Coins, a sound way to invest for retirement.

I can tell you some things that I bought in the 70's that weren't good investments. Here goes: Bee Gee's albums, Disco pants, Ford Maverick, Baseball cards, lava lamp, black light posters, pet rock, matchbox cars, G.I. Joe dolls, etc. The only thing left are the coins and some of the baseball cards. The only ones with any real value are the coins. I could have made more money in the stock market but I wasn't really investing in that in the 70's. Thus, the only thing with any real value left is the coins. As someone said, it is a hobby and there are lots of other ways to blow your money. It is early and I need a coffee. Starbucks anyone?

 

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This is the worst investment advice I've ever read. I've also had a mutual fund and a 401k that blow those numbers out of the water. But here's a point that I didn't see anyone make: if banks are failing and the FDIC is defaulting on their guarantee, then who's going to have the money to be buying random 5 dollar foreign coins you bought at a pawn shop? I could see people wanting to escape to gold and silver, but that's the one thing you recommended against. If banks crash, so will the coin market.

Let's face it, you want to blow your entire paycheck every week on your hobby, so you're rationalizing it as an investment. It's not. If you keep this up, you'll end up destitute.

 

Amusing, asinine perspective. Equally baffling, is how many people here bit on the hook and swam with it...

Seriously, do you people enjoy the trolling experience? Frankly, that is all the OP is accomplishing...

 

Once again, Detecto starts a thread, get's everyone fired up and never comes back to his thread to comment or give a rebuttal. :greensmile:

 

That formula has given us so many memorable threads here at CoinTalk and, I am sure, will continue to entertain us well into the future.

 

It's trolling if he's doing it purposely, honestly, I think he is completely serious. Just by the shear number of these types of threads. :yes:

 

Or as justification for spending any of the paychecks on coins, when the OP has spent at least a year without a job prior to this and has bills to pay as well as money that should be saved for the future if he wants to have any of his stated desires (moving to MI and being with his girlfriend....having a home and transportation.....being able to find and have a good job.... education to help him have a better job....etc.). That will NOT be happening with plan to "invest" now in coins from his paydays. IMO.

 

Actually, I was being facetious when I put that up. The internet is famously not able to convey when someone is being facetious, sarcastic, or just being forthright. BUT, it was in response to the fact that inflation probably wiped out all my gains and most of the gains for that coin are wrapped up in the value of silver (high silver prices).... even though the coin itself has only a small amount of silver. I feel that is correct, as even in about 1990 I could buy another one of the same grade for 5.00. I don't believe the values skyrocketed until silver went up so much. It wasn't a key date, nor was it in a high condition that would make it more collectible.

But, the point is, I spent 4.00 in about 1970 on an item that the OP now would consider a good "investment" of money, to spend and hold onto the coin for the future. But..... the value in the future is uncertain, and this coin's value now hinges more on the metal content (since a lot of low value silver coins were tossed in the scrap heap for melting) and resulting value of an event that could not be predicted. In fact, my point would be that no, it wasn't a sound investment, it simply was 4.00 that I wasted years ago. I could have made about the same "sound" decision to increase the value of 4.00 in 1970 to 42.00 or more nowadays if I had used it to purchase and "save" other items.... such as products in the store or gasoline. In fact, if I could have purchased and "saved" the gasoline or other food and product staples at 1970 and used them now instead of my 2013 dollars for the same ones, I would have had about the same and sometimes more "investment value" that I gained from that coin.

So my response was an example that really did illustrate that despite the rise in value of my coin (seemingly good) did not make it an "investment".

 

And, because I'm in a writing mood..... the only "investments" people should be making is with money that is not needed for day to day living, is not needed for day to day living or other expenses that could be needed for the next 3 years, money that is not needed to pay back debt, and is money that if the "investment" doesn't pan out, you can write it off as if you spent that money on everyday junk that does not gain, but decreases in value (think CDs, DVDs) or has no value once it's purchased and used (think movie tickets, lunch at Jack In The Box, a quick soda at the 7-11 or other quick mart places).

 

Depends on what you bought and when you bought it.

 

If you're doing it properly, the only way to be certain to end up with a small fortune in coins is to start off with a large one

 

Yeah, like that '50 D Jefferson I bought for $24 back in the sixties. You can buy that same coin today for the same price but sixties $24 had a lot more purchasing power than todays' $24

 

Think the economy box of 100 5¼" floppies that I bought in the early '80s...and are still in my basement...unopened. :computer:

 

Thanks, Phil. Guess I can kiss retirement goodbye now.

 

Although I don't think that coins are a great investment, many other things aren't either. Be very careful about the fees attached to your 401k, IRA, and other investments. Some of the compounding fees that some of the brokers/wealth management companies will eat into any profits you may make in up markets very quickly and it will be Wall Street not you that takes the majority of your gains.

 

... none of which Detecto will have to deal with for quite some time, if ever.

 

I found a new use for the box of 3 1/2 's I have.... Coaster's

 

Actually, the wife was looking for some of those awhile back and folks wanted ridiculous money (ebay) for them.

 

I could use my 5¼ inchers to set hot dishes on the dinner table. (I think they're heat resistant)

 

I got a boatload of those, too...still sealed.