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 Replies: 51 / Views: 16,653 |
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Pillar of the Community
5464 Posts |
Quote:
I don't know folks...if coins were not a good investment then Coin Dealers like me wouldn't be able to make any money...just sayin... We all know the one caveot.... Unless you're a professional coin dealer. If I had to make a living out if this, I would have starved long ago.  |
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Rest in Peace
10197 Posts |
For most folks "coin investment" is a great oxymoron. As in any investments there are winners and losers. Those who have diligently edjukated themselves will generally do OK, as lifetime coin dealers(above) can attest. Those of the keyboard psudeo-experts with luck may take home tonight's dinner.
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Pillar of the Community
United States
6370 Posts |
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I don't know folks...if coins were not a good investment then Coin Dealers like me wouldn't be able to make any money...just sayin... Flipping and investing are not the same thing. Just sayin... |
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Pillar of the Community
United States
5854 Posts |
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I don't know folks...if coins were not a good investment then Coin Dealers like me wouldn't be able to make any money...just sayin... I don't beleive you can compare the way a coin investor make money vs a coin dealer makes money. A coin investor, in the buy and hold sense, makes money by speculating on future demand of coins. A coin dealer makes money as a market maker. They buy when someone wants to sell and sell when someone wants to buy. The difference between the bid and ask is the compensation for that service. A dealer can still make money even if a coin has a 0% or slightly negative nominal return. The investor only makes money if the price rises enough to cover the bid/ask spread. I hope it doesn't sound like I am lecturing you about what you do for a living. The only decent coin investment strategy for a non dealer that I can think of is cherrypicking which includes roll searching. A cherrypicker makes money by indentifying a mispricing. It takes a lot of time, knowledge, and experience to be able to successfully cherrypick. Over very long periods of time, it nearly impossible for coins or collectibles in aggregate to sustain returns above what can earned on human capital and financial capital, i.e., stocks and bonds. The means used to purchase coins must come from some combination of those 2 sources. If I were looking make a long term, buy and hold style investment, I would rather go directly to the source. |
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Pillar of the Community
United States
7375 Posts |
I inherited some money, and invested in coins until I ran out of money  |
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Pillar of the Community
5464 Posts |
Quote:I inherited some money, and invested in coins until I ran out of money I can beat that. I inherited some money, and invested in coins until I ran out of money .......now I'm broke!  |
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Valued Member
United States
81 Posts |
I totally agree with what D0ubl3Eagle said. There is a huge difference between being a market maker and an investor. If you want to invest, stick to stocks, bonds, and options.
While it is possible to make money cherry picking, it's hard to make a lot of money doing it since, by definition, you're searching for something that others have missed. Personally, I recently started CRH since I find it a lot of fun. I don't expect to retire on the proceeds, or even make enough ever month to buy dinner for my wife and I. If you're looking at $/hour, getting a minimum wage job would bring in more. But since it's relaxing for me, I don't worry about the time aspect nor do I expect to make a killing.
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Pillar of the Community
United States
1511 Posts |
How do you make a SMALL fortune from coins?...... Start with a LARGE fortune  . I believe I quote SSDD from years ago.... |
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Moderator
 United States
188660 Posts |
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Flipping and investing are not the same thing. Just sayin... I can appreciate the distinction, but profit now versus profit later is still profit.  Collector or investor is not about good or bad, it is about personal preferences.  And of course, I am still thankful to have been on the receiving end of one of your sales. |
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Valued Member
United States
215 Posts |
Im the same age as you. I havent sold anything but I try to keep an investment perspective for when I eventually sell if that day ever comes. But I collect historical coins with original attractive nice color problem free surfaces if possible. Imo When it comes time to sell everyone will point out any flaw to bring your price down. Find coins You love . Youll be happier in the long run if you do
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Valued Member
United States
112 Posts |
That's some great advice given which holds true even over the years. I agree to all what's been said.
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Pillar of the Community
United States
7276 Posts |
I invest in the stock market/ 401k but majority of my investment are low cost stock index funds.
I buy coins as a hobby, based on value, worth I believe I can get some of my cost back , but I hope my kids keep and in 70 years get a lot of money back, but I'll be dead and I hope to leave them other money rather than coins.
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New Member
United States
5 Posts |
Kinda funny that this post is from 2012. I was thinking about some of the coins I have bought over the years and they really haven't appreciated at all. My stocks have gone through the roof and my graded key comics as well but coins, not so much. I'll be focusing on buying only key dates to cut down on clutter and improve odds of appreciation this time around.
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Pillar of the Community
United States
3160 Posts |
key dates are expensive and are not guaranteed to go up in value. I have a few and they have all gone down in value the last 10 years or so.
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Pillar of the Community
United States
4469 Posts |
I completed a Registry set of Peace dollars in 2014 of both NGC and PCGS coins. There was nothing special about set as it was white Peace dollars that ranged from AU55 to MS64. I paid $4355 for the set. I sold the set in December of 2019 on ebay as individual coins for a total of $3585. I lost 17.7 % plus ebay fees, paypal fees, and shipping cost. For the same time period the PCGS 3000 coin index went down 17%, so the 17.7% that I lost follows the general trend of the coin market. The biggest single loss was the Peace dollar key date 1928 NGC MS62 that I paid $599 and sold for $399. This was not an investment as I was collecting something that I liked. |
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Posted 12/23/2017 1:23 pm
