Message:

<p>[QUOTE=&quot;medoraman, post: 8307014, member: 26302&quot;]I love you man, but be careful with this rationale. This is what dealers want you to think. They want you to equate investing with coin collecting. Well, let&#039;s look at a common coin purchase, (best case):</p><p><br /></p><p>1. Buy at auction, pay 20% commission but you know what you are doing, so net you pay market price or a little under.</p><p>2. Hold said asset for years/decades with no current income. In fact, it COSTS you money every year because whether you rent SDB, buy insurance, or self insure, you care taking a risk someone can steal it from you. This has an economic costs, even if you bear it yourself and do not write a check.</p><p>3. You sell. Best case at auction and only take a 20% haircut if it sells well. Maybe you made some profit. But wait, now the tax man comes and wants 28% of said &quot;profit&quot; even though when you paid for it those dollars were more valuable than today&#039;s dollars, so you are really being taxed on inflation to a large extent.</p><p><br /></p><p>Sure, you enjoy owning it in the meantime, but those are the cold hard facts of this &quot;investment&quot;.</p><p><br /></p><p>Myself, its my hobby. My avatar I paid more than a few pennies for, (same name as my daughter), but I only spent &quot;hobby money&quot;, the same money I would lose if I gambled, drank at clubs, was into race cars, boats, etc. Money I can afford to lose and never see again. Sure, the kids might get a check when I am gone and they don&#039;t want them, but I don&#039;t sell so I will never see that money again. I simply believe its safer to have this mindset than &quot;store of value&quot; because of the negatives I talked about earlier unless its intentionally part of a portfolio, like 5 or 10% in gold to offset other risks. My wife asks me what my coins might be worth, what I paid for them, etc. I honestly, put a gun to my head, have no clue. I remember SOME coins I have bought, but not most, let alone have an idea of what they are all worth today.</p><p><br /></p><p>Of course, this is dependent upon your income as well. I am lucky that $1000 for a random purchase or a few thousand for a special coin will not affect my lifestyle any longer. Others have larger budgets, others smaller, your &quot;coin money&quot; budget will vary. </p><p><br /></p><p>Just my opinion sir. I walk around coin shows and here &quot;investment&quot; and &quot;store of value&quot; from about every dealer when discussing pricier coins. Way too much money that should be invested is used to buy coins due to such talk. Now, if you are in a position to afford it, and its your hobby money, have fun. I never tell another man or woman how to spend their hobby money, its their money, their relaxation, their right to do as they wish. If your family is taken care of, and you have set aside appropriate amounts of retirement money, do what you like. I just like to remind people of this game dealers try to get you to play that its an &quot;investment&quot;. If it is, its one of the worst ones in the world, (better than drinking or many other hobbies, but still),[/QUOTE]</p><p><br /></p>

Your name or email address:

Do you already have an account?

• No, create an account now.
• Yes, my password is:
• Forgot your password?

Stay logged in