gold Switching to gold?

[Jamesstott93]

Hi guys, I'm new here and have started stacking silver, however alot of people have told me to switch to gold, I normally have around £100 per month to spend on silver which normally gets me around 5 Oz, however if I was to spend this monthly budget on gold how much would I be looking to get per month on average, and would it even be worth buying £100 worth per month, any help is appreciated.

Thank you

James.

 

[TheGeneral]

Hi James, 

i switched my attention back to gold his year. I have a slightly better budget than you (150-300 a month) but like everyone else It often takes a hit from unexpected bills. 

I think your best option would be to buy a gold Sovereign every two/three months. Also keep your eye out on deals on the halves. The halves normally hold a higher premium but I have bought two halves in stead of a full twice this year as the price was better. 

Good luck and hope this helps.  

[HawkHybrid]

consider sourcing locally, sovereigns at 3 months savings.

or if the premium is similar, half sovereigns at 2 months

savings.

 

HH

[Jamesstott93]

1 minute ago, TheGeneral said:

Hi James, 

i switched my attention back to gold his year. I have a slightly better budget than you (150-300 a month) but like everyone else It often takes a hit from unexpected bills. 

I think your best option would be to buy a gold Sovereign every two/three months. Also keep your eye out on deals on the halves. The halves normally hold a higher premium but I have bought two halves in stead of a full twice this year as the price was better. 

Good luck and hope this helps.  

Thank you for your advice.

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Added 0 minutes later...

1 minute ago, HawkHybrid said:

consider sourcing locally, sovereigns at 3 months savings.

or if the premium is similar, half sovereigns at 2 months

savings.

 

HH

Thank you for your advice.

[TheGeneral]

Also go for pre owned bullion over new to save a few quid here and there. 

[Melon]

Agree with above - sovereigns at 2-3% over spot will be a much better bet than paying 30-35% premium on silver. If you did want to stick with silver, you'd be better off saving up for a while and bulk buying from Europe. But given your requirement to travel with it from your other thread, gold seems a much better fit for you. Good luck either way! 

[sixgun]

So you have enough to get a sovereign 4 x a year. Sounds like you have been spending £20/oz on silver - this is the price of a lot of silver in the UK and it is at a large premium to the spot price. You could get less expensive silver on the silver forum and some people use facebook groups (not me). There is nothing wrong with paying a premium if the coin is a premium coin and represents good value.

It may be that if you hold the silver a long time the price of silver will rise proportionately more than gold - it may turn out to be the better bet but for long term steady savings i would recommend gold. Yes i know you don't seem to get much gold for your money - it is something that has put me off in the past but don't let that put you off.

[silenceissilver]

With that budget you are not that far off a half sovereign, so that's probably one of the best options to go for. Put 100 quid aside each month and when it's enough for one, buy it and keep the rest for the next purchase.  This way you can sometimes get 2 half sovereigns in 3 months (depending on the spot price) as opposed to buying one half sovereign every two months. If you are not good with saving that money to the next month, then rather stick to one half sovereign every two months. With the first option, you might get two more half sovereigns per year. You could also go for the second option and use the difference to buy silver.

Or you could buy silver one month and then gold the month after the next, thus in 3 months you would buy PMs twice.

That's what I would do, I actually did start with one month gold and one month silver, myself.

An alternative to half sovereigns might be even cheaper coins but I would not go for a 10th ounce modern bullion but historic coins e.g. 4 Austrian Florins (restruck by the Austrian Mint for many decades in the 20th century, thus actually also bullion coins) with close to 3g of gold thus a bit less than half a sovereign has. I don't think they are always in stock, at most UK PM dealers though, so buying them on a regular basis will be more difficult. You will always find them at German dealers, at some dealers for decent prices, but of course there is shipping, so I would stick to half sovereigns.

[RichmondStacker]

I can only echo what others have said, go for a sovereign every few months.  I found money would burn a hole in my pocket and I’d end up wasting it so i’m glad I save/spend on metals every month. 

You could aim for half sov and a couple of 1oz silver bars or coins from the forum every second month, that would be under your £100 a month budget but also give you a few more pretty things to look at. 

[Tn21]

14 hours ago, RichmondStacker said:

I can only echo what others have said, go for a sovereign every few months.  I found money would burn a hole in my pocket and I’d end up wasting it so i’m glad I save/spend on metals every month. 

 

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