Rare Coin Inventory
Early certified rare coins offer balance to your core bullion holdings.
Call (800) 225-7531 for more information.
CONSIDERING RARE COIN INVESTMENT? WE CAN HELP!
What does a model portfolio consisting of certified rare coins graded by PCGS or NGC look like? There are many variations but the following information will help you make better choices. Talk to your representative if you are looking for something specific or would like custom suggestions which offer potential. We have excellent choices for every budget and there is never an obligation.
In the meantime consider three reasons as to why placing hard asset money into this area makes sense:
First, certified coins offer an alternative to storing wealth which also protects against 3rd party intrusion.
Second, certified rare coins offer financial privacy and are fun because they are historically important.
Third, we believe many certified rare coins are undervalued and so offer investment potential.
The bullion portion of your portfolio is simply a choice of bullion coins or bars. But what about the choice of certified rare coins when it comes to investment balance? We offer a few rules here to get you started.
WHICH ARE THE BEST EARLY RARE COINS?
Which certified rare coins should you consider for long-term investment? In fact no person knows for sure, but there are parameters, which will lead you in the right direction. Look for coins which interest you – the more interest the more enjoyment – an added benefit. Early type, colonial coins, patterns, or better date silver dollars are a good start and these build good habits which lead to treasure and satisfaction.
THE RARITY VERSUS DEMAND SECRET
Rarity by itself is not the best way to approach this unique area. Rarity is good, but if there is no demand for a coin its rarity will be of little value. Link rarity with demand. Many certified coins are rare, but their popularity is what pushes their price dynamic.
WHICH GRADE IS BEST? AND WHAT ABOUT EYE APPEAL?
It is important that your certified coins are graded by PCGS (The Professional Coin Grading Service) or NGC (Numismatic Guaranty Corporation). This enhances liquidity and evaluation. Rare coins are graded using the Sheldon Scale from 1 to 70. The higher the number the better the condition and the more elusive the coin. Generally as rarity and popularity increase so does price. You are looking for a balance between rarity and affordability.
At the same time “eye appeal” or what makes the coin “attractive” is very important. The insider tip here is deal with professionals who understand what “premium quality” looks like within the grade range. An example here might help, let’s say you are looking for a particular coin graded by PCGS in MS-65 condition. The insider’s tip here is simple, not all coins graded PCGS MS-65 are created equal – the same is true for all grades.
Some coins barely made the grade and some are so nice they were almost given a higher grade – this is called the “grade range”. And understanding how it works will make your investment job more successful. The coin trade uses a special word to identify these exceptional examples – it’s called “pop”. And owning coins with “pop” is the most important step you can take in understanding rare coin success.
Look for material which falls into the higher end of the grading range – be patient and avoid lesser quality examples regardless of price.
How do you know your possible choices are special? Ask your representative how these coins were selected.
If the answer is vague or you are told “They are certified and so they are all are the same.” Be careful. Good coin companies know it’s good business to use trade experts to make their inventory sparkle – many have graded for PCGS or NGC and fully understand the “grade range”. Surprisingly some companies do not – they are simply interested in selling a “widget” – make sure you are doing business with the right kind of company.
INTERESTING STORIES ARE IMPORTANT
Certified rare coins with an interesting story are better choices. Stories and the history behind them bring these treasures to life. The more compelling the story the better the opportunity to build valuable holdings and the more satisfying ownership becomes. To understand this concept consider a series of books which unfortunately are no longer in print but can be found on eBay called The Numismatist’s Companion – edited by Q. David Bowers. These small books were published in the 1980’s and present a wonderful look at the sometimes eccentric people, unlikely places and turbulent times which are now the foundation of today’s rare coin business.
CONSIDER MARKET CYCLES
The price history of certified coins will tell you where in the cycle you are and provide clues which lead to good decisions. People who have a strategy are better equipped because they develop a long-term plan taking advantage of “up” and “down” markets. They do their homework and choose attractive early rare coins. Past performance does not guarantee future results but it’s a good place to begin.
THE KEY IS LOOKING FOR VALUE
Some rare coins today can be purchased for less than their old highs which might suggest a value buy. On the other hand there are coins which are trading on their highs, do not dismiss these possibilities, but you want to identify both sides of the spectrum in making an informed choice.
Follow the “50 year rule” – it keeps you focused. Never invest in a rare coin which is not at least fifty years old because without an established price record the outcome becomes unpredictable. Choose early “coins of significance” – modern issues and certified bullion coins are easily overpopulated.
Building a powerful collection creates value, a journey through history and is fun – but requires patience. If you have a bunch of “old stuff” consider consolidating into “better” material with a theme. Read a few rare coin books along the way. There is an old adage in this trade which says “buy the book before the coin” – the more you know the better your results. If you are looking for a good start consider Yeoman’s Guide Book to United States Coins. It presents a concise overall introduction, explains the grading scale, offers comprehensive pricing and includes the history which makes US rare coin investing fascinating.
Finally, keep in mind we actively buy, sell and trade material. If you have certified rare coins you no longer want and are looking for a cash offer, or want to trade something you have for something we have (rare coins or bullion) just send me an email (firstname.lastname@example.org) suggesting what you think is fair – maybe we can do some business. Buying, selling and trading is a great way to improve your holdings and get a realistic idea as to value. Thanks for stopping by and if you want a written answer to your question contact me using this link – Ask an Expert