Secondary Premiums Present Discounts Unseen In Over 15 Years

Secondary Market Premiums

If you’re new to precious metals investing, you may not be aware of the tremendous value that secondary metals products have to offer.

Secondary products are non-CUSIP gold and silver coins that have been resold and are back again on the market.

The great attraction here, especially among more seasoned investors, is that these secondary products trade at a discount when compared to brand new products. 

You’re probably likening the idea of “secondary” to something like a used car, whose quality might not compare with one that’s brand new. But that’s not the most accurate way to think about it. 

Even within the secondary category, you have tiers of quality. And what many seasoned investors are noticing is that there have been very few top-tier, non-CUSIP gold and silver coins on the secondary market for around 15 years… that is, until recently.

There’s been a surge of high-quality secondary products in the market–an inventory that you may not see for another decade once the supply runs dry. So, now’s the time to buy them up.

As we urge clients to consider secondary gold and silver products, of course, we’re talking about the top-tier only. Most of these non-CUSIP coins have been depository stored and never handled by the previous owner. 

Just as much as you, we care about quality–especially the ones we’re offering. Any ethical dealer will disclose any damage to the coins or imperfections in packaging. 

No decent dealer wants to have a reputation for selling subpar products in this competitive market space (yet some dealers either risk this unfavorable sales practice or perhaps they don’t know any better). 

So when you purchase a secondary product from us at GSI Exchange, you can be assured that what you’re receiving is top-tier, or we will replace it. 

If a coin isn’t damaged, then why are secondary premiums trading at a discount? Good question. The value in price is not due to usage (let alone damage) but by the fact that there’s a plentiful supply.

You see, here’s how these brand new products likely got into the secondary market: investors who’ve been holding onto these metals have decided to cash out a portion of them to benefit from the current gold and silver bull. 

That’s usually what happens, and it’s a smart thing to do–that is, taking partial profits from a long-term investment.

So which secondary products do we see on the market? Here are three of them:

  •  Canadian 1/4 ounce Gold and Silver in unique weights. These popular non-CUSIP listed coins have been hitting the market in waves — and we have been buying them up at a steep discount. The supply has increased to such a point that the coins are hitting attractive lows. This discount won’t last for too long, however, as seasoned investors are getting wind of the value they present.
  • Royal Mint 1/4-ounce Gold and Privy Marked Silver. These coins have also been flooding the secondary market and their premiums at levels unseen for over a decade.
  • Last is Tuvalu, and Solomon Islands coins struck via Perth Mint Facilities, an attractive class of coins selling below their average value. 

And with most investments, price is contingent on supply and demand. And right now, supply is plentiful. 

So, the best value opportunities you can find right now are products in the secondary market with premiums still holding at a “secondary” level. This won’t last long, and once it goes, you may not see it again for a very long time.

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