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Poll: Are coins a hobby or investment?

RYKRYK Posts: 35,797 ✭✭✭✭✭
in U.S. Coin Forum
We had some discussion on the other thread whether purchasing rare coins should be considered a hobby or an investment. I think that they are probably somewhere in between, but to me, they are much closer to being a hobby than an investment. Of course, when the Federal government wants to add their consumption tax to coin purchases, I will change my tune. image
My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
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Comments

  • BaleyBaley Posts: 22,660 ✭✭✭✭✭
    Yes, it is. image

    Liberty: Parent of Science & Industry

  • RussRuss Posts: 48,514 ✭✭✭
    Hobby. Any investment upside that happens is just gravy.

    Russ, NCNE
    eBay consignment sales | | Collectibles from Resco CCC
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    Russ,

    Very well stated.


    image
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
  • ldhairldhair Posts: 7,232 ✭✭✭✭✭


    << <i>Hobby. Any investment upside that happens is just gravy.

    Russ, NCNE >>


    That's the way I look at it.image
    Larry

  • DennisHDennisH Posts: 13,991 ✭✭✭✭✭
    Not enough choices are given. My answer is BOTH.
    When in doubt, don't.
  • jonesyjonesy Posts: 5,031
    Where's both?? image

    I collect Lincoln Cents as a hobby. They will go to my niece. For her, they will be an investment.
  • dthigpendthigpen Posts: 3,932 ✭✭
    Neither. I use them as calibration weights.
    Mr. Thigpen

    Self Indulgence | Holey Coins | Flickr Photostream
  • ERER Posts: 7,345 ✭
    It 's a hobbynvestment.image
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    Sorry, guys. No split on this one. If it is 60% investment and 40% hobby, vote #2. If it is 50-50, use your alt id to vote one and your regular id to vote the other.
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
  • MrEurekaMrEureka Posts: 24,252 ✭✭✭✭✭
    Are Americans Republican or Democrats? No wiggle room.

    OK, guess we're Republicans.
    Andy Lustig

    Doggedly collecting coins of the Central American Republic.

    Visit the Society of US Pattern Collectors at USPatterns.com.
  • BarryBarry Posts: 10,100 ✭✭✭


    << <i>Hobby. Any investment upside that happens is just gravy.

    Russ, NCNE >>


    How come I almost always agree with Russ?

    It's a good hobby in that the money put in can be gotten out (for the most part). How many of us would spend what we do if we knew that coins depreciated 20% per year and after 5 years would be worth zero? As my interests change I sell the coins. Wish my wife had the same attitude about her jewelry image
  • relayerrelayer Posts: 10,570 ✭

    Yes
    image
    My posts viewed image times
    since 8/1/6
  • dthigpendthigpen Posts: 3,932 ✭✭


    << <i>Are Americans Republican or Democrats? No wiggle room.

    OK, guess we're Republicans. >>



    We're socialists, get it right.
    Mr. Thigpen

    Self Indulgence | Holey Coins | Flickr Photostream
  • RussRuss Posts: 48,514 ✭✭✭


    << <i>OK, guess we're Republicans. >>



    That would be the smarter choice, of course.

    Russ, NCNE
    eBay consignment sales | | Collectibles from Resco CCC
  • coinbufcoinbuf Posts: 11,289 ✭✭✭✭✭
    I voted investment simply because someday these coins will be passed on to my kids or sold and the proceeds distributed. Either way if I've bought smart thay should be worth close to, or a bit more than I've paid for them. Money spent on hobbies on the other hand; like golf and my R/C stuff; cannot be recouped. Those monies are spent purely for enjoyment of the moment.

    Chris
    My Lincoln Registry
    My Collection of Old Holders

    Never a slave to one plastic brand will I ever be.
  • ERER Posts: 7,345 ✭


    << <i>Are Americans Republican or Democrats? No wiggle room.

    OK, guess we're Republicans. >>


    We 're all the same, Republicrats, or Democans?image
  • gripgrip Posts: 9,962 ✭✭✭✭✭
    If I spend 20,000 on a coin,I look at it as an investment
    If I spend 100.00 dollars I look at it as a hobby.
    ........................
    Al
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭
    Polls like this are so unrealistic in that in the Morgans for example it doesn't take long to have a serious investment in your hobby unless you are willing to settle for a low grade crappy set of coins. If one buys wisely its not unrealistic to expect that the coins will increase in value.
    theknowitalltroll;
  • dthigpendthigpen Posts: 3,932 ✭✭


