Email from bzkitboy- Why should I buy Silver Bullet Silver Shield versus straight Bullion at cheaper prices?
When I started stacking silver in 2005, I bought only 100 ounce bars with the mindset that the more the merrier. I could buy 100 oz bars for 1% over spot and the premiums for Silver Eagles were an outrageous $1.49 over spot or close to 20% over spot. (This was back when I used to sweat .22¢ moves in silver.)
In 2008, I saw how the Silver Eagle was a superior investment in good times and bad versus raw silver. During times of volatility The ASE had much higher premiums relative to the underlying silver. When the market got hot, newbie silver stackers ran to the Eagles and when silver crashed to $8 from $21, you could not buy Silver Eagles for less than $16 or 100% premium to the metal. My 100 ounce silver bars could hardly even catch a bid at $8 because it was competing as a raw commodity. So I saw that the best moves were to sell higher premium silver during times of volatility for more metal and when the market leveled out sell the bullion for the higher premium stuff that is now more reasonable.
I was a huge fan of Constitutional Silver for many years, because it was cheaper than the ASE. A few months ago I said that Constitutional Silver would be the first silver to disappear. I have since watched the premiums become more expensive than newly minted ASE.
A member of the Silver Shield Group recently had to liquidate some of his stash to pay for some unexpected bills. He told me of his experience of trying to sell his basic bullion and no one really wanted it on eBay. And since eBay takes up to 13% of each transaction he did not wan to sell. He called me and I told him to sell his Silver Bullet and Silver Shield that had much higher premiums. His SBSS collection helped him pay his commitments and save the majority of his physical stash, because of the premiums he was able to still get on them.
From Fredrick D on YouTube: What would be the difference in buying one of your Silver Bullet and Silver Shield silver coins compared to buying lets say a Silver Eagle? I have a cousin that buys and sells gold and silver and he is telling me not to buy your Silver Bullet Silver Shield collection, because in his experience, the silver eagle is “accepted everywhere” were his exact words. I guess my question would ultimately be, in the end, is 1 ounce of silver is 1 ounce of silver no matter what is on it?
As long as you are buying silver, I do not care what kind you buy. In the long run you are preserving your real wealth.
That being said I think the Silver Bullet Silver Shield offers some unique advantages over the American Silver Eagle.
- Relative Rarity of SBSS vs ASE- Yes, it is true the ASE is very popular and liquid, but with almost 40 million produced a year, they are very common and will never have much numismatic value. The recent SBSS Warbird has only a mintage less than 50,000 this year. Assuming the purchase premium is the same (typically the ASE has been higher) the SBSS commands a higher premium on eBay than the ASE due to it’s relative rarity.
- Private vs. Government- The reason I started the SBSS was that I thought it was intellectually dishonest for silver stackers to reject the Fed and their dollar, the government with their wars and snooping only to go and run to the US Treasury and buy silver eagles from them. The SBSS has spawned a resurgence in privately minted silver with many following the successful path we have started. I believe long term we need to have private creation of wealth and need to encourage this with every dollar we spend.
- New Designs vs. S.S.D.D.- The ASE has been around for over 25 years with no changes. Hard to get excited about a 2014 ASE when the 2013 ASE only had one digit different. I am in the process of bringing 50+ new designs on to the market. My hope is to create excitement and bring new people into the silver community with powerful images and ideas.
- Truth vs. Propaganda- The ASE sells the idea that the US is righteous guardian of peace spreading Liberty all over the world. My Warbird design showed the true nature of the debt and death we spread.
- Emotional Attachment For Most Collectors- The most avid supporters of my work tend to have a much stronger attachment to the SBSS series than any other silver they own and will usually sell anything else before they let go of their SBSS. This coupled with the small mintage of the series makes for a tight market and higher prices for previous issues.
- Most Bang For Your Buck- The series has generated a lot of new designs and have relatively short production periods. This has led to much higher retail premiums on the secondary market versus the ASE and every other national mint. So even though the retail price for these coins are comparable, if you look at any of the previous designs of the series versus the ASE they constantly pull much higher premiums.
- Historical Significance– I believe that by the time silver reaches the levels I expect in a dollar collapse, the historical significance of the Silver Bullet Silver Shield series will be recognized. History will show that not everyone that was alive during this debt and death paradigm, were unconscious supporters of it. Many are buying Silver Bullet and Silver Bullet coins because they plan on transferring this generational wealth to their children, whom I am sure will be most grateful that their parents had enough foresight to get their wealth out of a doomed paradigm.
- New Silver Exchange Coming- I am within a few weeks of launching a new Silver Exchange that will be a peer-to-peer auction site with only a small advertising fee for successful auctions. It is my belief that this will create a much more efficient secondary market than eBay for silver since our group has all of the major buyers and we know so many sellers. This will create a lot of liquidity and interest in the series and silver in general.
So if you are interested in buying the final days of Silver Bullet Silver Shield you can start here…
January 1st, I will announce a brand new series to replace the soon to be retired SBSS line. It is my hope that with a fresh start we can once again get the ball moving in the right direction after a very rough 2013.
Have a Happy New Year.