Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Rare Coins and other Coin Collecting topics.
You're tired of trying to predict what sectors will be hot. Buy oil. Don't buy oil. Buy tech. Steer clear of tech. Pharmaceuticals are cyclical. Buy retail stocks. Time to get back to the classic fundamentals. Youll invest in Biblical, Chinese and Medieval rare coins.
Some cautions before you abandon days of squinting at mutual fund figures for days of examining rare denarii. Rare coins can allow you to reap mucho dinero. They can also be tricky. Some rare coin road rules:
* The value of money isn't only the metal or paper, it's how readily accepted the money is. Very few places will accept a Byzantine rare coin with Justinian's picture if you're in a bind, whereas you can still sell an Australian Lunar coin or a Canadian Maple leaf for ready cash--it's all about liquidity.
* Antiquities dealers may be willing to pay a premium for, say, that Widow's Mite Biblical rare coin or that gold Byzantine coin--but check a rare coin value and price guide first.
* Ancient gold and silver rare coins are tied to today's modern metal values. While a collector may pay you for the ancient "worn" look of that Scottish rare coin from William Wallace's era, you still have to consult gold and silver indexes.
* All investments carry a degree of risk. Decide how much you can absorb.
* As CNBC's James J. Cramer says, "Diversification is the only free lunch." Devote only a small part of your investing efforts to rare coins.
It's a good idea to bank on blue chips and well-known investments. After all, everyone talks about Oracle, Intel, Black and Decker, Valero, and Microsoft, but no one ever says, "What are rare Celtic coins doing today?"
|Sheri Ann Richerson|