Silver Coins: A Smart Investment Move?

is 90 silver coins a good investment

90% silver coins, also known as junk silver, are a great way to invest in physical silver bullion. They are circulated coins produced before 1965 and contain 90% silver. The remaining 10% is copper. They are called junk silver because their value is derived from the silver content rather than their rarity. They are a good investment because they are a cheap way to buy fractional silver bullion. They are also a good investment because they are legal tender and can be used as a means of payment.

Characteristics Values
Description "Junk silver" is a term used by investors to describe circulated coins with value derived only from the silver content.
Date Junk silver coins refer to coins minted before 1965.
Premium Junk silver coins are sold at a premium or below premiums on 100-oz bars and 1-oz silver rounds.
Numismatic Premium You will often pay a slightly lower numismatic premium when you buy coins in bulk.
Price Junk silver coins are one of the most cost-effective ways of investing in silver.
Demand Junk silver coins are a leading indicator of silver demand.
Supply Junk silver coins are in short supply.
Liquidity Junk silver coins have a huge numismatic market, meaning there are more avenues for selling.
Storage Junk silver requires much more storage space than bullion.
Purpose Some investors buy junk silver coins for "survival purposes", i.e. as a hedge against an economic collapse.

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Junk silver coins are circulated 90% US silver coins, minted before 1965, that are referred to as "junk" because they hold no numismatic or collectible value. However, this does not make them junk, as their silver content makes them intrinsically valuable. In fact, junk silver coins are a good investment because they are legal tender.

Firstly, junk silver coins are easy to identify. They are similar in appearance to coins currently in circulation and are distinguishable by their pre-1965 date and solid silver edge. This makes it easy to find a buyer who knows the value of the silver content.

Secondly, junk silver coins are easy to liquidate. They are highly recognisable, rarely counterfeited, and do not require verification. They also retain their legal tender status, making them widely recognised and easy to trade.

Thirdly, junk silver coins are a good investment because they are a hedge against inflation. A 90% silver quarter was worth its face value in 1964, but today it is worth nearly 15 times more.

Finally, junk silver coins are a good investment because they are available in smaller denominations, making them useful for bartering.

In conclusion, junk silver coins are a good investment because they are legal tender. They are easy to identify, liquidate, and use for bartering, and they provide a hedge against inflation.

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They are a substitute for bullion bars

90% silver coins, often referred to as "junk silver", are a good substitute for bullion bars. Firstly, they are more affordable than bullion bars. Junk silver has far lower premiums than popular silver bullion coin programs and privately-issued silver bars. Secondly, they are a good investment because, as the price of silver rises, these coins will become more valuable. Thirdly, they are a good option for investors who want to buy silver in bulk. They can be purchased in bulk lots of as little as a roll with $5 worth of US dimes, totaling 3.575 Troy oz altogether, to as much as a $500 bag of US quarters totaling 357.5 Troy oz.

Additionally, 90% silver coins are a good investment because they are a form of legal tender. They are still considered official US currency and can be used as a means of legal tender face-value payment. They are also actively traded based on their overall silver content. Furthermore, they are a good hedge against an economic or currency collapse. Their smaller denominations provide a way to barter for everyday items during a survival period.

However, it is important to note that there are some drawbacks to investing in 90% silver coins. Firstly, they are circulated and old coins, which means that they may be impaired in some way. Bags of 90% junk silver may contain a small percentage of slicks, culls, and dateless coins. Secondly, constitutional silver is bulkier than .999 fine bullion. Investors will need to stack an extra 11% gross weight of constitutional silver to achieve the same number of ounces as .999 fine silver. This can lead to long-term storage issues. Lastly, junk silver is slowly losing its benchmark status to modern government-issued silver bullion coins, such as the American Silver Eagle.

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They are a good investment during rising precious metals markets

90% silver coins, often referred to as "junk silver", are a good investment during rising precious metals markets.

First, it is important to understand what "junk silver" is. "Junk silver" is a term used by investors to describe circulated coins with value derived only from their silver content. These coins are not considered rare or valuable from a collector's perspective, but they are still composed of precious metal.

Now, let's discuss why 90% silver coins can be a good investment during rising precious metals markets.

During times of economic uncertainty or when precious metal prices are on the rise, investors often seek out alternative investments to traditional stocks and bonds. Precious metals, like silver and gold, tend to perform well during these periods, and investing in 90% silver coins can be a way to capitalize on this trend.

