Coin Collecting.... For the love of the hobby.. or for the Investment?

Hello Everyone!

I've collected coins my whole life. I love handling old coins and letting my imagination wander as I think about whom may have held the coin, what did they buy with it, where was it used.... etc...

As I read post after post on this web page, I see a lot of the subscribers here are all about having a coin be "Certified", "Uncleaned", "Undamaged", "Naturally Toned" and so forth.

Got me to thinking.... people who really are into those high end, natural and certified coins seem to be more about the value of the coin, along with the future premium or value of the coin. So, does this mean they care more about the Investment values of the coin, rather than the history of the coin?

In my case, I love collecting large cents. I am currently working on completing a Date Complete series (raw). Some of the coins I've purchased are lower grade and some even damaged (these came in lots with other coins). I'm more than happy with them which I know in the end is all that really matters. However, that being said, some of the coins that I have purchased, I can only imagine that the "Certified and Natural" coin collectors on this site would probably give me a ration of grief for buying them. I could really care less if my coins appreciate or depreciate. I don't plan on selling them ever (unless I get multiples of the same coin, then I'll sell some just to get money to get more coins).

I guess my question to you all is two fold. First, are you in it for the love of the hobby, or the investment? Secondly, Could the Coin Collection community be categorized like an old fashioned kingdom where only the "upper class" collect the high end graded coins.... while the peasants collect the lower grade / damaged coins? I know that sounds harsh... I don't mean it to be. Sounds better in my head really! lol

 

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I've never looked at coins as an investment, so I'm a collector.

 

Numismatics is a POOR place to think "investment".
One possible exception is high-end coins (6 figures and up).
I don't have that kind of money.
I collect because I like the challenge of completing something that may be a bit difficult.
And the fact that there's value in coins that I could get back (at least in part) if I decide to sell.

But as an investment, nope.
EXAMPLE: Back in the 70's I bought an 1893-S Morgan that later graded G-6.
It cost me $750.
I got $1900 for it last month.
Woo Woo!!!
$1150 profit!!!
Nope.
Run those figures through an inflation calculator and see what happens.
When I did that I basically broke even (at least I didn't lose).

For coin collecting, think fun, pleasure and satisfaction.

 

in it for the love of the hobby

I collect early coins so i'm ok with lower to mid grade coins.

unfortunately I don't get to play with the real high end coins like some do.

 

Collector, not an investor. Love the history surrounding what I collect which is probably why I enjoy collecting and researching counterstamped coins. It's a bit of history on each piece, but a challenge finding out what the stamp is "saying" to me. love every minute of it though.

Bruce

 

I'm like you, BC, I collect for the enjoyment of collecting. I really could care less about future value of any coin I purchase. However, I don't think its fair to say the ungraded, lower state coins are peasant coins. Some of the finest collections ever assembled by the wealthiest of people have been ungraded with many, many low grade pieces. You have to look no further than the largest single collection of Large cent varieties ever assembles, the Holmes collection, to see what I mean. Those coins were not graded until sold at auction by the auction house, and I'm sure nearly all are back out of their shells now...I know mine are.

 

Just because someone collects high end certified coins doesn't mean they enjoy the history or mystery of coins any less. Many people I know have no intention of selling their collection, and don't think of their coins as an investment. People collect what they like, and for you it may be Large cents by date in a condition you are comfortable. For others it may be Gem mint state Bust Dollars, and if they are going to drop a huge chunk of money, they want to make sure they are buying coins that warrant the price.

 

Good morning Boston and welcome to the forums. Your questions and observations are not new but you put a nice spin on things when you write in your last paragraph,

. As with any hobby, the people who have the bucks are going to be able to outperform the more humble folks but that by no means diminishes the collecting endeavor of the more 'common' folk. High end graded coins are, in most cases, out of my reach but the collector in me is not striving for that. I'm a simple guy with simple tastes and it's the simple things that make me happy. If I can pick up a coin that I'm after in a nice '64 grade, and save myself a few bucks because the '66 graded example was through the roof, I'm happy indeed. There will always be a person out there with more money and a bigger (so called better [eye appealing]) collection but I don't care, and neither should you. In your post you sound like the sort of person who is grounded and well set for their purpose in collecting. You've set forth rules and parameters for your endeavor that you can live with. Stick to them.

