I appreciate all of the advice here. I admit, I'm on the fence about the one-kilogram wonder bar.
I'm not looking for this to be my single investment, or SHTF stock. I have smaller coins and such that can more easily be traded with for that scenario.
I understand that fraud is more of an issue with larger bars. Both real fraud and speculative fraud and its affects on trade and trust. I am definitely most interested in a PAMP bar and they do seem to have a wonderful reputation.
But, let's consider the upsides and please tell me if you think they are not enough to outweigh the downsides:
It's a kilogram of gold. Probably the nicest thing to hold on earth, aside from more even gold.
It's a kilogram. As an American wanting to switch to the metric system, that's pretty cool in and of itself.
Some big investors may only deal with larger quantities of gold. They may not consider the one-ounce coins/bars, but only want to work in larger increments like the kilogram. As I understand it, the kilogram is the smallest unit at some exchanges.
Slightly less spot price overhead.
As a bartering tool, for say a house, it'd be pretty effective to the right buyer. Say a few years down the road that gold bar's market value is $200,000 and I want to buy a $250,000 house. Plopping down this gold bar might get me a deal on the spot.
Are any of these legitimate points here, or do you think my carnal mind wanting to feel a kilogram of gold is overruling good logic? If I have other goods and bullion to trade, having a single large bar and other smaller bars shouldn't be so much of an issue. I'm planning on this being a long term investment bar, not so much something to get me out of a bind.
All of that said, it is harder to find investors willing to plop down $40k for a bar. Let alone, $150k which it could be "worth" in a few years.
Maybe 100 or 250 gram bars are a better option? What do you guys think, if you were millionaires, would a kilogram bar be more alluring, or several smaller bars equaling a kilogram? If this is really the wrong thing to do I can buy smaller bars. Ultimately, I hope to moving up and up the ladder trading with people of deeper pockets, rather than moving down the ladder. But, I also want to be quite realistic here. Smaller denominations give me the ability to sell to multiple parties which can be helpful.
Do your home work, it was a 10oz pamp bar that sparked the whole tungsten scare -
http://www.youtube.com/watch?v=ZXm8Ibax6JAStick to 1oz bars, best balance between liquidity and small premiums
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