The 5 Best Tangible Asset Investments for $1,000

The 5 Best Tangible Asset Investments for $1,000

Let's suppose for a moment that you've come into some money.  It could be a bonus from work, a surprisingly large tax refund, a small inheritance or some other unexpected windfall.  And let's also assume that you are interested in investing a portion of this newfound wealth somewhere beyond the clutches of malevolent central banks and their bubble-crazed securities markets.

Where should you put your newfound cash?  Well the first requirement is self-evident; you can't invest your money anywhere near the stock or bond markets.  That leaves one obvious alternative: tangible assets.  So read on as the Antique Sage reveals the 5 Best Tangible Asset Investments you can make for only $1,000 (or less).

 

1) NGC & PCGS Certified Pre-1933 U.S. Gold Coins

Before the Great Depression forced the United States to abandon the gold standard, gold coins circulated widely among the American public.  These historic coins are all at least 85 years old at this point, and it isn't uncommon to find specimens that are from the 19th century.  In addition, they were struck from solid 0.900 fine (21.6 karat) gold, giving them significant intrinsic value.  The most commonly encountered denominations are $2.50 (quarter eagle), $5.00 (half eagle), $10 (eagle) and $20.00 (double eagle) gold pieces.

However, common date pre-1933 U.S. gold coins have been drifting down in price for some time.  This provides the astute buyer with one of the best tangible asset investments available in the market right now.  It is possible to purchase these semi-numismatic gems of American culture in lightly circulated condition for as little as 10% to 20% over the spot price of gold.

Even better, you can buy pre-1933 U.S. gold coins that have been certified by one of the two major coin grading services - PCGS and NGC - for hardly any more money than a raw, unslabbed coin.  Certified coins are guaranteed as to condition and authenticity, providing an important 3rd-party assurance to the aspiring coin investor.

It is almost a certainly that people will one day wake up to how desirable these overlooked masterpieces of Americana truly are.  But for now, $1,000 will get you up to 3 quarter eagles, 2 half eagles or a single magnificent gold eagle (with a little change left over)!

 

NGC & PCGS Certified Pre-1933 U.S. Gold Coins For Sale

 

2) Large Vintage Silver Bars

Vintage silver bullion bars are gaining a devoted following among collectors, and it isn't hard to see why.  These hand-poured treasures were made by private refiners from the 1960s to the 1980s, when the threat of runaway inflation prompted the public to stockpile precious metals.  Ruggedly handsome, these works of art often exhibit unique pour lines and attractive patinas.

But much of the market for vintage silver bars is focused on small to medium sized bars, which typically range in size from 1 to 10 troy ounces. This means that slightly larger vintage bars - ranging in weight from 15 to 50 troy ounces - are currently overlooked.  This allows the savvy tangible asset investor to get on the vintage silver ingot bandwagon for relatively small premiums over spot.

For example, it's possible to find beautiful old poured 25 troy ounce or 1 kilo (32.15 troy ounce) silver bars for just over $20 an ounce.  This is a tremendous bargain because normally it is impossible to touch a vintage silver bar for anything less than $25 an ounce (with spot silver trading around $15).

$1,000 would go a long way with these desirable tangible asset investments.  You could grab yourself a couple of temptingly chunky 15 to 20 ounce heavyweights.  And if you're lucky, it might even be enough to buy a gloriously oversized 50 troy ounce bar.

 

Large Vintage Silver Bullion Bars For Sale

 

3) Vintage Solid Karat Gold American Wristwatches

Vintage wristwatches from the mid 20th century - from the 1930s through the 1970s - are classic antiques in perennially strong demand.  In fact, they are one of the best places you can park your hard-earned money in the tangible asset space.

And while we've all heard of famous European watch brands like Rolex, Omega and Patek Philippe, did you know that there is an entire market segment of these alluring vintage timepieces that is being completely ignored right now?

These overlooked tangible asset investments are vintage American wristwatches housed in solid 14 & 18 karat gold cases.  Manufactured by illustrious U.S. firms such as Hamilton, Elgin, Waltham, Gruen, Bulova and Benrus, these horological beauties are wonders of Mid-Century engineering in miniature.  Yet surprisingly, they can still be purchased for absurdly low prices.

In fact, it is possible to acquire high-end vintage American watches for 1/5 to 1/10 the price of similar European models.  They are so inexpensive, particularly for solid gold models, that it is almost criminal.  I attribute this unprecedented investment opportunity to the fact that the American makers largely went out of business in the 1960s and 1970s, while the European makers continued intact into the present.

This lack of name recognition surrounding vintage U.S. watch brands means that you can pick up some very fine timepieces for very, very little money.  How little?  $1,000 will buy you two fine vintage American watches with solid gold cases that require some servicing.  Or you could opt for a single rarer example that is pre-serviced and in superb condition.  In the latter case, you might even have a couple C-notes left over!

 

Vintage American Solid 14 & 18 Karat Gold Watches For Sale

 

4) Platinum Bullion

I don't normally recommend straight-up, no-frills bullion.  But platinum is an exceptional precious metal selling for an exceptionally low price.  The gray-white metal is completely unique, having dozens of uses that span jewelry, industry and commerce.  Not only is platinum useful, but also unbelievably rare.  It is mined at a rate that is only 1/15th that of gold.  No wonder it is considered "the rich man's gold"!

Perhaps most surprisingly, platinum is incredibly undervalued at the moment.  Under normal circumstances the precious gray-white metal is more expensive than gold, but right now only trades at 3/5ths of its value.  In fact, the platinum-gold ratio is currently scraping along at 120 year lows.

This means that you can buy with confidence.  It is true that, as with any asset, platinum could always get a little bit cheaper.  But I certainly wouldn't count on it.  And in all probability, platinum will be far more expensive than its current $820 a troy ounce price tag within a few short years.

But until that time comes, platinum remains one of the best tangible asset investments you can make today.  A single 1 troy ounce bar or coin will set you back a bit less than $1,000, while two 1/2 ounce coins would probably run right around $1,000.

 

Platinum Bullion For Sale

 

5) Natural Gold Nuggets

Natural gold nuggets might seem to be one of the more unusual tangible asset investments at first blush.  After all, what is so special about gold nuggets?

Well first, they represent the crystallized embodiment of physical wealth that mankind has pursued for centuries.  Second, these natural wonders are actually far rarer than you might think.

Almost all gold mined today is extracted from ore with a concentration of only a few grams (or less) per metric ton.  The gold locked in this ore is so finely dispersed as to be invisible to the naked eye.  Only a tiny sliver of gold production, around 3%, is derived from traditional alluvial deposits.  But most alluvial gold is in the form of smaller dust or flakes - true nuggets are incredibly rare.  And although gold dust and flakes are certainly visible to the naked eye, they cannot possibly compare to the raw allure of holding a chunky gold nugget in your hand.

All of this means that gold nuggets have become bona fide collector items.  They routinely trade for substantial premiums over their melt value - and the bigger the nugget, the higher the premium.  This is to be expected considering that mankind has spent the past few centuries plundering the earth of gold nuggets at a far faster rate than the geological timeframes she requires to replenish them.

So what will $1,000 buy you in the world of gold nuggets?  With the spot price of gold hovering just above $1,400 an ounce, $1,000 will get you a massive 16 to 17 gram specimen - more than 1/2 of a troy ounce.  $500 will comfortably land you an impressive 7 to 8 gram example.  And $250 will buy you a substantial 3.5 to 4 gram nugget.

 

Natural Gold Nuggets For Sale

 

Read more thought-provoking Antique Sage investing articles here.

-or-

Read in-depth Antique Sage investment guides here.

You Might Also Like