Will rare coins make a comeback?

I just read an article by Mike Fuljenz in CoinAge about rare coins increasing in value in the future. He claims in past years their value increased during impeachment proceedings of a sitting president. Now I'm a little skeptical because the writer is president of Universal Coin and Bullion, but he does present some facts to back his claim.

So what do you all think? Should I go looking for rare coins as a short-term investment?

 

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First, what's your definition of "rare coins"?
IMO they have to be at least in the upper 5-figure range to be in that category.

Second, there's plenty of evidence that "rare coins as a short-term investment" doesn't work.
Multiple reports of 6-figure coins being put in auctions on the order of 3 years after purchase and either realizing less than the original purchase price OR not reaching their reserve and not selling at all.

 

If you are feeling lucky, go spend a few years cherrypicking eBay for at least 2 hours a day and flip your purchases. This will earn you far more money than “investing” in coins for a longer term.

If putting that effort does not float your boat, then buy AU-58 or above pre-1827 US coins with completely original surfaces and great eye appeal (straight-grade is NOT enough). The coins with the biggest dividends are top-notch AU-58 and MS-63 and above draped bust coins.

But the investors have already realized this, and have already driven the price up. The bubble will burst eventually, the investors will leave once they realize that the returns are poor, and prices will plummet once the collectors retake control of the market.

Key dates have proven to be poor investments as their values are plummeting. Moderns are even worse investments. Rainbow-toned coins are at the top of their bubble. Much of classic gold is driven by gold spot.

The point it, no one knows what the next bubble is. Many investors are speculating about sleepers like $3 golds and the like. My bet is on NGC-certified AU/MS ancient coins. Ancient coins have been doing well over the past decade, and investors are (unfortunately) just now discovering ancients. Slab-a-holics only consider those graded AU or MS because they are used to the high-end modern coins. I do not personally approve of treating such historic coins as a commodity, but slab addicts will never change their mentality.

 

There have been only two impeachments in the entire history of the United States, so I'm really not seeing an actionable pattern there.

 

I’m currently collecting ancient Chinese coins. Apparently lots of Chinese people are trying to collect ancient Chinese coins as they become wealthy enough to collect coins. I’ve noticed that prices have been rising quickly and most of my collection can be sold for far more than I have paid. But I have approached this purely from a collection standpoint and am currently trying to get as many coins as possible before I can no longer afford them for my collection. I just got lucky that they were a good investment, and I got much more out of my collection by studying the coinsinstead of focusing on what they are worth.

 

I have a good friend whose business is investment quality coins. I am a collector/hobbyist and don’t remotely consider the investment coin route. My good friend who has a successful investment coin business doesn’t pretend to predict what may lie ahead. I will say this though..... Sound investment of any kind comes with much investigation and study. Basing investment strategy on a rumor offered by a talking head is a sound way to lose money.

 

in order to be impeached, a president has to commit an impeachable offense, not just hurt people's feelings

 

I think they should take all the dead presidents off our coins and return to allegorical depictions of liberty.

 

Can we not derail this thread into politics, please? I have already reported all of the politics-related posts

 

I would love to see some classic Liberty renditions brought back to Life. Flowing, Capped, Seated.

 

What politics-related posts are you talking about?

 

Welcome back! we missed you! Hope you are doing okay!

 

US Mint did the gold Commemoratives in 2016, and I was glad to see homage paid to our Liberty. Silver would have been nice.

 

Hey, Chris. Good to see you!

 

They have been removed

 

Both times the Senate acquitted them. So yes, not much of a pattern to go by.

 

Thank goodness for that!

 

Coins are not an investment. They are a collectible item.

 

Please accept my apology. I forgot about that rule.

Chris

 

Hi, Bob! How the heck are you?

Chris