Why You Need To Buy and Sell Gold Coins (Part 4)

Top Investment Performance

Throughout history, many coin collections have produced substantial long-term profits for their owners. This is particularly true for coin collectors of this century. Indeed, Harold Bareford reportedly purchased a collection of U.S. gold coins for $13,832 in the early 1950s which was resold at auction in 1978 for $1.2 million. A more substantial collector, Louis Eliasberg, built a collection that cost about $300,000. In 1982, it brought $12.4 million at auction.

This investment performance has been well documented by sources as diverse as The Wall Street Journal, Consumer Reports and a host of industry periodicals and guidesheets. What these reports have shown is that carefully selected portfolios of rare coins have had a high rate of long-term appreciation.

Of course, past performance is no guarantee of future results and investments in rare coins do involve risk. While the market performance of different coins varies substantially and no representation can be made that an individual investor's portfolio will enjoy results similar to those that have been documented in the various independent reports and surveys, those reports and surveys illustrate the impressive returns that carefully selected rare U.S. coins can produce.

Tax Benefits

Capital gains on coins can only be taxed at liquidation, when the profits are actually realized. There is no taxation on phantom or undistributed profits as there are with some investments. And unlike most other investments, there is no federal income tax liability on so-called "wash sales" or like-kind exchanges which enable investors to trade their rare coins for other rare coins of equal or greater value

Intrinsic Value

Unlike paper investments, rare U.S. coins have real tangible value you can feel each time you hold one in your hand. Therefore, they offer two ways to build wealth. Carefully selected coins truly offer the best of bullion and numismatics in one investment. They contain the intrinsic security of bullion and can also offer extraordinary profit potential regardless of what precious metal spot prices do. Still, precious metal content is only a relatively small factor in determining the value of many rare U.S. coins whose value is almost solely based on condition, demand and rarity

Historically Significant Beauty

Rare U.S. coins are a part of our history--direct links to America's rich heritage--as timeless and valuable as history itself. For two centuries, U.S. coins have been symbols of American stability, as well as reflections of national pride. Throughout our nation's history, coins have spotlighted our national heroes, paid tribute to our great achievements and commemorated significant events. These truly historic works of art commemorate past sacrifices made in the name of freedom.

Rare U.S. coins acquaint investors with historical figures and events, no matter how far removed by time. The satisfaction of actually owning a piece of history from a bygone era makes investing in rare U.S. coins truly unique. Each coin has traveled a different path through history. As a result, each is a unique embodiment of the hopes and dreams of our founding fathers

Condition

The overwhelming majority of U.S. coins ever minted were circulated. Many coins were lost through attrition and others were damaged by use, thus eliminating any potential for numismatic value. The few surviving uncirculated coins are in a much more pristine condition.

Investment quality coins are primarily those coins rated in the 11 uncirculated grades, 60 and above, on the American Numismatic Association's 70 point grading scale. A coin's grade is a measure of its condition or state of preservation. The higher the grade, the better the condition.

Uncirculated coins fall into two broad categories: Proof (PF or PR) and Mint State (MS). Mint State coins were originally meant for circulation but never were circulated, so they remain in the same condition today as when they were minted. Proof coins were never meant for circulation, thus they received very careful handling and were specially struck at least twice on highly polished planchets.

The beauty of a coin can attract collectors as well as investors, and hence increase demand for a particular coin or set. This increased demand can result in rising values. Eye appeal is affected by several factors including the beauty of a coin's design, the minting process used, the fullness and sharpness of its strike, the toning, the brilliance of its luster and the amount of wear and number of blemishes on the coin's surface

Portfolios or Collections?

The age-old description of coin collecting as the "Hobby of Kings" is both accurate and misleading... accurate in conveying the outdated perception that coin collecting is restricted only to the very wealthy, misleading in that the number of collectors has steadily increased and has been estimated by the American Numismatic Association to include as many as 7-10 million coin buyers in the United States alone. Typically, the coin collector collects coins for their rarity and historical value. Collectors view their coins as rare art and as the tangible remnants of the cultural and economic forces that created them.

The investor begins from a different starting point--the fact that coins of proven rarity have shown remarkably high rates of appreciation. He sees the economic results of the pleasures of collecting and makes his original purchases with profits as his only motive.

