>I agree with you in terms of the movement of materials (when yields plummet, PMs soar). The question then becomes, do you sell your PMs when they hit their highest in order to make a profit? If you don't, why not?
The way to do it is to sell on the way up, and begin to diversify into other asset-classes. When I realize 300, 400, 500% gains, I will begin to move into real-estate. I will, however, always maintain a core position in precious metals.
>Is CGT country-specific? Genuinely have no idea. But your math is sound.
I live in the UK, where CGT is 20%. But if you buy Britannia coins, you pay no CGT. There are similar laws in most Western countries. Hence, while the stock-market trader has to pay £2 million of the £10 million which he makes to the government, the gold-coin investor keeps it all to himself.
>This is what I meant in >>19565017 about governments and companies doing this but the average Joe doesn't or can't. Few people have that kind of money to swish around this way.
0.50% premiums are still not a bad deal; that is also what people happily pay for cryptocurrency on Coinbase. Even the small investor can buy as little as £1000 or even £100 of silver on BullionVault or GoldMoney, and avoid paying virtually any premium. Or he can simply buy GDX, GDXJ, SIL, SILJ, on the stock market, and get into the miners, to avoid paying the £120 annual vault fees.