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<p>[QUOTE="cladking, post: 208636, member: 68"]This is a touchy subject for me because I don't want to sound like I'm advocating </p><p>investing in coins or that ANY particular coin constitutes a good investment. Even</p><p>if some coin were a good bet to increase it is sometimes difficult to be able to cap-</p><p>italize on it since they might be hard to find, store, or sell later. And I generally a-</p><p>gree with you that '76 proof sets might not be the best place for appreciation...</p><p><br /></p><p>...But, there are many millions of new collectors who may soon want an example</p><p>of these type coins. There are also many old timers who never set aside moderns</p><p>who could desire these. While the mintage is large one has to remember that it has</p><p>been whittled down by many years of attrition. There is not only the normal inexor-</p><p>ible attrition caused by fire, flood, and time but there have been collectors and deal-</p><p>ers destroying these sets and coins for other purposes. Some dealers destroy so</p><p>many sets that they've even had to make machines to do it. Lest someone point </p><p>out that the coins still exist it should be noted that they don't. These coins have </p><p>been extremely cheap which means that they are sold to people who don't value </p><p>them as they would an 1804 dollar. The coins get shoved into folders and then spent</p><p>if the collector tires of the set. </p><p><br /></p><p>This isn't to say the coins are scarce. Far from it. They are common and will, as you</p><p>say remain common for many decades. But this hardly means that the set must nec-</p><p>essarily remain a $7 set forever. Look at the '50-D nickel. This was a common coin </p><p>that was saved out of circulation nearly in its entirety yet it achieved a price of $150 </p><p>in todays money. If the '76 proof set did this it would sell for $900. </p><p><br /></p><p>When everyone quits laughing I'm not suggesting that this set will do this, merely </p><p>that there is precedent. There are more collectors today and it seems to just keep </p><p>growing. The '76 proof set can't really go to $900 in a vacuum because all of these</p><p>new collectors are not going to drop what they're doing and collect bicentennial coins</p><p>exclusively and they, in aggregate, don't have enough wealth to push the entire mar-</p><p>ket to these levels. </p><p><br /></p><p>I remember back in 1964 how everyone claimed that the '50-D price was justified be-</p><p>cause there would be a steady influx of new blood who would each desire a nice shiny</p><p> new '50-D. Sure it was ludicrous to believe the demand for this coin could exceed the </p><p>supply when the entire supply was safely sitting in safety deposit boxes and the demand</p><p>was coming from children who weren't even born yet. But these considerations don't ap-</p><p>ply to the '76 proof set. Most have been destroyed and relatively few have really set </p><p>aside. But the real difference is price. In 1964 dollars the '76 proof set is selling for a-</p><p>bout eighty five cents!!! </p><p><br /></p><p>While it may seem incomprehensible there will be many realignments of prices in the com-</p><p>ing decades. No one knows which will be the winners and losers because it depends on </p><p>the future actions of the newer collectors and collectors are notoriously difficult to predict.</p><p>One thing is certain and that is some coins will have dramatic price swings and this will apply</p><p>especially to some of the more recent coins. Before anyone decides to "invest" the rent </p><p>money they should understand that all price swings will not be upward.[/QUOTE]</p><p><br /></p>
[QUOTE="cladking, post: 208636, member: 68"]This is a touchy subject for me because I don't want to sound like I'm advocating investing in coins or that ANY particular coin constitutes a good investment. Even if some coin were a good bet to increase it is sometimes difficult to be able to cap- italize on it since they might be hard to find, store, or sell later. And I generally a- gree with you that '76 proof sets might not be the best place for appreciation... ...But, there are many millions of new collectors who may soon want an example of these type coins. There are also many old timers who never set aside moderns who could desire these. While the mintage is large one has to remember that it has been whittled down by many years of attrition. There is not only the normal inexor- ible attrition caused by fire, flood, and time but there have been collectors and deal- ers destroying these sets and coins for other purposes. Some dealers destroy so many sets that they've even had to make machines to do it. Lest someone point out that the coins still exist it should be noted that they don't. These coins have been extremely cheap which means that they are sold to people who don't value them as they would an 1804 dollar. The coins get shoved into folders and then spent if the collector tires of the set. This isn't to say the coins are scarce. Far from it. They are common and will, as you say remain common for many decades. But this hardly means that the set must nec- essarily remain a $7 set forever. Look at the '50-D nickel. This was a common coin that was saved out of circulation nearly in its entirety yet it achieved a price of $150 in todays money. If the '76 proof set did this it would sell for $900. When everyone quits laughing I'm not suggesting that this set will do this, merely that there is precedent. There are more collectors today and it seems to just keep growing. The '76 proof set can't really go to $900 in a vacuum because all of these new collectors are not going to drop what they're doing and collect bicentennial coins exclusively and they, in aggregate, don't have enough wealth to push the entire mar- ket to these levels. I remember back in 1964 how everyone claimed that the '50-D price was justified be- cause there would be a steady influx of new blood who would each desire a nice shiny new '50-D. Sure it was ludicrous to believe the demand for this coin could exceed the supply when the entire supply was safely sitting in safety deposit boxes and the demand was coming from children who weren't even born yet. But these considerations don't ap- ply to the '76 proof set. Most have been destroyed and relatively few have really set aside. But the real difference is price. In 1964 dollars the '76 proof set is selling for a- bout eighty five cents!!! While it may seem incomprehensible there will be many realignments of prices in the com- ing decades. No one knows which will be the winners and losers because it depends on the future actions of the newer collectors and collectors are notoriously difficult to predict. One thing is certain and that is some coins will have dramatic price swings and this will apply especially to some of the more recent coins. Before anyone decides to "invest" the rent money they should understand that all price swings will not be upward.[/QUOTE]
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