Invest in Old Coins
Old and rare coins fascinate everyone despite one's age. Such coins depict the history and era of old times. People usually collect coins either as a hobby or to gift their children or grandchildren. One who receives such coins feels great value for the century old coins and preserves that great collection. Many people actually do not know that these old coins can be used as an investment instrument which can give very good returns as compared to other regular form of investments.
Though, it is a good investment tool, but as with every investment, you must have some reason behind every investment. If you want to invest in coins for short term, you may not get good returns. Investment in coins is generally considered for very long term, as value and rarity of coins increases as time progresses. For mid-term investment, you need to shell out large sum of money to buy rare coins from reputed coin or bullion dealer. Before shelling out your hard earned money, do some research and find out the real value of the coin and its future appreciation prospects.
You should not expect a regular coin to double its value in few years; the value of these coins will only appreciate when they become rare and it will not be easy to find them in the market. For regular coins, it will take at least 50 years to get some appreciation, but if you can get some un-circulated coins or those circulated for only a brief time, then the value of such coins can be appreciated within few years.
How the value of regular coins appreciate
You may also buy common circulation coins for their intrinsic metal value. Even if the coin may be circulated in the market, the value of coin may also increase with the appreciation of metal rates. So, old coins will be of more value than those present in the current market. You can start collecting coins that are 20-30 years old and as the time will progress, their value will also increase. Regular coin collection can be of significant value for your children or grandchildren, as by that time those coins will be rare for that generation.
Coins which does not have significant collectible value may be melted down or distributed as bullion for commercial purposes. Typically, you can even purchase coins that are composed of rare or precious metals, or coins that have a high purity of a specific metal, such as nickel or silver. You can also join some local coin clubs to learn more about which coins make good investments. The value of an old coin also depends on the condition; it does not require to have a sparkling new look, but the coin should not be cracked, chipped nor have its details worn off.
To make a good and worthy portfolio, you can invest some money in rare coins time-to-time. Buy them from the dealers or exhibitions and create a robust portfolio of significant value which will have the potential to beat inflation and give you great returns. But always remember not to put all eggs in one basket; it is just one of the way to diversify your investment portfolio or to invest for your next generation.
Other Hobbies that can also make Money
- Stamp Collection
- Invest in Wine
Standard Investment Options
Investment Options - Options to invest money
Hobbies - A Type of Investment
Make Money from Hobbies - Money Making Hobbies
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