What is the Probability Coins Will Pay Off?
There are only two sure things in this world, and coins can not be considered either "Death or Taxes". Having said that I will say that I believe in Rare Coins. For the last 30 years a select group of coins have outperformed gold, stocks, bonds and the Dow. What does a select group of coins mean? We believe it means the rarest and best coins that numismatics has to offer. I have included copies of charts showing the growth of the coin business. They are labeled "Key" date coins for a reason. This chart shows how real "Rare" coins perform. I have watched coins go up (and down) for years and a conservative strategy using only high grade, key date coins is the safest and most profitable way to approach Rare Coins.
What data do you have good and bad?
As I mentioned in the previous question I have charts (or numbers if you prefer) that show both the good and the bad of the coins business. Yes, there are times where you don't want to buy coins. Yes, there are times where you want to sell and stay away. Yes, there is volatility in the business. On the last point I made I might point out that without that volatility there is not as much opportunity to profit and then get back in. I would also like to say that this very volatility is why you also need a professional on your side to help with market timing. Unlike stocks or other traditional paper assets the coin business is a much smaller, more personal business. I hear things at coin shows, I learn of groups of coins coming on the market and when to stay away from certain ones (heard of Treasure coins-stay away--there are more coming). Our contacts make us very valuable to you.
What profit do you make from the transactions?
A company that does not make profit is captained by stupid people. We all have to live. The difference of course is in being fair and competitive. We charge, depending on the size of the transaction between 10 to 25% of the market wholesale price of whatever coin we are looking at. The larger the transaction the less the percentage obviously. This is somewhat like a mutual fund in that it is a one time charge and there is no cost to sell. A bid-ask system as it were. I would also take coins you wish to trade at their cost as long as you use them to pay for new purchases. The percentage we charge is in line (actually low) for the business and the trade opportunity is very generous. I am quite open about the commission and will disclose it if you wish.
What range of investments is feasible, and what are the consequent profit margins?
We have nearly Twenty Million Dollars of high quality Rare Coins at our disposal. With that kind of Inventory there is a lot to choose from. Being a very high end dealer I obviously tend to believe in bigger (read: rarer) coins and so I think $25,000 is a good round number to start with (do you prefer 50K?, 100K?, this is something I would need your input on). Actually as that number goes up and the coins become more unique the chance for profit grows. I promise to be more than competitive in the prices that I sell you the coins for. I think if you see the effort the company puts into your well being you will be impressed. We want you to make profits on your coins. I will guarantee nothing as to how much profit but the business has obviously grown in the last few years and has exploded in years past that. If you want to be a part of that excitement I suggest we start planning something now.
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