OM Bullion has a huge tremendous appreciation for historic collectables and rare numismatic coins. However, we believe you can obtain more metal content for your money. We also believe numismatic coins can potentially create poor investment for two significant reasons.
Overpaying for its metal content and huge commission costs. Generally speaking, numismatic coins could cost you between 15% to 30% or more! If that’s the case, your coin(s) would need to appreciate significantly just for a modest return. Would you buy a gold coin with an additional 25% premium cost?
If you decide to sell your numismatic coin or coins, dealers and most collectors will offer you far less than what you paid for. Therefore, a significant financial loss on you and I’m sure most are reluctant to sell their numismatic collectable below the value of its metal itself.
There’s only one coin out there where an anonymous investor paid $18.9 Million for it, and that’s the very rare 1933 Double Eagle Saint Gaudens Gold coin. All gold coins in 1933 were ordered to be melted down during FDR’s Executive Order 6102 making it illegal for U.S. citizens to hold gold. But imagine how much gold you could purchase and own for $18.9 Million.
