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Q: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff ( No Answer,   8 Comments )
Question  
Subject: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
Category: Business and Money > Finance
Asked by: nronronronro-ga
List Price: $10.00
Posted: 16 Jan 2003 23:35 PST
Expires: 15 Feb 2003 23:35 PST
Question ID: 144610
I have a friend who wants to buy a contract for silver on one of the
commodities exchanges.  Then, instead of later buying or selling for a
profit/loss, she wants to actually take delivery of the silver. 
(Maybe she wants to bury it in the back yard---wouldn't surprise me. 
heh  heh  heh)

A great answer would be a list of 3 registered futures brokers (in
Chicago or New York) which allow someone to take delivery.  (Most do
not allow this because it's a pain in the neck for them.)

A certificate of ownership doesn't help----she actually wants to have
the metal in her hands.

All comments greatly appreciated!
Answer  
There is no answer at this time.

Comments  
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: factsman-ga on 17 Jan 2003 05:44 PST
 
I suggest you tell your friend to bring a big car. One silver contract
on the COMEX is 5000 ounces. That equates to 416.666 pounds. One
broker that offers physical delivery is ClearTrade.
http://www.cleartrade.com/
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: knowledge_seeker-ga on 17 Jan 2003 06:22 PST
 
I guess it's good she's not into Hog Futures ....

;-) K~
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: nronronronro-ga on 17 Jan 2003 10:58 PST
 
Thank you both for the TERRIFIC comments.  As for Hog Futures, let's
not even get into that...she'll have me out there in the mud feeding
them.  :-)
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: fstokens-ga on 17 Jan 2003 11:21 PST
 
Is there a reason why your friend wants to buy a futures contract and
then take delivery, rather than simply buying silver?
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: pinkfreud-ga on 17 Jan 2003 11:25 PST
 
I hope I can be forgiven a bit of humor that popped into my head...

Q: Whom do you consult to finance a purchase of Silver?

A: The Loan Arranger.
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: nronronronro-ga on 17 Jan 2003 11:59 PST
 
pinkfreud---now I'll have the William Tell Overture in my head all
day.  heh  heh  heh

fstokens---she found that buying silver from a dealer involved a
signifcant markup.  Even 100-ounce Engelhard silver bars are typically
priced 11%-15% "above melt."  That's why she wants to actually drive
her pickup to the warehouse, and take delivery.

Thanks to you both!
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: dsquared-ga on 20 Jan 2003 02:05 PST
 
The CBOT offers a mini-sized contract on 1000 troy ounces, which would
presumably be a bit more manageable than 5000.  But I still think that
your friend may be out of luck.  Physical delivery on a futures
contract is usually at the option of the short side, not the long.  I
would also imagine that there are *considerable* legal and regulatory
hoops to jump through before one can back up a pickup and load it up
with silver bars; or at least, the money-laundering authorities would
certainly hope so.
Subject: Re: Need to Buy Silver Futures Contract, and Actually Take Delivery of the Stuff
From: nronronronro-ga on 20 Jan 2003 09:53 PST
 
Dsquared, that's why I gave up money laundering!  heh  heh  heh  
(Special note for all government employees...that's a little Google joke.)

Thanks for the comment.  From further research, I have 
found there are actually several places in the US which 
are certified for "deliverable grade."  Still haven't 
been able to speak with www.cleartrade.com because of 
the bank holiday.  Thanks again!  ron

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