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My Investment Strategy - Please Critique/Review

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Pillar of the Community
United States
3789 Posts
 Posted 12/31/2012  11:12 am  Show Profile   Bookmark this reply Add yup7676 to your friends list Get a Link to this Reply
schockergd- you know thats a good question I haven't had the chance or have the slight idea what the composition is. My collection I haven't kept track in 8-9 years.

I only started to notice they had accrued tremendous value when I started back tracking on the missing pieces, such as pandas that I own versus the ones ima missing and was shocked how high they had shot up, sheets of pandas, and also the Silver 1 oz Brits.

But also, while I dropped off buying everything else I made sure that I was buying direct from the US Mint proof silver and gold eagles which have gone up or kept their price depending on how old they are.. and that's even with the spot price and premiums rising. I would imagine the most recent ones are flat or perhaps fluctuating lower but nothing to worry in my case since I am not flipping.

God, it would be so huge to break that down but I am kinda interested now that you raise that question lol

Thats why I think again, tho, unless you are going to sit on these coins, you need to buy quality, not quantity, and give yourself some time.

The only coins you will be able to flip fast and with a bit of margin I would suppose need to be coins that are trending in the Coin World,, whats hot.


Finally, I think this individual might be positioned to do well should metal prices tank, there would be ima guessing a dump where folks will want to exit at whatever price and if he has the cash available he can cherry pick the best deals.

Now I realize that this might sound offensive to most but if hes trying to flip and turn a profit thats what hes looking for partly.

and again, for me, I can only speak about what has worked for me. You know, such as owning the first year of the gold proof buffalo, or owning the 2008 proof set of Buffalo's and buying them from the mint directly. OF that I have always done, made sure to purchase gold and silver eagle proofs every year from the US Mint. Then you sit on them and sit and sit and sit and sit and sit and sit. The premium you get from limited issue coins such as these eagles is unrivaled.

Valued Member
United States
397 Posts
 Posted 01/01/2013  10:13 pm  Show Profile   Bookmark this reply Add schockergd to your friends list Get a Link to this Reply
As it stands now, I can get liquid on anything I have within about 2 weeks. The only 'junk' I retain are rolls of ihp, V nickels, early or bu wheats, walkers, Peace dollars,Morgans , high grade Mercury dimes and barbers. On top of that I retain some silver in the way of silver eagles, generic rounds and 90% coins.

I will work on a spread sheet tomorrow, however from my statistical analysis, median appreciation for classic American coins averages at about 7% per year for non key and 8 to 9 for key dates.
Valued Member
staats25's Avatar
50 Posts
 Posted 01/02/2013  01:19 am  Show Profile   Bookmark this reply Add staats25 to your friends list Get a Link to this Reply
I'm jealous! You sound like your kicking butt. Who do you find to buy coins from?
Valued Member
United States
397 Posts
 Posted 01/02/2013  3:22 pm  Show Profile   Bookmark this reply Add schockergd to your friends list Get a Link to this Reply
I post ads all over asking people to sell their coins.

So far I don't get much stuff I would certify as true junk (Franklin mint, ect) because I just refuse to buy them. I've got a couple gold quarter sets from various sellers however I paid face value on every single one of them. They all get thrown into a auction pile (Local auctioneers love this crap) or as Christmas gifts to people.

MOST of what I get is stuff that most people would want to collect.

As far as popularity goes these are what I buy in terms of popularity from least to most rare :

Wheat Pennies
Buffalo nickels
90% silver (Washingtons, roosevelts, franklins and Kennedy)
Merc Dimes
Walking Liberty halves
V nickels
IHPs
Peace dollars
Morgan dollars

Then the rarer stuff is typically barbers, SLQs (I only buy SLQs with highly readable dates), and pre 1900 silver of which I have a good deal).

As stated earlier, through this process I've ended up with several key date coins (1928 peace, 1921 peace, 1922 no-D, a XF 20c piece and a few others) all purchased well below greysheet. I typically set all the 'good stuff' back for myself and sell the stuff I don't like, find attractive or have too much of. On my last buy for instance, I got around 40 morgan/peace dollars and 60+ rolls of wheats along with 200-300 BU wheat pennies.


Pillar of the Community
austrokiwi's Avatar
2087 Posts
 Posted 01/06/2013  10:41 am  Show Profile   Bookmark this reply Add austrokiwi to your friends list Get a Link to this Reply
This has been sitting in my draft box for a good part of a week its about time I finished it!

IMHO Investment coins are like investment diamonds, or investment art work. You have to buy the best at high prices to really ensure a decent return. Usually such investment pieces are well beyond the reach of the average collector,and have impeccable provenance, and most often have a unique story behind them.


Making good investment choices at "lower altitudes" becomes more of a mixture of good research, good market prediction( if that is even possible) and luck. The difficulty really facing all of us( looking at one day making a return on our interest) is predicting where the market will be in 10-15 years time. Today Morgan dollars may well be the "Flavor" of the market in the US, but who can say that will be the case in 15 years time.

For example we baby boomers( I am a tail-ender of that demographic) are starting to retire in greater numbers. Some of that group (like me) have collections we are going to sell to help our retirement. So it is quite likely market will see increasing numbers of interesting sales over the next 10-15/20 years. This could provide a spur to the market or it could see oversupply of certain types and a retrenchment in market value for those types.

I know from the New Zealand experience that during the Hunt brothers reign some key NZ coins shot up in value...only to decrease in value once the silver market collapsed. People who bought at the time of high prices in the early 80's were in 2000 regularly disappointed, finding that their investments had done badly( coins like 1935 3d, 1935 Waitangi crown. Now if it were part of a retirement fund....there is a risk those coins would have sold at a loss.....if the seller could have retained them for another 13 years...they would find they still made a loss on the 35 3d but would have made a massive profit on the Waitangi Crown.

I think the key to investing in coins is diversification. But smart diversification Having a diverse collection of obscure coins is likely to be very risky. Likewise having a "Fashion conscious" middle of the road focus is going to largely risk free but it is less likely to produce spectacular returns. I think each collector has to make decisions based on their personal position on a collecting-investment continuum.

I am more collector than investor....I have an eccentric focus that for investment purposes would be very risky. However I do moderate my risk by purchasing Boring safe items when I know that I am making an immediate, on paper, profit. Six years ago I purchased a proof NZ Waitangi Crown for the European market value of €2000. The NZ market value for the coin at that time was €4000. Now the market value is about €6000-8000. It wasn't guess work it was simply a matter of knowing how the market was likely to move....the NZ market value acted as the pointer for me. I had observed in the US and European markets that the Waitangi Crown was increasing in value ( rather than the NZ value being too high. I think you can see my investment strategy.....IE:identify a coin that is undervalued in one region of the world look at its value in another part of the world and then assess the likely direction of price movement.

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