Trading in rare coins has long been a secondary investment strategy for many people who wanted a way to increase cash value while not giving control of the investment over to others. Retirement accounts are all well and good, but they rely on others possessing and controlling the cash while it accrues. With coins, you can hang onto them at your home, and while you have to find willing buyers when you want to get cash, if one company won't buy the coins, you can go somewhere else.
Many new coin investors think that you have to have large coins, like those gold coins that can cost upwards of $1,000 per troy ounce. However, you can get gold, silver, and other precious metals in coin form in much smaller sizes. For new investors, those smaller sizes are a fantastic entry into the world of coin valuation and collection.
Smaller Values Are Easier to Buy and Sell
The typical gold coin in many people's minds is something like the 1-troy-ounce Canadian maple leaf, a fairly sizable coin that has a face value -- the value as if it were a regular coin -- at $50 Canadian dollars, but that is actually worth a lot more in scrap gold price. But if the price of gold is high, then if you want to buy the coin, you have to get over $1,000 together (and likely more) to buy one coin. If you want to sell the coin, you have to sell the whole thing. And you'd have to find someone who had that cash available.
If you buy a smaller coin, though, such as one that's one-fourth the size and weight, then you're dealing with finding only one-fourth of the money you'd need for the maple leaf. and if you buy four of these coins and want to sell one, you can still hang onto the other three and let them grow in value.
Small Coin Storage Options Are More Versatile
Remember that these coins have to be kept in cases to keep them clean and undented. while damage that doesn't chip away gold won't affect the scrap value, it's nicer to have a pristine coin because those are what others really want to buy. But those cases take up room, so the smaller the case, the easier it may be to store them if you have to stick them in tiny spots. A locked file cabinet is a good place to keep them in, but even then, you may have to squeeze the cases in between files.
Extra Savings Translates Into More Opportunities
For new investors and collectors, the sheer variety of coins can be exciting, but if you spend all your money on one large gold coin, you don't have lots left to buy others. Buying smaller coins lets you shuffle some money to other metals if you're interested in them.
Buying coins for monetary growth is not new and not likely to go away soon. Stop in at a coin store like Rogue Valley Coin & Jewelry and see what is there, and then make a list of what you want for when you return later to start your investing.