The Joy of Collecting Coin as a Hobby and Investment
Learn Coin Collecting
Coin Collecting as Hobby and Investment
Collecting coin is such an interesting, fascinating and can be a rewarding hobby. Unlike other hobbies like fish rearing or flying miniature aero-plane which have diminishing returns, coin collecting not only provides aesthetic pleasure but also enables you the collector to recoup capital invested. More often than not, there is an appreciation in value of your coins that you collected.
The art of coin collecting is called numismatic. If you collect coin, then you are called a numismatist. A numismatist besides collecting coins, also have some scientific knowledge of coins and even medals. If you are a coin specialist, then you know the ins and outs of coins issued by the emperors, conquerors (of ancient world), kings, queens and government. You will be known as a coin collector if you collect coins either for pleasure or for investment.
The Beautiful Side of a Coin
Just imagine this that a coin of a foreign country seems to have the power to carry you there - not bodily of course. And the knowledge that the coin in your hand had passed from hand to hand in another land, do give you a feeling of close contact. It is amazing to note that coins can do what no ship, aircraft or rocket can do to transport you back through time. You will experience the thrill when you actually look at your coin and realize that it served many people of either of a distant land or day before. Just like the local coins in your pocket which are serving you now.
The Coin Hunter
The Joy in the Hunt
Then there will be the excitement of the hunt. Acquiring an elusive item that you had searched for a long time or managed to identify an unfamiliar coin will give you a sense of joy and accomplishment that is hard to match.
Besides the fun of acquiring coins and the lure of history and distance that they represent, coins are attractive and a masterpiece in itself. They are often beautiful miniature works of art.
What Coin to Collect?
One of the first thing a potential collector wants to know is which type of coins are wise purchases and what profit or loss he can expect on his investment. He also needs to have some knowledge on where to look for the coins. However, most collectors will feel the joy and pleasure of owning just a collection of moderately priced coin or an unusual coin that he found during hunting.
Coin Market Value
Every coin (whether old or new ones) has a market value. Normally it is the price that coin dealers are currently charging for it or by referring to coin catalogues. The price is also determined by supply and demand. It is the available quantity of a coin and the number of collectors and the degree of interest collectors have in wanting to own it. The price will be moderate if there are enough coins to go around. On the other hand, price will go up quickly if a limited number of coins have to be divided among many collectors!
In the eyes of a non-collector, the age of a coin is usually a prime factor in determining value. This is true to some extent, but is not necessary so. Another non-collector may also say that is the rarity (the number of pieces struck during the year of issue) of the coin which is also partially true. Low mintage alone, however, is not enough to make a coin more valuable. A coin may be scarce, but if there is little or no demand for it, then it will not be valuable. The coin trade has other standards besides rarity and age in assessing coin values. Another key element is the physical state of a coin or its condition. The value of a given coin is really a complex thing, but is surely is interesting!
Coin Collecting For Fun and Profit
Coin as an Investment
You as a collector, should also realize that the “law” of supply and demand can actually be working for you. The supply of most coins is constantly decreasing as more and more coins go into collections, and the demand is building up as more and more people take up this hobby. As population grows and increasing leisure time available – both are also factors that should assure ever more collectors.
A collector may very likely find that after he has held on to a coin for a few years, its price may double-up his original purchase price. Thus coin collecting is one of the few hobbies that one can enjoy over the years and still stand the opportunity to make a profit. Profits will be especially likely if you concentrate on coins that are readily available now, but are likely to gain more and more popularity with the passage of time. You as a collector need to keep your ear and eyes open. You can join in forum or your local Numismatic Clubs or Societies. This may be an investment that you can probably add to your investment portfolios.
Coins of the World
Beware of the Addiction!
Once you become an addicted coin collector like me, you will spend hours of time searching for more coins, arranging and learning about coins that you already have in possession.
Whether they are old coins or new ones, each coin has an attraction that most of us will find hard to resist and you will then want to collect them! You are even willing to pay a premium price for your most sought after coins. Be prepared to find yourself falling in love with your coins!
Happy coin hunting and collecting!