Buy Low and sell High
This is easier said than done. What goes on is collectors and investors wait till the market is moving up and then decide to buy at high prices.
We all like a sale but why do we not buy silver and gold coins when the price is low?
For the past 10 years coins have been for sale but not many have continued to get rare coins to add to their portfolios.
Now that gold and silver prices are at higher levels and we see and hear about any of it on the news and financial shows, we wonder if we should be buying.
Yes and no... Yes we have to be buying and no we ought to not be buying.
A contradiction...yes.
Buy because you want to increase our investments and collections.
Don't just buy as the price is rising and we may make a profit.
What do we buy?
The most collected coins in the USA are: in silver:
Copper pennies, all Barber coins, Buffalo nickels, and the new nickel series, Mercury dimes, the New Quarters, All silver quarters, Silver Half Dollars, Walking Liberties and Franklins. Kennedy Half Dollars and Morgan and Peace Silver Dollars.
Collected in gold.
St. Gaudens double eagle... $20.00 gold coin All gold Indian coins Liberty gold coins. Libra . Gold Pandas. This is a bullion coin but posesses collector premium. All the above coins trade at reduced to the gold price.
Why is a coin valuable? The main thing that makes a coin valuable is supply and demand. Plenty of demand for a coin increases the price. It does not ensure it is rare. There can be low demand for a coin but it will have a high price. This can Happen for reasons such as, low quantity of coins. Low silver or gold prices.
High value rarities trade by themselves merits. They're wanted by very wealthy Individuals and will command very high prices. TV and internet auctions can also cause price levels to rise.
Many reasonably priced coins trade at or near the metals value. So if the metal price is rising so will the coins of the type. As more rare coin collectors try to get a coin the worthiness can also rise in cost. Most often the rare coin collector who collected for enjoyment were left with a valuable collection of coins. The profit was secondary to profit. In the event you collect your rare coins for fun and enjoyment you may find you have a profit when you go to sell your rare coin collection.
Rare gold and silver coins are a longterm investment.. About 5 to twenty years is best for profit. Silver and gold bullion can be purchased in coin or bar form. By buying low and selling high you can make a good profit However you will find your best profits result from buying nice gold and silver rare coins.
Learn about the coins you plan to collect. This will give you an advantage and know once you see a good buy. |