I had a newbie investor say to me the other day that numismatic investing meant investing in the face value of the coins as opposed to the base metal content. That just made me realize that I should write something about the difference between numismatic investing versus bullion investing.
Numismatic investors invest in coins that have a greater value than the base metal due to the rarity and history of the coin. This type of investing is not recommended for a person just getting into investing in silver or gold. The prices are often subject to interpretation and demand which would be very difficult to quantify for a newbie investor.
With bullion investing it makes no significant difference whether you buy a 1 ounce silver eagle, a 1 ounce silver Maple or a 1 ounce silver Philharmonic. The underlying value of the silver or gold stays the same. This method of precious metals investing is preferred by new investors due to the lack of variables.