May be a bad idea, so I'm asking

Recently, I bought a 1986 proof ASE in the govt. packaging simply because I wanted to. I'm not a modern coin guy so I'm looking for some feedback from you guys.

What would be the pros and cons of buying a 1986 proof American Gold Eagle? Money isn't the issue -- and I'm not looking to do anything but put it in my collection and keeping it.

I'm pretty confident of my ability with classic US coinage, but for me, this is a horse of a different color.

Any thoughts you have would be appreciated. Please be frank with your analysis.

Thanks to all in advance!

 

Log in or Sign up to hide this ad.

I have owned a couple 86 ase' mine were MS though wish I could help.

 

All the 1 oz proof gold eagles seem to sell for about the same amount, so your downside risk is likely limited to however far gold decides to fall.

 

I have some raw AGEs but those are investment hedges. I'm looking at the proof as a collectable and not as an investment. My question is whether it is a wise collectable.

 

If you're not worried about the value dropping when the price of gold drops, then go for it. It'll never be worth less than the price of gold, but it probably won't ever be worth more.

If it gives you joy, go for it. Otherwise, don't.

 

Wise is all relative. After all, are you paying more than 1 cent for a Lincoln, or more than melt value for a Morgan?

Obviously gold has both potential upside and downside from here. As long as you are comfortable with the downside potential, and if you like the design and can afford it, then go for it.

 

I would think that only a 70 would be worth the money unless Pickin.
69 as low as 40$
Most 70 above 275$

 

I have several AGEs but no proofs. If you think it might be a good addition to your collection then go for it!

 

Another question: After 30 years, should one go for graded/slabbed. It occurs to me that the ones that haven't been graded by this time may have obvious problems.

 

I'd say anything is a wise collectible if you enjoy the aesthetics of the coin then by all means purchase it. If you like the coin and can get it for a good price go for it.

However, I think you're thinking more about selling it in the future for retirement or if you ever need extra money for surprise expenses. In this case I would say a proof age would hold up. They're based heavily on the Gold spot price which is trending upward right now.

With that said from a strategic financial position I'd advise that you wait to purchase the coin when gold drops back down to around $1000-$1100 an ounce again. When that happens, nobody knows. However, if you really want the coin then by all means purchase it. Then when it comes time for you to sell (if ever) wait it out for an increase in the gold spot price to get your money back and then some. Just remember to account inflation when you sell it

 

Pickin: I'm talking about the gold proof.

 

you don't have to have it slabbed. But you do need to store it properly. I'd recommend an airtite case for the coin this will prevent the gold from oxidizing and creating black spots on the coin.

 

I wouldn't worry about slabbed versus raw. Either buy in person or from someone with a return privilege.

 

I'm already retired, and God willing, I wouldn't need to sell it on down the line. Heirs, though, might want to. (Actually, if i get enough advance word of my demise I probably would sell my collection myself to save heirs the hassle and potential rip offs).

This is not a gotta-do-it now purchase. I can certainly wait on gold prices to decide what they want to do. From my perspective, they're in sort of a no-mans-land right now.

 

Yeah it's probably best to wait for the gold market to stabilize.

 

I can understand wanting such a coin but I say NO!
Here's why.....if by chance you are forced to sell,or your estate is......dealers are only going to pay bullion . I know a heck of lot of dealers. Most won't buy a graded 70 bullion coin unless it's a give away . When it comes to proofs they again turn their noses up. There are just some coins that yes maybe fun,or cool to own....but the down side is no resale value. I have had several myself proof gold,extremely low mintage's , coins graded 70's. At the end of the day to a dealer it's just gold,or silver they are not going to get their funds hung up in an item that may or may not sell . More then one has said it's only bullion to me,so I'm only offering spot.

 

I like what @Paddy54 wrote except I would buy it. I would try to find one as close to spot as I could. I see no downside to every buying a coin that fits your collection. This is a hobby not real estate so have fun! I'm opposed to slabs so I wouldn't look for a graded one, I would just shop from reputable dealers.

 

I would see it as any other coin in my collection. Something fun to own. If the price of gold were to go thru the roof, I might sell it and buy something classic. I might fall in love with it and never sell, just like any other coin.

 

I didn't know that there is a distinction between uncirculated and proof when it comes to collectability.

Chris

 

Buy one and enjoy it - as mentioned dealers tend to buy these at bullion prices so try to buy one with as small a premium as possible.