stop driving when petrol got to £2 a gallon. Drinking when beer hit £2 a pint.

Yet.....😇

Things will change, more people drink at home now than frequent pubs, people care more about MPG than MPH.

In less developed countries, gold is still as prized as ever but folk just buy what they can afford. 

 

Personally, I hit my target in 2020 and now I'm just buying things I like and items to complete collections, but still balancing my total by moving on odds and sods.

I was buying @ £700-750 an ounce so the temptation to draw profit is too strong and I've sold some things I may regret but hey ho.

I've always been a fan of stacking fractional gold and that will certainly continue.

[Ignorant]

IMO we’ve already been seeing this over the last few years. Smaller gold pieces are much more in demand. Many people can’t afford an ounce of gold anymore.

Rest assured the spot price will come down once the world has recovered from the initial shock of the turmoil in the Middle East. I’m personally not buying any precious metals for at least another month.

Personally I’d never buy any gold below 1/10 oz due to the crazy high premiums. Your chances of recouping your investment within a reasonable time span is slim to none.

Edited October 29, 2023 by Ignorant

[MickB]

I remember around six years ago buying 1/4 oz gold coins telling myself that this is the smallest I will go. Well I'm down to buying half sovereigns or 1/10 oz gold now wishing I could still buy like I used to.

[SidS]

Has @James32downsized from Good Delivery Bars yet? 😁

As for fractional gold, I've always liked half sovereigns, probably more than sovereigns.

[KevjustKev]

I was never really in to the one oz but I've got enough for 3 Sov's, after that's gone it may well be down to half's

[Spyder]

I think if you can get smaller fractional coins for the same price as larger, the sensible solution would be to buy the smaller. I have seen many half sovereigns sell for half the price of a full. 

[Stu]

If the price keeps on an upward trajectory for sustained period of time, I do see folks who are in accumulation mode buying smaller bits and pieces but also the premiums on fractional coming down also. Anyone who is selling and seeing a 100% profit, should not be too concerned at wringing every penny out, that’s the way I view it anyways. 

[Gordy]

personally, I like fractionals to the 1/10th size, or 1gram bars if a good price, I dont particularly like 1/20 or 1/25ths but I would buy if low enough

[Paul]

We are a funny bunch us stackers. 

We were still moaning and groaning spot should be so much higher when it was £800z not so many years back 

Why weren't we selling the family silver to stock up on gold if we knew it was going to double in next 6-7 years  

Now I'm a good decade and half into this stacking experiment I now come to realise most folk are only ever on "now o'clock"

I will still be buying, these prices now as just "the new normal" ultimately, I'm converting depreciating fiat into gold

net results, i will have an increased holding of gold. than I did last month  

Spot can do what it likes, it will only be relevant when it comes to time I choose to cash out in my twilight years, in 20+ years time

If the steady uptrend in gold continues & unlimited fiat printed funny money printed we should be around the £10,000oz by then  (hopefully)

[flyingveepixie]

I sold a few gold Brits a while back. Found it really difficult to sell them and had to keep reducing the price until they were barely above spot, and that was when spot was around £1500

If I replace them it'll be with sovs and half sovs with an eye on the steady upward movement, which seems pretty much constant with only the odd hiccup of a relatively minor correction.

Here once again is the 25 year chart.. It goes up, then it dips, then it goes up further, then it dips, then it goes up further again etc etc.

Edited October 29, 2023 by flyingveepixie

[Fishface220]

1/4 oz and Sovereigns are the size I go for... thinking more long term for selling one or two at a time for a price within reach of a larger audience. Plus, if all goes to plan then it’ll be my kids problem and full oz’s or 100g bars could be a nightmare for them to shift on. 

 

[Petra]

Trouble at the moment with small bits is that postage costs put the overall costs up proportionately more🤔🫢

[flyingveepixie]

44 minutes ago, Petra said:

Trouble at the moment with small bits is that postage costs put the overall costs up proportionately more🤔🫢

Yeah, I had to give free postage with my Brits when I sold them.  Might be worth considering offering half price or free postage to kickstart sales.

[Petra]

Although🤔😮…. There have been small proofs on here that are not far off what bullion versions are going for elsewhere 😮 I think though with smaller stuff you have to be careful what you get. Personally, I concentrate on full and half sovereigns, 1/10 Britannia and some other nice 1/10ths such as the Australian ones.

