Our company is based on the belief that our customers' needs are of the utmost importance. Our entire team is committed to meeting those needs. As a result, a high percentage of our business is from repeat customers and referrals.  Please, call us at 985-249-1697 with any questions or email us at integrity.llc@hotmail.com

We would welcome the opportunity to earn your trust and deliver you the best service in the industry.  In keeping with our desire to offer the best service out there, this page is intended to educate our clients on the critical strategies needed to succeed in this market.  Take the time to review the information here, as we believe its important that one invests in what one knows.  We know this market and we desire to help you know it also.

A Philosophy for investing in rare coins

Did you know that one of the first symbolic, political, and critical economic actions to announce the independence of the newly forming American Colonies was the coining of monies?  It is these historically significant symbols of the American story that you embrace when you invest in rare coins.  More than paper or a certificate, and more than a paper promise you hope to hand down to the next generation, these are investments with meaning, American virtue, history, and passion.  

This being so, the important question for each rare coin investor to ask is, "How do I go about this?" "How do I invest my hard earned money in this market?"  I am convinced, after a decade of handling portfolios of every size, that several critical principles must be embraced if one is to be successful in the rare coin market.  I have bought, sold, and traded coins for as little as several hundred dollars apiece and for as much as a few million dollars.  All along the way, the clients that have prospered the most are those that have embraced the principles I will share with you in the paragraphs ahead.  Regardless of your budget, if you will apply these principles, the percentages should fall heavily in your favor and the rewards could be quite winsome.  Let me also add that at this time, a very exciting time in the history of the market, these principles are more important than ever.  I will list the principles first and then break them down one at a time in the pages ahead.

1.  Quality over Quantity

This is the most critical principle an investor in rare coins can embrace.  Many investors come to the rare arena thinking they need to acquire as much bulk as possible.  Because most folks think of bullion when they think about gold they transfer the bulk mentality to the rare arena.  Somehow, they are persuaded that a truck load of lower priced coins is better than placing the same capital in a smaller number of truly rare coins.  This is not the case.  In reality, you are better off betting on rarity and not quantity.  Quality trumps quantity every time.  Why is this the case?  Think about it.  Rare gold investors are, by and large, not merely investors, they are collectors as well.  A collector's agenda is always focused around acquisition of the rarest coins possible.  This principle is true in any collectors market.  The rarest cars, books, pens, watches, art, and autos always draw the most enthusiasm and the most aggressive bidding.  These are the assets which appreciate most dramatically as well.  

So, in order to build the kind of portfolio in rarities that you desire, embrace the quality approach which puts you right where the action is in the market.  By focusing on quality you will be set up to take advantage of the buying fever when you sell off any prized specimens in the future.  Investor sentiment favors the big dollar coins because they are more rare.  Smart, able collector/investors would much rather chase an $8m 1933 $20 or a $4m 1913 V Nickel over against placing millions in less desirable bulk coinage.  Look to story, historical significance, allure, and investor fervor to find quality.  This principle is evident in the fine art market as well, as the sale of many a Picasso, Rembrandt, and Pollock will attest.  How often to you hear of such works losing value?  Again, you are always better off placing your wealth in one of these world class pieces over against many less valuable paintings.  This principle must be embraced regardless of your budget.  Put the wealth you have to invest in the most desirable assets.  Acquire the specimens which have the lowest populations, the greatest allure, and the biggest story.  Essentially, when you embrace this strategy, you are simply investing in those assets that others will compete for in the future.  

2.  The Blue Chip Factor

In the stock market blue chip assets are those stocks which have been around a long time and have a long term, proven history of return.  The rare coin market has its blue chips as well.  Blue chip rarities are those sectors of the coin market which have had a long history of proven return for investors and collectors.  If you are going to be effective, your strategy must include one or more of these sectors in the overall game plan.  A brief description of these sectors follows:

Key Date Gold--important dated coins.  These coins have smaller populations, stronger investment sentiment, are important historically for a time, period, event, and have strong performance over a 20 year period.  They are critical coins to collect especially for those building specific sets.

Early Date Gold and Silver--coins minted prior to 1838.  These coins are magic!  They are rich with early American history and the stories behind the founding of our country, its patriarchs, and the American ideals.  As such, because they are exceedingly rare (especially those dated before 1800), they are sought after by savvy investors and collectors.  These coins can be very tough to get and can trade in moments when they become available at auctions and on trading floors across the country.  Early Date collecting is a thrill and immensely popular.  The toning on the silver coins often has a magical quality that takes you back into American history in a tangible way.

Proof Gold--in a word, these coins are simply "stunning".  The aesthetic beauty of these coins is unequalled.  They are the pristine specimens in the market.  They were struck in low numbers with special technique and highly polished dies, and have a mirror-like appearance.  The matte finish coins are exceptionally beautiful as well.  In recent years these have been eaten up by Japanese investors/collectors.  Many seasoned investors collect only proof coinage, and amass wonderful sets.  They are mesmerizing to look at and the populations are miniscule.  In some cases only a handful or less exist.  

