Ammo As An Investment

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  • JadeRaven

    Oh Snap
    Rating - 100%
    60   0   0
    Sep 13, 2006
    4,250
    36
    Metairie
    Transaction costs eat up a lot of "profit."

    $20,000 of ammunition would take a lot of legwork to sell after a theoretical price increase. With a stock you just click "sell" or tell your broker to liquidate, but with ammo it's difficult to find people willing to buy more than a few boxes at a time.

    If I need some cash I can sell some ammo, but other than that trying to make money buying at retail and trying to re-sell later it just isn't worth it.

    If you don't mind sitting on the ammo then sure drop the money but otherwise you'd better have some free time on your hands.
     

    Vigilante Sniper

    Guns are my crack!!
    Rating - 100%
    47   0   0
    Jan 28, 2009
    1,524
    48
    LaPlace
    Transaction costs eat up a lot of "profit."

    $20,000 of ammunition would take a lot of legwork to sell after a theoretical price increase. With a stock you just click "sell" or tell your broker to liquidate, but with ammo it's difficult to find people willing to buy more than a few boxes at a time.

    If I need some cash I can sell some ammo, but other than that trying to make money buying at retail and trying to re-sell later it just isn't worth it.

    If you don't mind sitting on the ammo then sure drop the money but otherwise you'd better have some free time on your hands.

    With a class 6 I can get OEM pricing from my supplier of powder and primers. May have plenty of time if I get canned as per a previous post.
     

    Sigforty

    Well-Known Member
    Rating - 100%
    2   0   0
    Jul 20, 2007
    309
    18
    If you ever ship through the Monroe UPS hub, you'll see why I don't ship ammo.

    I spend 4 months up ther back when I worked for ups. There are much worse buildings compared to Monroe. FYI the gulf coast district which covers Louisiana and the lower half of Mississippi only has 4 hubs (Jackson, new Orleans, Shreveport and lake Charles).
     

    Wolfgang1952

    LOCAL Fla. Par, Cha. Pres
    Rating - 100%
    1   0   0
    Jul 27, 2009
    614
    16
    Mt Hermon / Franklinton La, USA
    O ya you can use ammo as barter. Trade ammo for food if needed. It would be wise to keep 5.56x45mm, 7.62x51mm, 7.62x39mm and some common handgun ammo around also. I’m building a good stock pile of 5.56x45mm and 7.62x51mm, 7.62x39mm and 45cal. When I find it cheep or cheeper I buy a case or two at a time, and just put it away. for a rainy day.
     

    Pale Horse

    one quarter civilized
    Rating - 100%
    15   0   0
    May 15, 2007
    1,156
    36
    West Monroe, LA
    The last time I tried to ship something there post 9/11 the little crumb of dickcheese behind the counter demanded that I open the package to show him the contents. I told him it was a canvas magazine pouch and that I didn't want to have to buy another bubble mailer. He started freaking out, saying that I couldn't mail that and that if I didn't leave immediately he'd call the police.

    So, seriously, **** UPS.
     

    Rabbit

    Well-Known Member
    Rating - 100%
    3   0   0
    Jan 26, 2012
    211
    16
    Carencro, LA
    I don't see the down side.....

    IF nothing changes, one thing is constant.... prices always go up so even if you don't sell it or trade it you can shoot it up yourself.

    IF the market goes ape $h!t then you have ammo to use/sell/trade

    IF the zombie's attack you have something to keep you busy (save one for yourself)

    and in the RARE chance:
    IF nothing changes and prices stay the same, you have extra ammo to go get some more training with.
     

    Rabbit

    Well-Known Member
    Rating - 100%
    3   0   0
    Jan 26, 2012
    211
    16
    Carencro, LA
    The last time I tried to ship something there post 9/11 the little crumb of dickcheese behind the counter demanded that I open the package to show him the contents. I told him it was a canvas magazine pouch and that I didn't want to have to buy another bubble mailer. He started freaking out, saying that I couldn't mail that and that if I didn't leave immediately he'd call the police.

    So, seriously, **** UPS.

    Should have told him to call the police, and his boss
     

    Pale Horse

    one quarter civilized
    Rating - 100%
    15   0   0
    May 15, 2007
    1,156
    36
    West Monroe, LA
    I told him I wanted to speak to a manager, but he refused. As far as the police, I didn't feel like an arguement followed by going to jail for staying after being told to leave.
     

    OneStory

    Warrior in God's Army
    Rating - 0%
    0   0   0
    Feb 5, 2010
    1,208
    36
    Wandering
    With the election coming up, and the feeding frenzy already starting, I don't think anyone doubts we'll see ammo prices go up over the next 6 months or so. Successful investors consider a 5% gain a good investment, while in '08 we saw ammo prices increase 20-40% in a lot of cases.

    So...is anyone purchasing ammo strictly as an investment? Seems like an obvious winner, because it certainly won't go DOWN in price.

    I'm considering going in with a couple others on a nice chunk of ammo ($10-20K worth). It's not a huge amount, but enough buying power to get a good price and be in the positive right off the bat.

    What ammo would you consider being the best investment? I'm thinking Federal 5.56 XM193, surplus 5.45x39, 7.62x39, 9mm and .45 Federal HST/Winchester Ranger.

    Why aren't you already in the guns and ammo business?
     

    stancel

    Swamp Stalker
    Rating - 100%
    93   0   0
    Nov 7, 2008
    1,726
    36
    Carriere, MS
    I am stock piling brass and reloading components. Luckily, my hunting club has a nice shooting range and quite a few shooters, but NOBODY saves brass. I go collect brass every weekend. I de-prime and clean every caliber I find, even if I don't reload it or have a gun for it. I believe at some point it will be good for barter.

    I knocked out 100 rounds of 40 this morning before wifey and daughter woke up, but if I had a progressive press I could do a lot better. I am debating making the leap from single stage.
     
    Last edited:

    GunRelated

    Well-Known Member
    Rating - 100%
    41   0   0
    Feb 22, 2012
    3,825
    113
    Walker, La
    I've been buying as much as I can, when I can. Although, my funds haven't allowed me to buy as much as I would like. To answer you question though, to me, ammo as an investment is a win win. Someone has already said that even in the worse case, you will just have a bunch of range ammo or a stash in case things go south. You just can't lose, IMO.
     
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