Tuesday, August 16, 2011

Is this a good investment, Laxmi .999 Silver Coin - 50 gms?

No, this is a very poor investment. 50 grams of silver are worth less than $30 at the current market price of about $17.90 per ounce. So the price of silver would have to more than double in order for you to break even if you purchase at $60 per coin. Nor should you expect your coins to be worth anything above spot metal based on some hoped-for rareness. If you want to buy a coin that fetches a premium above the metal content, you should buy a coin that is no longer being minted and whose rareness is already known. Bullion coins rarely, if ever, fetch a premium based on scarcity. Try collecting U.S. Morgan or Peace silver dollars instead.

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