Are mint products a bad investment?

I was hoping to get a little more clarification into what you were asking because this is a far more complicated question than you might realize...so it needs more than a "Yes or NO answer.

First, let me point out that this is a collector coin and while there is bullion value in them (at least the gold and the silver)...due to the collectivity of the coins, you can't really use that to determine its investment value.

So...my answer as to if this is a good investment depends on where you bought it from.

If you got the coin from the mint and intended it as a short term investment...the answer is HECK YES it was/is a good investment. If you were lucky enough to be one of the first to get your coins and flipped it fast...you stood to make a very nice profit due to the immediate hype of this coin. Even now, they are still selling for a quite large premium over their original sales price.

If you got the coin from the mint and are keeping it for a long term investment...I still think it is a good investment if you consider a good investment to be something worth more than its original price. Now, it is hard to really tell how good it will be. From what I have seen with past mint products like this one...many of these "super popular" out of the gate coins sell for crazy prices for a few months before they come crashing down. But, often they crash down but settle out at a price still above their original sales price. How much higher?...well, that depends on the coin. I expect this coin to always be worth more than the original mint issue price...but who knows how much more. My guess is not a ton. IMHO, the ROI on these types of coins is too unpredictable the be a "safe" investment.

If you got the coin on the secondary market ...I would say no, it's not a good investment. Like I said in the previous paragraph, these coins are selling for very high prices lately and I expect them to drop.

Bottom line, unless you are in the position to really make a big splash with new mint products...avoid them. The people who were able to buy the coins from the mint at the release coin show a few weeks back and walk them through grading and get them on eBay were in that position. Many people who ordered online are still waiting for their coins to come in the mail and by the time they arrive...the market may have cooled. I think the risk is too high for someone in your position to try and make a profit off these coins.

If you want them for your collection and suspect an item coming out might be one that will end up more expensive on the secondary market...buy it from the mint (like I did with the 25th anniversary set). But, I wouldn't try and use them for an investment.

 

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To add to my earlier post, I bought a number of the various types of the HOF coins. The prices I got for the ones I sold tripled my initial investment. All that I have left and have not yet received (gold MS) are fully paid for by my sales, so any that I might sell in the future are pure profit. If you can get in and out quick with any of the mints special offerings, you'll do well. Later on it's a throw of the dice.

 

But that's only true of the items that end up being really hot...and that can be hard to predict. It seems that there are plenty of "dud" products.

 

I might be wrong, but since I came back to the game in 2009, every new issue has been hot at the beginning.

 

OK, interesting. I rarely buy right from the mint, so I was going off of what I had seen. So, my knowledge is somewhat limited.

 

When the Kennedy gold comes out, I'll be in early, maxing out my CC, get them graded fast, and then they will go up on eBay. I'll be in and out within a month, again at least tripling my money and getting the CC paid off quickly.

 

Assuming they don't take 6 months to ship to you.

 

Good point!

 

At least they don't charge the card until it's out for delivery...

 

I suspect if you attend the Chicago show the Kennedys will be sold by the mint there so you can stand in line for hours to get your allotment and flip them.

 

The 20th anniversary (ASE) set was a winner and I scoped it out. I knew it would be a winner so I ordered one. Had I had the Monongahela's that I have today, I would have ordered more, but I was a collector in isolation. No forum to advise me and certainly no fellows to ask. Alone I was.......