Civil War--can you say "history"?  Civil War coinage, like much Civil War collectibles is always desirable.  The coins capture that epic period in our American story.  Much of the coinage from the era was destroyed, of course, and so, there is not a great deal of this stuff.  Rarity and story make it desirable.  Acquiring specimens in great condition is rare and worth the effort and expense.  Due to the history, survivor rates, investor fervor and collector demand, this is a great niche to build a set around.

Gold Rush Coinage--it could be argued that the American West and the American Economy really got its start on the back of this great epic era in our saga.  From the fields of the Gold Rush grew the American spirit of adventure, enterprise, and entrepreneurship.  Due to the relatively low number of coins, the history, and the ability to build sets from this period, this is another very strong arena for collectors and investors.

Branch Mint Gold--coins minted at mints other than Philadelphia and Denver.  The coins to pursue in this category were minted in Dahlonega Ga, Charlotte NC, Carson City NV, San Francisco CA, and New Orleans La.  Fewer coins were minted at these mints and typically during shorter windows of time as they did not operate as long as the two main mints.  Many of the coins have been lost over time as well in wars and commerce.  Consequently, the rarity factor really favors these specimens and collectors enjoy them by category and mint mark.  Some of the rarest come from New Orleans, Charlotte, and Dahlonega.

Pedigree Coins--These are coins with an historically important lineage or story.  They have been owned by famous collectors over time and the provenance lends itself to their importance and desirability.  Owning a coin which was previously in the hands of an prominent collector is a huge bonus for collector and financial value.  How many investors can own a specimen once held by the King of Egypt of the King of Siam?  Some of the pedigrees to look for include: King Farouk, King of Siam, Eliasberg, Trompeter, Norweb, Garrett, Elrod, Reed, Pittman, and Bass.  Further, pedigree can help establish the authenticity of big dollar coins.  An investor considering a major six or seven figure trade will find great assurance from the evaluation of a coins' trading history and important lineage.  

Marquis Coins--this is the really exciting stuff!  These are the coins that you hear about on CNN and other major news sources.  These are the most aggressive blue chips in the market.  To own one of these important works is akin to owning a Picasso or Pollock.  This is where the big boys play...and pay!  This sector is not for the average investor and the returns are beyond average also.  In the rare coin market this is where the big thrills are experienced by those with big strong hands.  James F. Byrnes wrote, "Too many people are thinking of security instead of opportunity.  They seem more afraid of life than death".  If you want to really "live" in the coin market and you access to significant resources, this is the place to be.  This is where smart investors with resources abandon the bulk mentality in favor of the rewards of world-class coins.  Coin collecting is called the "Hobby of Kings" because of these coins.  In fact, many of these coins were once owned by the likes of a King, King Farouk, for example who owned a 1933 $20, the 1913 V Nickel, and the famous 1804 Dollar.  Being a part of this sector for some time has allowed me the privilege of seeing the benefits, both tangible and intangible.  

3.  Set Building

Every rare coin investor must have a clear and compelling strategy.  The most basic principle of any such strategy in this market is that of SET BUILDING.  This is the blueprint for every step of your investment/collecting path.  The Set established your next moves.  Whether it is a 14 coin U.S. Gold Set, a Silver Type Set, an Early Date Set, a set by Die Variety, Mint Mark, Denomination, Era, ... whatever it is, your set strategy is your map for success.  We can provide you with a full Set Building Sheet for your plan.  Set building is a key ingredient for prudent investors who wish to maximize value and for those who wish to leave a legacy. 

 

4.  Risk to Reward Ratios

Warren Buffett uses this formula as one of his key factors before making an investment decision.  If, after studying the lay of the land and the opportunity in front of him, he finds that reward outweighs risk, then he measures the potential reward against that risk and wagers accordingly.  He has stated that if your potential reward far outweighs the risk then you are justified in laying down a big bet.  At times, history has recorded, he has wagered as much as 40% of Berkshire's total holdings on one stock.  Successful coin investors know that when a rare opportunity appears and the potential reward is great, its time to get after it.  In the current economic global setting, its fairly clear, the flight from equities to a safe-haven is on.  This may be that time to do the risk to reward ration and go in big in the rare coin market.

5.  Seize the Moment when its there

Carpe Diem!  This is that simple but profound principle that motivates us to "seize the day!"  These coins are rare, ie. there are not many of them.  That being so, when you are following a plan, and when the opportunity arises to take the next step in that plan, ...Carpe Diem!  Don't wait around for another shot at the specimen you need for the portfolio.  Some coins, quite literally, come around once in a generation.  In the case of ultra rare coins you may only get one shot.  In other cases, if passed up once, you may pay more later.  The principle to keep in mind is simply this, "If you get a shot at the one you have been looking for...take it."  Rare assets, high demand, equals limited opportunity.  Moreover, when you have the opportunity to acquire a specimen at market or below market levels, do not hesitate.  There are not many "sale price" or "fire sale" moments in the rare market, so, if you see one get after it.