One advantage of investing in 90% silver coins is that they are easily recognizable and trusted by the general public. In a survival scenario or economic collapse, these coins could be used as a means of direct barter or trade. Their small denominations make them convenient for purchasing everyday goods and services.

Additionally, 90% silver coins have a numismatic crossover appeal, meaning they are sought after by both precious metal investors and coin collectors. This dual market helps to enhance the liquidity of these coins. If the price of silver drops, investors can still recoup some of their losses by selling the coins to collectors who value them for their rarity or historical significance.

Furthermore, 90% silver coins are considered a good investment during rising precious metals markets because they are a finite resource. Since these coins are no longer being minted, their supply is limited, and they can become harder to find over time. As a result, they can achieve significant premiums during bull markets for precious metals.

For example, during the Y2K scare in the early 2000s, junk silver coins reached premiums of up to 50% above the spot price of silver. Similarly, during the 2008 Financial Crisis, silver supply shortages led to 90% junk silver coin price premiums of up to 40% above the fluctuating silver spot price.

In summary, 90% silver coins are a good investment during rising precious metals markets due to their recognition as legal tender, their numismatic appeal, their limited supply, and their historical performance during economic crises. They offer a way to diversify your portfolio beyond traditional investments and provide a tangible asset that can be relied upon in times of economic uncertainty.

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They are a good investment if you're looking to invest in physical silver bullion

90% silver coins, also known as "junk silver", are a good investment if you're looking to invest in physical silver bullion.

First, it's important to understand what junk silver is. The term "junk silver" is used to describe American coins that circulated before 1965. These coins are 90% silver and 10% copper. While they may be referred to as "junk", they are still valuable due to their silver content.

There are several reasons why junk silver is a good investment for those looking to invest in physical silver bullion:

  • Bullion substitute: Junk silver coins can be seen as a substitute for bullion bars. They have the advantage of being legal tender, so they can be easily spent as money.
  • Numismatic value: Junk silver coins have a numismatic market, meaning there are more avenues for selling them. Coin collectors are often interested in these older coins, which can help drive up demand and prices.
  • Historical performance: Historically, 90% silver coins have performed well for investors. They have two strong market areas: precious metals buyers and coin collectors. Even if the price of silver drops, investors can sometimes recoup losses by selling the coins to collectors.
  • Upside potential: Junk silver coins have greater upside price potential than .999 fine silver bullion products. During rising precious metals markets, circulated US silver coins can pick up premiums much faster than other silver investments.
  • Barter and trade: In a financial crisis or survival situation, small denomination junk silver coins could be useful for purchasing everyday goods and services.
  • Hedge against fiat currency debasement: Silver retains its value over the long term, allowing investors to maintain their wealth in these tangible, legal tender coins.
  • Diversification: Owning junk silver coins can be part of a diversified precious metal investment portfolio.

While there are many advantages to investing in junk silver, there are also some potential drawbacks to consider. For example, bags of junk silver may contain a significant percentage of impaired coins that are worn, dateless, or damaged. Additionally, junk silver is bulkier than .999 fine bullion, which can make storage more challenging.

Overall, 90% silver coins are a good investment option for those looking to invest in physical silver bullion due to their liquidity, historical performance, and potential for upside during rising markets.

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They are a good investment if you're looking to invest in small amounts

90% silver coins, also known as "junk silver", are a good investment if you're looking to invest in small amounts.

Firstly, the term "junk silver" is misleading. It is used by investors to describe circulated coins with value derived only from their silver content. However, these coins are not actually junk, as they have value due to the precious metal used to mint them.

Secondly, 90% silver coins are a good investment for small amounts because they are a substitute for larger bullion bars, such as the American Silver Eagle, or silver mining stocks. An investor can profit from junk silver in two ways: from the rising price of silver, and from the spread of the coins. Junk silver coins usually trade within a 10% range of the spot price of silver.

Thirdly, 90% silver coins are a good investment for small amounts because they are a great way to invest in physical silver bullion. They are also a hedge against an economic or currency collapse. In the case of a financial crisis, small denomination silver coins could be useful for purchasing everyday goods and services.

Finally, 90% silver coins are a good investment for small amounts because they are a cost-effective way to invest in silver. They are more affordable for the average consumer than investment-quality bullion coins, such as the American Silver Eagle. They are also easily spent as regular money in an emergency and have a huge numismatic market, making them highly liquid.

In conclusion, 90% silver coins are a good investment if you're looking to invest in small amounts. They offer a way to invest in silver that is more affordable, more liquid, and provides a hedge against economic collapse.

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