Do you think this is a good investment?

I believe the first question an investment counselor asks you is, "Do you want high returns, or safety? They chose safety.
But, safety means, usually, low returns, long term payback.
I think the mint really overdid it with the state quarters series. Lots and lots of people will have sets. Probably better to invest in the rarer and/or more valuable ones, such as silver. People putting sets together in the future should be able to gather the common stuff fairly cheaply and easily, but will need to pay a premium for the low issue stuff.

 

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They're purchasing vending machine fodder, in an era when vending machines are disappearing fast. I cannot believe a Mint employee, of all people, would drink this Kool-Aid.

Think. Price is a function of supply and demand. The supply is near-limitless, and demand only exists among those who don't know that the supply is almost limitless. There is not a single State Quarter issue which has been minted in a quantity less than all the remaining Morgan Dollars extant. How do you generate "demand" for a quarter-billion examples?

You don't.

 

Somebody mentioned HSN. They just might like 500 sets to peddle on TV at an extremely inflated price to uninformed buyers. But I couldn't tell you how much they would pay the owner. As little as possible I imagine to increase their margin.

 

That does change things a bit.

I would say their odds are decent that they'll be able to earn a small profit. Will it outperform other options, or be worth the time and effort? Who knows...

 

I'm actually not sure, I haven't asked them about it

 

The name of this forum is "Bullion Investing."
Bullion investing.
Bullion investing.

Modern billon hoarding is neither, sorry. Terrible investment! (and I'm genuinely surprised I had to be the first to say it.) Is this a joke/troll?

 

I clearly mentioned in the title that this is not bullion, maybe if you'd payed attention you wouldn't have to say anything. I only put this in this category, because it is technically still investing, even if it is a bad investment, and as a matter of fact, I'm not the one doing the investing. And no, I'm not joking or trolling, I was asking for other people's helpful opinions.

 

You'd be way better off putting the money into silver/gold or the stock market. There's almost no way those coins will appreciate much, if any, with the huge mintages.

Ok say for example you put $24,000 into something else and average a 6% yearly return, at the end of 20 years you will have about $77,000. With this investment you'll have about $24,000 at the end of 20 years (maybe a tad more if being generous, but at the very highest maybe $30,000)

 

Tinpot, or anyone really.

Say for example you 'buried $24,000 in the backyard' - would that be "investing" or "hoarding" in your honest opinion? (Apparent mental deficiency of some of the CRH notwithstanding.)

Assuming everyone's old enough to know or grasp the simple fact (Big IF, here) do you recall/know what the purchasing power of $ 24,000 was in 1996? Thank you for illustrating a reasonable "safe" investment return, 1996 - 2016.

On what rational basis do you suppose the Dollar, buried will increase in value, 20 years out?

Seriously.

If someone, even an 8 year old, asks "Do you think this is a good investment?" it's entirely reasonable to say NO! (Not to dismiss the idea that hypotehtical 8yo might be a troll, either. Just sayin')

 

In all fairness to the OP, they aren't intending to bury the coins, they are intending to make up sets for folks who might want them many moons from now.

 

Why the hostility and insults? ie, troll, 8 year old? Its a simple newbie question.

 

Looked at his profile and see that he thinks CT "coddles" newbies!

 

I wonder if there's an oddity like the Wisconsin quarter.

But I bought a state qtrs plus territories in a presentation case for my kids for $29 shipped a year ago. A premium, but it came in a display case (including shipping). But it requires added work, added cost, then online (eBay fees) to sell.

 

There are a few different definitions of "investment" and there are many different types of investments.

With that in mind, hoarding could very well be considered to be a type of investment. i.e. "Investing" and "hoarding" are not necessarily mutually exclusive.

Is it the best investment? I don't think it is, because hoarded items just sit there. They don't actually do anything for you the way that more active investments like stocks do. But, they also don't have many of the risks associated with stocks.

In this case, if you compare the coins to stocks, the coins (as long as they aren't stolen) will never decrease in value to $0 the way an individual stock could.

 

No, absolutely not - I do not think these are a good investment, especially if these are non silver cupro nickel. Too much bulk too. With what they have invested they should invest in PCGS graded coins and develop a portfolio of about 60 - 100 pieces - USGTC, Dollars, Commems. Or simply PCGS AGE, AGB, ASE if mods. They can then track these with the PCGS inventory manager. PCGS has now made Coin Facts free. Even if they just bought MS69 Gold Eagles this is so liquid.

 

I did and you are right with that. But if they're getting several thousand a year if a buyer like that would take the entire lot that nickle or whatever over face would add up quickly when they're essentially buying a uhaul of quarters if not more. I kind of look at it from a time cost thing. Parting them out one by one or searching for grade worthy ones would bring the biggest return but when you factor in the man hours its probably better to take the quick profit.

 

This is what I was thinking. A P/D only set has holes. Plus there's proofs, and silver proofs.

 

If you re-read the OP carefully, see "invest" several times together with a "risk" question? You might do better focusing on the opportunity cost of hoarding whatever commodity (in this case, modern billion) rather than pursuing an absurd suggestion.

Hoarding/collecting said commodity has had no investment potential over decades, apparently. (Read study below.) Random exceptions notwithstanding, hoarding return of (most) modern currency coin is negative!

Any other, more recent studies to recommend on the pricing of modern numismatics? We may agree to disagree how coin collectors ought to see the true "investment cost." But I think "horrible mistake" is far too polite - the term "idiocy!" comes to mind. Why? A 1% annual return did NOT keep up with inflation!!!! Sorry, that's just the fact; people may be entitled to their own opinions but not their own facts.
http://www.onlygold.com/articles/ay...ments_are_Always_Horrible_Mistakes_Part_2.asp

Investing isn't "collecting" nor is it hoarding money - actually, "investing" is dis-hoarding money. That's the correct financial understanding, you're welcome.

 

Matthew 25: 14-30..........

You may as well have buried them in the backyard. These coins will never amount to much 'investment wise' in my lifetime, your lifetime (OP), my childrens and grandchildrens life times and your childrens and grandchildrens lifetimes (OP).

Now if you want to collect 'em, that's a different story. I do that, but I never expect to make any money on them. Ya wanna invest in something? Play the stock market, but please, don't expect to make any kind of money on US 'moderns'.........ain't gonna happen. I can't believe your parents would sink that kind of money into something like this. That is just danged plain stupid throwing your money away..........well, wait a second. The stuff will always be worth face value. Just one question though.......where do you store all this stuff? If ya had to get out of town real quick, can you lift it?

Just some thoughts........

 

ALL bullion and numismatic coins are NOT investments....they are SPECULATIONS.

BIG difference, folks.