However, we have found that the line between those of our clients that are collectors and those that are investors has become increasingly blurred. Collectors can't help but be pleased when coins that they sell bring an attractive profit. Investors begin to see their coins as works of art and become knowledgeable about the circumstances of their minting and the era in which they were circulated.

Both collector and investor come to realize that their intellectual curiosity, aesthetic sensibilities and enjoyment in our country's past can be used to create a collection that becomes an important store of value, a way to accumulate wealth that can be passed on to future generations--or used to fund their own retirements.

Steve is the ceo of cashgcards-goldlynks rare/gold coin club he was the best isp in 1997 check out his about us page at http://goldlynks.tripod.com this article is free for distribution you can sign up for a free email course on buying and selling rare/gold coins for profit by sending email to goldcoinsinfo@yahoo.com membership of the coins club is free to join at http://goldlynks.tripod.com

---

Uncle Sams Snake Oild

Uncle Sam and his band of merry-men, better known as... Read More

Retirement Planning the Offshore Way

Retirement Planning the Offshore Way Why do so many of... Read More

Top 10 Secrets of Getting Rich!

As many people have observed, "Success leaves clues." If you... Read More

Five Straight Steps to Opening an Offshore Bank Account

Despite what you may have read or heard, anyone is... Read More

Ben Franklin Didnt Quite Get it Right

When Ben Franklin said "a penny saved is a penny... Read More

Wealth And Your Net Worth

Most people know it's important to keep and organize all... Read More

Building Wealth: Its An Inside Job ? Part 1

Whenever we read about building wealth or even attend a... Read More

What Are Your Beliefs About Money and Wealth?

What is your attitude towards having wealth? Do you believe... Read More

Lesson 2 - The Commodity Of Kings!

What is "The Commodity of Kings""Power is simply "the ability... Read More

The One Important Secret of Making More Money Easily

If you're reading this article, it means you are a... Read More

10 Wisdom-Based Wealth-Building Strategies

"It's the business of your life?and you're the CEO!" Gala... Read More

Get Rich Slowly

Is it hard to get rich? If you're young, not... Read More

Endowments and Endowment Shortfalls - What You Need To Know

Endowments and endowment mortgages have received a lot of bad... Read More

The Secrets of World Money Flows and A Simple Way to Understand Them

You can learn the secrets of world monetary flow if... Read More

How To Be the Ultimate American Consumer

Feel like a lemming lately? Ready to follow the crowd... Read More

6 Proven Wealth Building Strategies

Building wealth is as simple as saving a little bit... Read More

Its High Time for Lifetime Savings Accounts

I'm constantly reading articles on the internet and in financial... Read More

You Deserve To Retire Early

The fact is that most people continue to work for... Read More

Russ Whitney - Building Wealth Through Real Estate

When Building Wealth by Russ Whitney was released a few... Read More

Top 7 Lucrative Paper Businesses You Can Run

Why not run a lucrative paper business? Paper businesses do... Read More

Personal Finance Rules to Building Wealth

Key 1 Pay your self firstkey 2 Saving is not... Read More

5 Easy Ways to Save and Build Wealth

1. Pay off high-cost debt. The best investment most borrowers... Read More

The Wealth Connection ? 2 Steps to Brighten Your Golden Years

Estimated Reading Time: 4 minutes -- Envision your life 10... Read More

Mastering Your Money

One of the things most of us have old ideas... Read More

Plan For Wealth

One very important wealth creating habit is to set up... Read More

Is Accumulating a $1,000,000 Net Worth Easy? Yes and NO

Is accumulating wealth as easy as following a 3-step plan?... Read More

Controversial Wealth Audit Reveals Over 90 Percent of Us Could End Up Working Forever...Are You One

Results from a new tool developed by UK based firm,... Read More

Finding Financial Freedom

Do you ever get this in your email box: Find... Read More

Profit from Your Own Information Empire!

Would you like to profit from your own information empire?... Read More

7 Wonders of the Offshore World

Many people assume that the offshore world is accessible only... Read More

Understanding the Three Different Types of Income

Part of learning to become financially free is to begin... Read More

Q and A: Financial Independence Tips For Women From Coni Cecil

As a woman Netpreneur, I sat down via e-mail with... Read More

WARNING: The Biggest Lie About Social Security

Like I said, If you are poor and on social... Read More