1 minute ago, flyingveepixie said:

Yeah, I had to give free postage with my Brits when I sold them.  Might be worth considering offering half price or free postage to kickstart sales.

🤔👍👍Any more like that🤔😃but … yes, a great idea.

[ZRPMs]

I've always liked the ounce coins but felt in a pinch it might be easier to sell a few sovereigns rather than say a brit or a krug. To this end I've always concentrated on the sovereign's. More recently I've picked up the halves. If I needed to move some I suppose the halves would be the easiest to move on. Still sticking to my date and mint run though.

[pricha]

Sovereigns and the odd 1/4oz for me. I regularly pay £500 plus for a collectable sovereign but I find it more interesting.  Buying dogs at spot or less seems a false economy.  People are always interested in quality.  It could be the total wrong strategy but I get enjoyment from collecting.  My idea was to sell one or two a month to supplement my pension but I'm not sure how that would work out as I get more attached to them 😅.  The risk factor in holding such a large valuable collection needs to be thought of also.  I should really slow down and put money in a savings account zzzzzz. I can't ever see me moving into 1/10 and the like

[SidS]

Remember TSF commandments:

1. Buy high, sell low

2. Thou shalt not sell

3. Thou must not contradict thineselves. 😁

Edited October 29, 2023 by SidS

[Paul]

11 minutes ago, pricha said:

 People are always interested in quality 

Over the past decade plus I can certainly see a definite trend,in quality graded MS pieces going for consistently appreciating prices 

Cream rises to the top

The super rarest quality high grade rarities have gone exponentially up, like patterns, 5 guineas, 5sovs/crowns 

For those with serious cash and mobility and global freedom. Holding the value of an average UK house in a small plastic coffin that'll fit in your pocket is quite thought provoking

You could easily move to sunnier climes with two boxes of the right graded coins in your hand baggage, worth £1million + if the SHTF ever 

[Paul]

The exit strategy for the highest grade bits isn't via forum or done over night

But is being in the right auction at the right time

IE buy and hold for a long time, Una and lion bought in the 2000s for £10k is a £150-250k today 

 

[JamesH]

In light of present company am still a relative newcomer to this (started buying gold about 18 months ago). Settled pretty quickly on Sovereigns and half sovereigns (Shields, Young Vics and special years only) as figured they’d be the easiest to move on if/when necessary. Am thinking about picking up generic year Sovs at some point so I have an ‘easy stack’ to sell first when the time comes though. Recently moved into proof graded special years also as I’d like something to hold/collect just for myself. Whether I’ve got it right/wrong I guess time will tell - as always though, still feels something of a privilege to be having these discussions 👍🏼

[pricha]

Conversely premiums on 1oz should decrease while premiums on say half sovereigns would increase , to the point where a half sovereign would cost almost the same as an oz of gold... 

🤔....

 

Or maybe not 🤪

[Petra]

6 minutes ago, pricha said:

Conversely premiums on 1oz should decrease while premiums on say half sovereigns would increase , to the point where a half sovereign would cost almost the same as an oz of gold... 

🤔....

 

Or maybe not 🤪

🫢🤔🤔

[dicker]

Essentially, yes.

if gold goes significantly higher we might see the premiums on fractionals adjust closer to those which we see for bullion Sovs.

A bullion Sov at 400 is pricey for lots of people, a half might more palatable. Same for 10th Brits.

[GoldDiggerDave]

22 hours ago, Paul said:

We are a funny bunch us stackers. 

We were still moaning and groaning spot should be so much higher when it was £800z not so many years back 

Why weren't we selling the family silver to stock up on gold if we knew it was going to double in next 6-7 years  

Now I'm a good decade and half into this stacking experiment I now come to realise most folk are only ever on "now o'clock"

I will still be buying, these prices now as just "the new normal" ultimately, I'm converting depreciating fiat into gold

net results, i will have an increased holding of gold. than I did last month  

Spot can do what it likes, it will only be relevant when it comes to time I choose to cash out in my twilight years, in 20+ years time

If the steady uptrend in gold continues & unlimited fiat printed funny money printed we should be around the £10,000oz by then  (hopefully)

Bingo, anyone stacking PM’s has to be anticipating for them to rise, waking up one morning and balking they can’t afford it then this game wasn’t for them in the first place.  
 

“now o’clock”  no true a world spoken.    There’s loads going to be shaken out of the PM market as inflation is tearing them a new one.