The economy does seem to be improving, but not as fast as most of would like. The Federal Reserve is still keeping interest rates artificially low meaning trying to make money from CDs, savings accounts or money market accounts is futile. The conventional wisdom is you must invest in stocks if you want to get ahead. Certainly, many have profited from stocks, however others lost a bundle when the Great Recession hit. If you intend to invest in stocks you must protect your investments with precious metals, like gold and silver bullion coins and by investing in rare silver coins.
According to streetdirectory.com you should buy low and sell high. This certainly sounds like sound advice. The problem is many collectors and investors wait for the stock market to sink, and then buy gold and silver when it is high. This occurs because when stocks dip precious metals typically respond by going up. If you want to protect your risk paper investments you should consider buying gold and silver bullion now, because gold and silver bullion coins can be bought at a discount.
In addition, you should seriously consider diversifying further into rare coins, such as St. Gaudens double eagle and Liberty coins. This allows you to protect your paper stock investments even more because rare coins offer the metal protection of bullion and the premium offered by the coin collector market. Keep in mind, it is the rareness and historical worth rare coins have that gives them significant worth. In other words, rare coins can protect your assets because most contain gold and silver, and the potential for big profits is realized because of coin collector demand.
High valued rare coins trade on their own merits and can be sold for enormous sums to the very rich, while low demand coins sell at or near their precious metal worth. Coveted rare coins have sold at auction for thousands of dollars. If you know rare coins the potential for great profits exists, because hot coins can appreciate in value very fast.
Financial Hub states rare coins offer a premium over bullion coins. This is because the value of rare coins is determined by supply and coin collector demand. Bullion coins do offer an excellent hedge against inflation. However, rare coins tend to appreciate in value despite a sour economy. Smart investors interested in rare coins should hunt for pre-1933 rare gold coins. This was the year gold coins ceased to be currency, and many gold coins were melted down. Those that survived are now rare and offer considerable worth to those who hold them. The supply of pre-1933 gold coins is shrinking, yet demand remains high.
Investing in rare coins for profit does take some work, especially when just starting out. It is advised you stick with United States rare coins and learn all you can. Vintage coins that offer an interesting heritage and have a story to tell are in demand by collectors. In addition, many collectors and investors have been attracted to the Internet to buy and sell coins. After all, an Internet dealer makes the process easy and it is a convenient way to buy or sell. However, not all dealers are created equal. Conduct research on the dealer before you invest, because on the Internet reputation is everything. Once you find the right dealer they can easily search the globe for any rare coin you desire, and can help you keep abreast on current trends. This insight can be valuable and increase profits because you will know the right time to buy, and sell.