    << <i>Polls like this are so unrealistic in that in the Morgans for example it doesn't take long to have a serious investment in your hobby unless you are willing to settle for a low grade crappy set of coins. If one buys wisely its not unrealistic to expect that the coins will increase in value. >>



    It's not about whether they end up being a large monetary investment, it's the mentality he's polling.
    Mr. Thigpen

    Self Indulgence | Holey Coins | Flickr Photostream
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    Okay, I will restate the choices for the fence-sitters:

    When you consider purchasing a coin for your collection, is the first thing you say to yourself:
    1. "Cool coin!", if so, choose "hobby"
    2. "I am going to make money on this thing." if so, choose "investment"
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭
    I voted hobby.
    theknowitalltroll;
  • NumisMeNumisMe Posts: 841 ✭✭
    In my opinion, it is an investment, as I have no money in the bank and everything I get that doesn't go towards the bills, gets spent on coins, and some day, I will probably pass them on. image
    However, I feel it is a hobby, because I enjoy finding, buying, collecting, and trading them in my spare time.
    It is not a means of income, but a pleasurable pursuit. Therefore, it must be a hobby.
    But, if I started selling them and making a profit, Uncle Sam would call it a business....I'm so confused image
    So, what I'm trying to say is, YES! image


    I answed: Hobby.
  • StuartStuart Posts: 9,761 ✭✭✭✭✭
    For me numimatics is most of all an enjoyable social hobby.

    Stuart

    Collect 18th & 19th Century US Type Coins, Silver Dollars, $20 Gold Double Eagles and World Crowns & Talers with High Eye Appeal

    "Luck is what happens when Preparation meets Opportunity"
  • pharmerpharmer Posts: 8,355 ✭
    Definitely a hobby that I expect to make a profit on when/if sell time comes.
    Quis custodiet ipsos custodes?

    Apropos of the coin posse/aka caca: "The longer he spoke of his honor, the tighter I held to my purse."

    image
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭
    Both


    Tom

    Coin's for sale/trade.


    Tom Pilitowski
    US Rare Coin Investments
    800-624-1870

  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭
    Unless the market tanks I expect to make a profit if/when I sell.
    theknowitalltroll;
  • cdan12cdan12 Posts: 364
    Its a hobby,but I wouldn't buy a coin that I thought was a bad investment.
  • longtimecollectorlongtimecollector Posts: 2,368 ✭
    When I bought $20-$30 coins it was a hobby............

    When I buy 10K - 20K coins, it's an investment !!!!!!

    Sometimes, the $30 coins are more fun !!!!!!!!!
    Cam-Slam 2-6-04
    3 "DAMMIT BOYS"
    4 "YOU SUCKS"
    Numerous POTD (But NONE officially recognized)
    Seated Halves are my specialty !
    Seated Half set by date/mm COMPLETE !
    Seated Half set by WB# - 289 down / 31 to go !!!!!
    (1) "Smoebody smack him" from CornCobWipe !
    IN MEMORY OF THE CUOF image
  • LincolnCentManLincolnCentMan Posts: 5,347 ✭✭✭✭
    Both.

    It starts as a hobby. As it becomes more and more valueble, the investment side cant be ignored.

    David
    Lincolncentman Toned Lincolns
  • BAJJERFANBAJJERFAN Posts: 31,082 ✭✭✭✭✭
    Go back to Greg Hansen's coin price % increase prediction thread and see what sheet prices are like for an average set of Morgans. Looks like more investment than hobby to me.
    theknowitalltroll;
  • K6AZK6AZ Posts: 9,295 ✭
    You already know my take on it if you followed the other thread. Interesting results, but as I suspected, almost 3 to 1 in favor of being a hobby.
  • numobrinumobri Posts: 1,473 ✭✭✭

    WOW

    All of the above.

    Great answers.image

    I voted HOBBY.

    Brian
    NUMO
  • WondoWondo Posts: 2,916 ✭✭✭
    Investment.

