A Mercenary's Guide To The Rare Coin Market

Shoedog

Has anyone read this?

I picked it up a a used book store and enjoyed the content.His biggest message was to not bother with anything that graded less than MS65 for most issues(Barbers,Seated ect)

This won't change my strategy much as I collect Half Cents and alot of them don't even exist in MS65

As this was written as an unabashed investment guide I thougth I would see how well I would have done following the advice contained in it.The book was well written and informative and I figured that with this great insider advice you would have done (financially) well.For those of you who don't know it was written by David Hall.

Prices used in the book were from Coin Dealer Newsletter May 30 1986.Prices were MS65 coins.
Current prices were from my most current CDN early 06 (as I said earlier I collect half cents and on most of the nice stuff Greysheet is a fantasy so I don't subscribe) but I don't think things have changed That much for these issues.If I am off base on someone please chime in.

Morgans
1921 s
book buy price 1450
06CDN Ask 750

1887
book 750
06 ask 190

1884
book 1125
06CDN 205

Generic Walkers In 65
Book450
06 CDN ask 165

Generic Barber Dimes in 65
Book 1800
06 CDN ask565

Generic Barber Quarters
Book 3000
06 CDN ask1050

Generic Barber Halfs
Book 5000
06 CDN ask 3030

As you can see the "Rare Coin Investor" would have gotton killed.Don't get me wrong some of the picks were good and would have made money even after transaction cost but that is not my point.My point is the question,
are some of these issues really UNDERVALUED right now?

As I was not collecting in1986 can anyone explain what happened to prices during this time frame?


I would love to hear comments from members who were collecting then also how this sits with new collectors.

I found it quite sobering.

Best Regards,
Shoedog

Baley

Longacre

Here is the official Longacre Review: Review

Mowgli

Thanks for the analysis. I was collecting coins in 1987 and am very glad I didn't read this book.

cladking

It should be noted that a large minority of the coins that
were considered MS-65 in 1986 would be MS-66 or 67 to-
day. A few of these would have bailed people out of a lot
of mistakes.

Most of these coins didn't peak until '89 and if sold at that
time would have been quite profitable.

roadrunner

If those coins were bought right in 1986, they would have made good money for their owners if they sold in 1989/1990. It was not unusual for coins to double, triple or even quadruple in that 4 year stretch. If you hung on to them after 1990, then you were subjected to market cycles. A MS65 type coin slabbed in 1986 was a killer of a coin. 95% of today's MS65 bears NO resemblance to those coins. About the highest grade given out in 1986 was a MS66. It was very unusual to get a type coin graded MS67 in those first 2 years of operation. I had a bunch of hand picked seated gems out of major auctions and I recall only a couple of my coins getting graded MS66.

roadrunner

Russ

I love that book cover.

Russ, NCNE

kieferscoins

Is the female on the cover BJ?

Cameron Kiefer

BigRed

I bought the book and read it from cover to cover. I still have it. I didn't buy any of the recommended coins though as I had 3 small mouths to feed at the time.

Coxe

Yeah, I bought back then too and enjoyed quite a bit of it.

As for the cover photo, I think the two others are the two in the book's dedication, one of them being BJ. HRH could say for sure.

Longacre

Who is BJ?

Coxe

<< <i>Who is BJ? >>



BJ Searles. She manages the PCGS registry program. (There is also apparently a college basketball player with the same name.)

Baley

I've got the book open in front of me... not seeing any "Rare" coins except the proof [classic] gold

the first part sells the idea that "condition is everything" as in "common coins in uncomonly high condition" are rare and desireable

the series by series, issue by issue treatment contains lots of information about relative scarcity of dates

the prices seem whack and the predictions are double whacky

Again, no info on real old and rare US coins, no flowing nor bust nor even seated...

edit: Ooops, the early stuff is discussed in a couple paragraphs at the end of the book: recommend to sell ALL pre-1807 graded below MS64

Connecticoin

<< <i>Is the female on the cover BJ?

Cameron Kiefer >>



I bet it is. Resembles the picture of her in the PCGS magazine.

fc

so the same advice but with market grading thrown in is:

do not buy any coin graded less then MS67 ;-)

my my my.

i also have a hard time understanding that advice when you consider
many dates when it comes to half eagles do not exist in 67 or 65 or
even lower. try 55-58.