 

Me I'm an asthetic lover I love the designs of the early coins and love the eye appeal of them in high grade unfortunately my checkbook doesn't allow me to collect those so I strive to buy the best coin for eye appeal I can afford I have both certified and uncertified the certified coins are the way I can buy them with confidence without examining them personally and I will accept some problems depending on the coin a light cleaning or some environment damage on an early copper I can live with I collect many things (not just coins) and many series of coins so it spreads me thin sometimes but it allows me to pick up something great for one series when something else isn't available basically I colellect because I love it also being a dealer of antiques (and occasionally coins) I still have themercenary side of me I like to be able to turn a profit or at least break even I look at my coins and my other collections as an investment I can enjoy or possibly my retirement is far more appealing to me to have a coin that you can hold in your hand and enjoy as a piece of art or a painting on my wall than money in the bank or the stock market also if the world goes down the drain gold and silver will be worth a lot more than paper could be traded for food ammo etc perhaps

 

I agree wholeheartedly I'm a middle class guy who collects middle class coins and started out at the bottom both in life and as a coin collector unless I win the powerball or find something incredible I make a fortune on I will never be able to collect at the top and that's fine with me I'm a blue collar type who drives a pickup and prefers bud to fine wine even tho I do like a few nice things

 

I live in Manhattan, the economy here is a lot different than other places in the US. For the past decade I have been spending my money on bottle service at 4 am at the hottest clubs, dining out for every meal, and basically spend money like water. Then I bumped into a nice girl, and one day when I bought her an ice cream cone, and in my change was a circulated 1948 S quarter. I thought it was really neat, so I went online and bought one that was MS. Then I got a Whitman book, and completed the series in MS, and things snowballed from there. The way I see it, coins are beautiful, and hold some value over fiat. They may not be great ROI, but whatever return I get will be better than the $400 bottle I bought some girl I can't recall her name now. Besides I have fallen hard for coins, I enjoy them raw and graded, old and new. I doubt I will ever sell anything, and will probably pass them along to my kids or whatever. it is a hobby I enjoy, and I believe it is a better investment than not investing in anything at all, which was my former path. And now that I have filled up a safety deposit box, my attention turned to how my 401K is doing, and asking questions about other forms of investing that I never would have asked myself before I bought (my wife now) that ice cream cone.

 

Great story Evan and what a difference in worlds we all live in and the coins bring us all together me I've never had a $400 bottle of wine in my life nor do I care to you live in manhattan I live out in the country in Maine and am about to spend most of the day running a chainsaw and the best part of it is were both happy with our lives the way they are

 

Wow! Not a single bit of punctuation. Impressive.

 

peasant here... im in my 50's an my dad started me collecting yearly mint an proof sets from the mint when in my teens, and for many many years since then my only source for collecting was pocket change, friends an family or the us mint, only once in my life have i paid more than $70 for a single coin, an that was 4 - 1oz gold coins from mint in late 70's i believe, then in 80's needed quick cash an sold off almost every thing i had worth more than 10 bucks, including my gold coins, something i still regret to this day (got top dollar for my gold at $490 an oz.), i,ve recently retired and have purchased more coins in past two years than i have my entire life, but since im on a fixed income i have a very low budget, luckily since i mostly enjoy lincoln cents and jefferson nickels, i can still "search pocket change" thru roll hunting (its still other peoples pocket change after all), for i do enjoy the thrill of finding a raw coin be it a higher grade wheaty or old jefferson, error, variety or oddity, whatever, and the only reason i purchase coins now is to have an hold something i've never had before, take my avatar for instance, before the 90's i didnt even know three cent pieces existed, so now (thanks to internet) i can own a few pieces, and ive also been investing in silver coins and rounds, but i will never sell anything again, everything ive collected an purchased is sort of an ivestment, but not for me as it will all go to my son one day and maybe one day to a grandchild (unless my son needs to sell everything which would be fine with me as long as im not around) so to end this ramble i'll just say that i collect partly as an investment for my kid, (purchased items), and partly for the excitment an thrill of finding a raw gem, no matter the condition....

 

I do collect higher end coins and cull coins for my coin shop but I am always a collector first.

 

I try to acquire the best examples that I can for Alexandrian tetradrachms.

Why? Because I enjoy actually reading the legends, and having clear devices, With most of them, flaws (like being stuck with some of the legends of the flan) are pretty common on lower grade examples.

 

Boston, my attitude is close to yours. I'm frankly more interested in history than in collecting per se, so I'm drawn to coins the way people actually saw and used them in the past, warts and all.

All the same, I don't think the "collector" mentality is necessarily opposed to the historical one. Behind all the hand-wringing over grades, I'd say there's a basic instinct to conserve high-quality remnants of the past for future generations. Among other motives, of course...

 

Why would you not do this, if you felt you'd be happier with the result? Surely anyone with a non-infinite collecting budget has to decide on a balance between quantity and quality.

 

I would argue that the collectors of high end coins are MORE into the history and preservation than most collectors. The chances of early coins surviving in high grade are astounding against all the hands they've seen and years gone past. That to me is fascinating that you can still find 179? or 180? coins in perfect shape. Survivability on these things are a feat all by itself.

To own a early, rare, or super high end coin is more about the ability to preserve that piece as-is and ensure its as precious tomorrow as it is today for the future collectors.

So in essence I see a lot of those collectors as protectors of the past and the future of these items.

But I also understand the collector/investor or buys high grade fairly common gold or silver for investment purposes.

I just like to collect (for now) and could very easily see myself as a steward of ensuring the integrity of these rare pieces for future generations to enjoy.