Know your coins - This point cannot be stressed enough. Before buying any rare coins, you may want to purchase a guide to coins or visit some coin websites. The main thing is that a rare coin collector is not just an investor, but also a history buff. Coin investing requires sincere passion, but if you’re a newbie, don’t worry; it’s almost impossible not to develop that passion once you get started learning how to purchase rare coins.

Check your spare change - It’s not likely you’re going to find some million dollar piece in your pocket, but there are literally thousands upon thousands of relatively rare coins floating around in the US economy, fetching in the area of ten to fifty dollars and up. Be on the lookout for pre-1963 dimes and quarters, as they contain real silver, as well as any odd error coins. There are plenty of 2001 state quarters out there with the date stamped twice, and these can go for between ten to twenty dollars or so. It may not seem like much, but it adds up, and these coins will likely increase in value over time, and besides, it makes for excellent practice for the next time you...

Visit a coin convention - Even if you don’t have the money to bid on the major auctions, the real draw for the beginning coin collector is the miscellaneous boxes at the various coin booths. Digging through these boxes for scarcities can be rewarding in more ways than one, sifting through a bunch of common pieces in hopes of finding some one of a kind piece that the dealer failed to identify when stocking his booth.

KNOW YOUR COINS! - We said this already, but it really is the only way to become a successful coin investor. If you don’t learn the coins, then you won’t know how to spot the rare pieces. Besides, if you don’t really have an interest in coins, then why bother trying to learn how to purchase rare coins? If coins aren’t your thing, gold offers the same security without having to learn anything about American history.

Learning how to purchase rare coins can be very exciting for a beginner. Coins are one of the safest and easiest ways to protect your assets, and one of the most interesting.

Article Archive

Arthur McGuire

Aug 24, 2009

The Double Eagle began life in 1849, actually, thanks of course to the California Gold Rush that had just occurred. Before then, the highest denomination placed on a gold coin had been ten dollars, but the sudden abundance of the metal inspired the US Mint to create twenty dollar pieces.

Even then, however, the Double Eagle was largely considered an investor’s coin, rather than one to be used as normal currency. The twenty dollar spending power may not sound like much, but in 1850, it was somewhere in the area of five hundred dollars... That is, if you’re going by denomination. By actual gold value, the coin would be worth something like nine hundred dollars by the average spot price this year. And of course, if you want to talk about the rare coin price of the piece, two hundred thousand dollars would be a fair estimate, as the few known examples of the coin to exist routinely fetch such prices when they go up for auction.

The Double Eagle didn’t become the $20 Saint Gaudens we know and love until 1907, which is why coin investors might say that "the $20 Saint Gaudens ran from 1907 to 1933", when the coin itself actually ran from 1849 to 1933.

The coin’s original "Liberty Coronet" design was never very popular amongst American investors or within numismatics circles. Even today, the earlier coins tend to fetch much smaller bids in auction, even though they are actually rarer than the $20 Saint Gaudens. The reason they’re less popular, in fact, is because they’re in less demand.

As such, the US Mint opted to commission a redesign from renowned sculptor and sketch artist Augustus Saint Gaudens. The coin’s design is widely regarded to be the finest and most beautiful piece of art ever displayed on an American coin, and if you want to take a moment to really examine the coin, you’re likely to agree.

The US Mint was forced to make a few pragmatic compromises in minting the coin, however. The $20 Saint Gaudens wound up losing some detail, as the Mint could only feasibly produce low relief coins from Saint Gaudens’ intricate design. The problem had been that, to mint the coin in such a way as to preserve every last line of Saint Gaudens’ design, they were having to strike the coin eleven times, which was simply impractical and expensive, and would weaken the coin itself. Furthermore, the coins would not stack correctly, and would often tumble over when placed more than one or two high.

Luckily, the US Mint has changed all this in recent years. This year, in fact, the Mint began a program to produce ultra high relief examples of this exquisite coin. With new technology, the $20 Saint Gaudens coins being produced today are not only more intricate and more detailed than any that have been produced before, but even more detailed and beautiful than they would have been had the Mint been able to use a high relief minting process back when the coins were first being struck in 1907.

The coin was discontinued in 1933 when President Franklin Delano Roosevelt made it illegal to own the metal, although coin collectors were still allowed to hold whatever pieces they had retained. FDR also ended the coinage of gold, and so, the $20 Saint Gaudens Double Eagle had ended.

A very, very few examples of 1933 Double Eagles are known to exist still. In 2002, a single specimen went for an incredible seven and a half million at an auction.

