Are Coins A Good Investment?

If nothing else everyone of us can consider our coins as a savings account and, again, only we have total control of what we buy, sell or trade. Kind of like being the CEO of your own business? So, in the end, each of us must make our own decisions about our future in the hobby, which directions we will take from time to time, and if we spent our hard earned money wisely or foolishly? I keep my coin collecting as a hobby in my heart but realize there is potential in this hobby that so many of the others do NOT offer. Believe me I have collected just about everything in my lifetime and only coins has remained a constant for over 30 years and has been, for the most part, very stable. Buy for the long term and if something very good happens before then you should then consider to sell and invest in other coins or to sit for the future? Most of all, just enjoy it. Probably the hardest thing many of us will ever do is try and convince our wife or husband the money IS NOT GONE! Just placed it in another form (collectable money) where it will quietly and hopefully increase in value!
I have a buddy who's wife condemned every coin purchase he ever made through the years. Last summer he finally decided to sell a few items to give her the kitchen of her dreams. She insisted on going to the coin dealer when he sold a few items he had hand picked from his collection. She was astounded at their value and hasn't said a word about his purchases since that time. I call this a lesson learned!
And, last but not least, I don't really understand why any of us would be to awfully concerned about profit or loss in this hobby as about 98% of the items we buy over a life time depreciate incredibly the minute we take it out of the store or drive it off the lot with NO HOPE of ever increasing in value? Can't say that about coins if you are prepared and knowlegdable in your hunt!

Excuse me for splitting hairs, but coins are a good investment, but not, necessarily, a great investment. Much depends on your means. If you are able to buy key coins in any series in the high MS and/or proof states, you will, over time, make very good money on your investment. If you can only afford to buy "nice" coins in low grades, then you might not ever realize much return on your investment.

For most of us, there are better investments...individual stocks, mutual funds, our homes, etc.

One must consider, though, that many hobbies have limited or NO investment potential. Every dime you spend on golfing, fishing, hunting, etc. is most likely gone forever, leaving you only with memories. The money you spend on coins MAY be recouped at some later date by you and/or your heirs.

I would not use coins as an investment vehicle for retirement because the market is relatively thin and your investment is not particularly liquid...though ebay and other auction sites have changed the landscape significantly in recent years.

I love coins because they are (1) historical records, (2) pieces of art that nearly everyone can afford, and (3) readily available to almost anyone of any means. I don't love coins as an investment for most people.

I've been collecting artwork for 30 years and I tell everyone, buy the things you like. If they happen to go up in value, all the better. The same is true for coins, stamps or any collectible. Don't bet the farm on wheterh they'll increase or be worth any more than the price you paid.

Here is an artical on this very subject:

While many purists in the hobby turn a deaf ear toward discussions about coins and investing in them, the fact of the matter is we're operating in a dynamic, free market and investing in coins is as natural as investing in equities, real estate or art.
However, it is generally the case that long-term collectors fare much better when they sell their collections than many investors do who quickly move in and out of the coin market or from series to series.
Especially in a rising bull market, like we've experienced during at least the past four years, coins are costing collectors much more money, and some very creative trades have been accomplished to finance growing collections. Many collectors have also reduced the scopes of their collections because of significantly rising values.
Some have even sold off prized coins they thought they'd never sell. But prices have grown so high for some of these that often the money realized for such coins can help collectors finance other areas of their collections or improve their financial lives.
Trading and buying and selling coins have become profitable practices for many collectors, as well as investors. Most investors have had their focus on rarity and quality, not quantity. However, one area many coin investors overlook is investing in and assembling bulk groups of coins.
It is true that investing in bags of circulated 90 percent silver dimes, quarters and halves, or large groups of silver dollars, for example, has been a common practice for at least a couple of generations. However, investing in large groups of other generic coins may also have potential. These are the most common dates of a series, like "type coins."
Examples of generic coins are a group of 100 slabbed Mint State 65 Morgan silver dollars, in which perhaps six or eight or 10 different dates would be included. A $50 face value bag of unsearched "Wheat cents" is another example, as are rolls of Proof Franklin half dollars, probably grading Proof 63 or Proof 64 on average and comprising coins usually dated from 1960 through 1963.
Groups of circulated, common-date large cents or Seated Liberty dimes can also be considered "generic" coins. Collectors have also purchased rolls and bags of Indian cents and Indian Head 5-cent coins for searching. However, over the years, the availability of groups has diminished, as the coins eventually are dispersed to individual collectors. It's also likely that the quality of such groups has declined to include more coins with small nicks, spots and other distracting marks.
The design types of generic coins change over time, as well. Not too many years ago, it was reasonably common to find worn Barber silver coinage mixed in with 90 percent silver coins, whereas these days few Barber coins are encountered in such holdings.
Looking to the future there's potential for dealers to sell bags of unsearched About Uncirculated State Quarter dollars, Presidential dollars or even Lincoln Memorial cents.
Consider the possibilities. Dealers continually need large groups of such coins to promote and advertise and will likely pay more for groups that are already put together and readily available.

Hunter20ga I don't consider hunting, fishing or trapping a hobby? If a man or woman can take a few hard earned bucks and turn that into a meal on the table I would consider that a permanent investment with immediate returns. Just as the gardener invests in seeds which, he or she, nutures to growth the hunter also nutures him/her self in a great number of ways, regardless whether the hunt was successful or not. Until one takes the time to see, feel and hear what the hunter experiences they will never have an idea why we go out to the forest and field. In the end the hunter is no different from those who "hunt" in a grocery store and are willing to pay someone else for doing the dirty work. We live in a living world and science has shown that ALL living things consume other living things.
My coin collecting falls into the same line as my outdoors endeavors. How willing am I to hunt for the right coin, right grade and at the right price. When I set a goal for such a coin I make every effort to stick to it. I have passed many a coin that were over priced, that I have searched for over many years, but always knew another would eventually show up. Set your coin goals just as other goals in life. We don't give $20,000 for a $12,000 automobile so why give $100 for a $30 coin? Patience is a virtue!

Look at it this way, your investment in guns, hunting equipment, and knowledge in the field will keep on providing for you should it ever become a necessity! Hopefully that time will never come but as I always say, "Its better to be prepared than sorry! And, understanding nature and the real world by living it cannot be found in a book. Your investments will repay you for years to come and I hope your other hobbies can and will do the same!

When did the coin became an investment and become a hobby?

During the time in 1920s seen on one thread that they start collecting mostly lincoln cents.

And onced been popularized by a collector in 1970s sold the whole known series in his time for a trivia in TV mentioned that coin colleting is not that popular on that time.

Revolutionized by grading and slabbing that for me cause most of the prized goes up.

Or its all up to the intentions or motives or can be the two reason be the same only the cut off point of selling or not selling them may or will determine if it is a good investment or not.