Learn and Discover - Precious Metals
Unique Stories, Beautiful Designs, Rarity, Value and Wealth Preservation
Most of what is produced today is designed to deteriorate and depreciate in value - manufactured with obsolescence in mind. Likewise, investing can be cold and impersonal- something you "own" is not tangible, but rather, nothing more than a digital transaction on the computer. Coin investing, on the other hand, is very much stll an 'analog' activity - one that you can sense is tangible, beautiful, and real the moment you hold them in your hand. That's the attraction to precious metals.
It's no wonder that so many people are drawn to collecting and investing in anything expected to appreciate over time. Coins offer collectors and investors an opportunity to own something that is not just something on the computer. Coins are physical, man-made works of art. It's been said that gold, in particular, is the only investment that, when sold, isn't immediately someone else's liability. For the patriotic, the person that chooses to own rare coins becomes a conservator of our country's history, one that gets to enjoy their historical and artistic value whenever they choose, just by opening their safe. In that way, people who invest in coins are the conservators of American history, and their own family's legacy.
Coins as currency have been hoarded for as long as they've been minted. But the idea of collecting coins for their artistic value didn't take hold until very late in the 13th century, mostly as a popular hobby for the upper class and royalty. It continued as a pastime of the wealthy through the 18th century. But that would change to reflect a rapidly expanding middle class and by the 19th century, the coin market had expanded to include foreign currencies.
In the last two centuries, coin collecting has emerged as one of the most popular pursuits in the world and, as such, is often referred to as the 'King of Hobbies'. But one need not be of royalty to pursue this noble pastime.
Coins can be seen as small windows into cultures and politics of the past. They are symbolic and valuable on many levels.
Those who collect them - Numismatists, or coin collectors - come from every walk of life. They are drawn to collecting coins for reasons as varied as they are – because coins are widely considered a good hedge against inflation, or because beyond their intrinsic value, coins possess historical and artistic value. Coins are easy to purchase and easy to sell, and collections can be started with a low budget. It can be a fulfilling pursuit for those with a competitive streak, as well.
Build your metals portfolio with diversification in mind
Coins can be purchased as bullion gold, silver or platinum American Eagles, each of which possesses special characteristics. Given that the prices for all three are independent of each other, investment in all three allows the positive performance of some to balance the negative performance of others. This is the diversification strategy in a nutshell, and it is at the core of what we advise our clients at IPM.
Investment in rare or unique coins is a wise next step for collectors and investors alike.
The potential return on rare coins makes them an obvious investment choice, but the benefits don’t end on the balance sheet. Rare coins offer the chance to act as curator of an important national treasure - a small piece of America's history.
Historically, collecting truly rare gold and silver coins was a luxury reserved for experts and wealthy investors who could afford the unbiased judgment of a third-party numismatist. The advent of standardized grading has changed all of that, and today coins are traded sight-unseen based on the certified grade assigned by organizations like PCGS (the Professional Coin Grading Service) or NGC (the Numismatic Guaranty Corporation).
Standardized coin grading has taken much of the guesswork out of choosing and assessing the investment potential of any given rare coin. The guarantee of either of the PCGS or the NGC frees the investor from the need to personally research a potential investment.
Remember, one of the most important decisions a collector or investor can make is the gold firm with which they do business. Before making any commitments to buy or sell, make sure the business is in good standing with the Better Business Bureau. Investors can save a lot of time and missteps by making use of a reputable gold firm's knowledge and experience.