It’s certainly a good thing that the $20 Saint Gaudens were the ones used for the official US Mint investment grade coins. The work of Augustus Saint Gaudens was incredibly influential in western art, and the coin itself is one of the most beautiful and most historically important coins ever minted in the US. Without these investment coins, the piece may have been all but forgotten by everyone besides American history buffs.

Article Archive

Arthur McGuire

August 9, 2009

What gets a little less talk in the media is the fact that rare coin investments saw some all time highs over the last few years, as well.

Simply put, rare coin collecting used to be considered something of a hobby for “nerds”, obsessing over rarities and minting errors. Even up into the late nineties, even if your rare coin investments were worth millions, rare coin collectors were the Star Wars convention attendees of the investment world.

Well, opinions have softened a bit since then. This recession has proven something to American investors: You have to go with what’s smart, not simply what’s popular.

Ten years ago, stocks were the hot property for investors. In recent years, however, stock investors are jumping ship faster than you can blink. This isn’t to say that stocks aren’t, generally, a valid investment option, but if you’d chosen to put all of your savings into stocks back in 2002 and keep them there even once the tides started to turn against them, you’d be flat broke right now.

Rare coin investments are exciting, if you’re actually a coin buff and are as interested in the history as you are in the value of the coins, but the main thing that has them rising in popularity in these times is this: Rare coin investments are relatively safe in comparison with just about any other investment option out there.

Gold is always a great investment choice, but it tends to peak during a recession. Rare coin investments on the other hand don’t really have peaks. Their value tends only to climb and climb in rain or shine. In fact, when people have more money to spend during times of ease, you can certainly expect them to bid a little higher on rare coins, likewise.

So while rare coin investments were long regarded as a niche investment option, or merely a “hobby”, it seems that the numismatists are having the last laugh. Rare coin investments have always been a strong, solid option and now more and more people are realizing this and getting into the market.

If we can hope for something, it is that these new numismatists will share the same appreciation for American history that many coin collectors have. It’s not just about how much the coin is worth, but what the coin signifies that is important. Collecting the stories can truly be as rewarding as collecting the coins themselves.

…Unless you manage to snag one of those coins that goes for a million dollars in a single auction. In that case, forget the story, go ahead and take the million dollars.

Article Archive

Arthur McGuire

Jul 12, 2009

Heritage had been billing the piece as the "King of Coins", so it's certainly good news that the coin wound up at such a princely bid. It would have been a bit of a downer if the star of the auction had failed to top its previous selling price of two million.

Greg Roman, the president of Heritage Auction Galleries, had this to say: "There was never any question as to whether it would be the top lot of the auction. Whenever you have an example of the most famous coin in the world, it's going to be a big night. In this case, at two point three million, it set a new world record for its class. Thursday night's price made this particular 1804 dollar the seventh most valuable coin ever sold at an auction."

Unfortunately, most people don't have two point three million dollars to invest into a single coin, but this sort of news is still worth keeping up on as these sells help to set precedents for the values of several rare coins. Furthermore, even if you haven't the disposable income to place a bid on the main attractions at these auctions, they're still worth attending if you really want to learn about rare coin investing.

Of course, as long as your coins are certified and verified as being authentic, you can do your rare coin investing with any source and still make certain that you have a solid investment in your hands. The golden rule of rare coin prices is that they tend only to go up, as a coin can never become somehow less rare and less valuable. You don't need to make the Forbes List of Billionaires to get into rare coin investing. More modest rare coin investing is an option that remains open to literally anyone. Even if all you have is ten dollars, you can still browse the miscellany boxes at these auctions in the hopes of finding a diamond in the rough.

And of course, you can simply honor the gorgeous Saint Gaudens and Lady Liberty coins by investing in the 22-karat bullion reissues. While they're not exactly scarcities, they could be a solid investment, nonetheless.

If you want to bid but can't make it to these conventions, Internet bidding is usually an option, but it never quite matches the fun of attending in person. In that you can't simply hop on a plane to Texas or Ohio to attend every convention in the US, internet bidding and buying certified coins through trusted dealers remains the most sensible way of investing in scarcities, but if you do get the chance, no coin collector should go their entire life without bidding in a live auction, whether you're capable of pitching the 2.3 million dollar bids or not.

Article Archive

Arthur McGuire

July 1, 2009

So of course, hopes are high for the coming sale of coin at this month's Cincinnati, Ohio coin auction. Large figures are being thrown around with the sale at least expected to top the previous winning bid of two million. Joe Barret, co-owner of various Rare Coin Gallery shops throughout Cincinnati, said of the coin and the convention "For coin people, it doesn't get any better than this. For young collectors, this is an opportunity to see things they wouldn't get a chance to see otherwise." going on to compare the event to a film buff visiting a museum of film with a favorite star as their tour guide.

