Rastatodd wrote:There was a thread on here that had to do with the viability of stacking 40% Kennedy halves. Can anybody here recall that thread and provide me a link so I may expand my knowledge of this form of stacking. Are there other people like myself stacking these coins. Just wondering. Any help on the link would be appreciated. Ray can you help a fellow stacker out and set him on the right path.
Todd
Stacking 40% reduces volatility. When there are big up/down moves, 90% can swing dramatically, 40% not so much. One advantage of stacking 40% vs 90% is ability to buy with a much lower
(though generally steady) premium. While the premium on 90% shot up to as much as over 30% during the last scare, 40% could still be had at melt, or less. When you go to sell, the premium
will likely be near melt, still, regardless of where the premium at that time might be for 90%.
Keep in mind, 40% can be found roll searching, thus there are very few buyers for it. They take up storage space. They are the redheaded bastird stepchildren of stacking. Nobody wants them.
They can be butt ugly, toned midnight black, corroded coppery green, dull/lackluster, etc. Yep, still silver... but.
Granted, they can be gem choice... and those gleam just as purdy as 90%.
But as luck will have it, those indies are likely to be cherry-picked prior to your buying random lots. You might get lucky, but don't count on it.
In taking a small position in them myself I am playing upon the possibility that in a HUGE repricing of spot, at that time, 90% would pretty much disappear and 40% come into its own as a trading vehicle
for silver coinage. That's likely five to ten years away, although even the 40% was sold out at APMEX and Provident during the recent retail "shortage."
Finally, it makes a big difference if you're considering stacking them... how you're acquiring them. If you're a roll hunter, go for it, you have nothing to lose. If you're paying for them, make
sure to pick them up at a price (margin premium) that you could recoup your "investment." The online dealers are only offering 94 to 95% of melt for them.
This link shows wholesale pricing [url]coininfo.com[/url]