    If I get any pleasure out of looking at my eeeeer....... beautiful.....are....historical..... little pieces of gold, well.....the....... Whip MEimage
    Wondo

  • BearBear Posts: 18,953 ✭✭✭
    The poll should have contained a third option, mentioning

    coin collecting as both an investment and a hobby. Depending on

    the person and the circumstances, it can prove to be any one of the

    three choices.
    There once was a place called
    Camelotimage
  • numobrinumobri Posts: 1,473 ✭✭✭

    Guess I should add,

    My hobby has been one h*ll of an investment.image

    Brian
    NUMO
  • ElcontadorElcontador Posts: 7,523 ✭✭✭✭✭
    Coins are an investment for those who can sell them at a far greater profit than they can earn in another occupation. For almost everyone else, they are a very enjoyable hobby.
    "Vou invadir o Nordeste,
    "Seu cabra da peste,
    "Sou Mangueira......."
  • morgannut2morgannut2 Posts: 4,293 ✭
    THE FUNDAMENTAL REASON I keep saying that coins must be seen as an INVESTMENT HEDGE and treated that way:


    I LIVE IN WAHINGTON D.C. AND I PAY 5.75% TAX ON MY COINS BOUGHT



    I DO NOT HAVE TO PAY 5.75% TAX ON ANY INVESTMENTS IN OUR NATION'S CAPTAL



    DO YOU WANT TO CALL YOUR COINS A HOBBY AND PAY 5.75%, OR "INVESTMENT BULLION: AND PAY 0%?


    THE CONGRESS CONTOLS WHAT HAPPENS IN D.C.---HOBBY TAX COMING SOON TO YOUR STATE!!!


    morgannut2
  • 1040taxman1040taxman Posts: 153 ✭✭✭
  • morgannut2morgannut2 Posts: 4,293 ✭
    image And I thought I was paranoid.image
    morgannut2
  • 1040taxman1040taxman Posts: 153 ✭✭✭
    You can actually treat it as both.If you can find some older Official U.S. Black Book Price Guides pick out some key date coins.Follow the prices for them about every 10 years.That should give you an indication of what they are as an investment.Do the same for common date coins and that should indicate the hobby aspect.
  • nwcsnwcs Posts: 13,386 ✭✭✭
    To me, hobby with investment overtones.
    Blog and Pics
  • LanLordLanLord Posts: 11,714 ✭✭✭✭✭
    A hobby with potential for investment capability.

    I figure all money I put into it is "spare money", I do my financial investing in a 401k and savings plans through direct deposit movements.

    When I buy a coin, it is for pure enjoyment, if it goes up in value, I'm all for it. But if not, I still love my collection.
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    When I buy a coin, it is for pure enjoyment, if it goes up in value, I'm all for it. But if not, I still love my collection.

    I would agree with that statement. image
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
  • LuvdawgsLuvdawgs Posts: 1,512 ✭


    << <i>When I buy a coin, it is for pure enjoyment, if it goes up in value, I'm all for it. But if not, I still love my collection.

    I would agree with that statement. image >>



    My exact sentiments. However, my husband always looks at my collection as an investment.
    image

    image
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    However, my husband always looks at my collection as an investment.

    So does my wife. It works better that way. image
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132
  • ziggy29ziggy29 Posts: 18,668 ✭✭✭
    First and foremost, it's a hobby, albeit one that has a pleasant characteristic of having a decent shot at price appreciation in the future. However, I don't see my coins as another "asset class" in my investment portfolio per se, along with my stocks and bonds and such.

    That we enjoy a hobby where price appreciation and making money are possible is a tremendous bonus...but at its core, it's something I do because I enjoy it, not because I'm looking at future resale values. I don't think collectors need to ignore the potential asset appreciation in rare coins, but for the ones who are collectors first and foremost, it's a secondary concern, and speculation leading to pricing bubbles is to be lamented, not embraced.

    While I enjoy seeing my coins rise in value, I also regret that many of the ones I want are, and have been, priced more or less out of my reach in the meantime. So as a hobbyist, it's regrettable even though I'm seeing the value of my collection rise.
  • GoYankeesGoYankees Posts: 1,025
    For me it's a hobby. I collect US coins for fun! I simply enjoy collecting them.

    OTOH, I don't want to collect junk and I want quality, so that when I pass on, my family will have something of liquid value. Heritage gave me an excellent book that showed me how organize my collection for this purpose.

    Ex-modern Collector.

    Photos of the 2006 Boston Massacre
  • NeptuneNeptune Posts: 2,221
    while coin collecting is a hobby to me, it does take a substantial investment to maintain, keep current, add on, etc., etc. which is why I chose investment. You have to invest in the hobby or you will no longer be a collector. Makes sense to me.

  • Ed62Ed62 Posts: 857 ✭✭
    When coin values are rising it is an investment.

    When coin values are declining it is a hobby.
    Ed
  • RYKRYK Posts: 35,797 ✭✭✭✭✭
    Do those of us who do not know how to make money in coins say it is a "hobby" as a defense mechanism/rationalization? image
    My Box of 20: https://pcgs.com/setregistry/collectors-showcase/box-20/ryks-gold-box-20/17132

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