I know this is a question that occasionally comes up when people invest their time and money into this hobby. It’s pretty straightforward, but not so simple. The hypothetical situation I’m proposing is that you have been putting money away for some time and now $10,000 to spend on a showpiece coin. Keep in mind this is coin money, not rent money, or retirement, etc. It’s simply money you’ve been patiently saving for a high end coin that you are proud of, and makes you excited every time you look at it. Now, you’re an intelligent man/woman and realize that coins fluctuate in value. Knowing that, you would like your centerpiece to retain, and if you’re lucky, even do well over the decades you are likely to have it. For the sake of this scenario, you’re putting your money into early American coinage, say pre-1814 (although this could vary). So, having said all of that, here is my core question: Is your money better placed on a coin with higher rarity (let’s say R.5 or above) in a pleasing lower grade, OR do you go with a lower rarity (R.1 or R.2) but superior grade? Example: 1794 common variety large cent in AU55BN condition versus 1794 very rare variety large cent in F15, or thereabouts. I know this is a question that has a bunch of “what if’s” and variables that people could focus on, but try to focus on the spirit of the question. =) So like those choose your own adventure books we read as kids, “What would you do?”
I enjoy high grade coins with lots of detail and luster, so I would have to go with the more common higher grade example.
I answered the poll before reading your post. For a few hundred dollars, I'd rather have a high grade coin with great details over a poor example of a rare coin. However, for $10k, I'd much rather have an American "classic" than just another example of a common date in BU.
I'd focus on a date which is represented almost exclusively by very ugly coins, and willingly pay a monster premium for one of the very few desirable specimens available in any collectible circulated grade . . . then you'll have a coin you like looking at, and a true rarity to offer up in the future. One coin that comes to mind is the 1829 Curl Base 2 Capped Bust Dime. Good luck! - Mike
For strictly investment purposes it would money best spent on a rare date in a popular series in the highest grade you can afford. High grade common coins will always be high grade common coins and the opportunity may not come again to acquire that key date coin for your collection.
One of the things I was thing about was that, although a coin may not have a high rarity because many were minted, if it's a collectable series, that coin may be extremely rare in say AU or MS grades. In other words, many people might own that R.1 variety, but only 10 people might own one at an AU+ level, which in itself, makes it rare. I realize that's not quite the same thing, but it's worthy of consideration.
I love MS coins so for my type set I go with the highest grade common date coin of the series . But I also love Draped Bust and Bust halves which I like from VF to AU . But for the poll I'll go with common higher grade MS coins . Though for series like Peace and Morgans , I wouldn't go with a 1922-26 as they're too common .
Me I buy for eye appeal but for a really rare coin I'd settle for a lower grade with really pleasing surfaces and appeal case in point I'm wanting a chain cent and am looking for a problem free g- vg example with nice detail and surface. For other more common dates I'll search for coins with great strike color and toning. My theory buy the best you can find or afford a great coin you'll never get tired of!