For the everyday investor in rare coins, two million and up may seem a little steep pay for a single coin. Certainly the winning bid will most definitely be offered by a multi-millionaire who happens to be well seasoned in the art rare coin investing. Still, that doesn't mean that the rest of us can't get excited at this incredible scarcity going up for grabs, even if those of us still coming up in the world rare coin investing may have to stick to our relatively modestly priced pieces.

That said, if you can easily afford such a rare piece you would have to have gotten out of the wrong side of the bed that morning to bypass such an opportunity. Over a half century this coin has gone from just over three thousand dollars to the multi-millions, nearly one thousand times its original price, so you can certainly expect the coin to be worth significantly more a few decades from now. Simply put, this is one of the rarest and most valuable known coins in the world right now, and of course when you make a buy, prices do not tend to decline over time, as they cannot, somehow, become less rare, in that they are limited to their original mintage numbers (a mere fifteen in this case).

And of course even if the two million dollar coins are a tad bit out of your price range it's still always worth it to go to these coin conventions and auctions if you can. The simple fact of the matter is that when looking into rare coin investing you can find some great opportunities at these events. Understandably, we can't all book a flight to Cincinnati every time we hear that Heritage Auctions rolls into town but if you're in the area it's always worth a drive to see what you can find to add to your rare coin investing accounts.

Of course, whether you choose to visit auctions or simply buy through online dealers, either way you're providing yourself with a solid backbone for your finances. Just make sure that all of your coins are certified authentic, as even if you can ascertain for yourself that the coins are in fact the real deal, most buyers simply won't take your word for it and will insist upon seeing some verification in the form of a written certificate of authenticity.

So our advice is; visit a coin event be it a convention, an auction or just a public showing if you can, as it truly is a wonderful experience. Simply being there and observing the incredible rarities on display, not to mention the fun of sifting through the miscellaneous boxes in hopes of finding a hidden gem, makes it worth the trip and can only serve to reinforce your passion for collecting and investing in numismatic scarcities.

Article Archive

Arthur McGuire

May 16, 2009

When the act was drafted and passed by the first US Congress, also creating the US Mint and establishing standards for both gold and silver bullion, it was deemed important that the coins of this newly-conceived nation should refrain from portraying living people. This is in direct opposition to the practice of Britain and other European nations to mint coins with the portrait of a sitting monarch. This nation, created to exist without an official nobility, would not use its coinage to elevate any person capable of holding office to the rank of a king.

The idea for Lady Liberty was taken from the ancient Roman goddess, Libertas, who became an important figure on rare gold coins and the famous silver denarius coin. With temples dedicated to her that date back to the Second Punic war of the 3rd century BCE, Libertas is an example of a long revered deity promoted to godhood for political reasons. In this case, she became the feminine face of victory.

The idea was almost undoubtedly chosen, in part, out of solidarity with the French Revolution, which was in it's fourth year of conflict by 1792. In France, the figure of this woman came to represent reason, sometimes even replacing statues of the Madonna in churches with her own. Usually depicted in the classic style in Europe, Lady Liberty was depicted as a heavier-set woman of her time, seen with the pileus – a felt hat (sometimes called a turban) worn by freed slaves in the ancient Roman Empire.

Rare coin projections that feature the Turban Head gold Eagle coins, especially the “small eagle” reverse design of 1795-7, value these extremely rare coin investments at many thousands of dollars each. Due to most of these coins being sent abroad for melting, manufacture ceased until gold was discovered in Georgia in the late 1820s, leading to the minting of gold coins some 10 years later. By the mid-19th century, Liberty had a more classical appearance, keeping with the times.

Lady Liberty is also seen on many silver coins, perhaps most famously on the Walking Liberty silver half dollar, minted from 1917 to 1947. This design has proven so prized by collectors that it is in current production as a revival design featured as the obverse of the American Eagle silver bullion coin since 1986.

Not only seen on US currency, one may buy rare coins with the many depictions of Lady Liberty on coins found throughout history and the Western World. Though known by different names in different places, her presence on coinage and in art was dramatically increased during the 19th century, when many European countries adopted her as their own. Germania, Polonia, Helvetia and Brittania are all examples of this neo-classical revival.

Rare coin projections for the US coins featuring Lady Liberty vary widely over more than two centuries of production. Both gold and silver coins remain particularly attractive for those seeking to buy rare coins for their numismatic value.

Article Archive

Stephen Thompson

April 18, 2009

For instance, those who have made a living with rare coin investments, have seen a tremendous upwelling in the number of gold and silver coins from the 19th century. In most cases, these are coins that have simply been squirreled away for a very long time, surviving past melt events such as the record high prices that were observed in the last major recession of the 1970s.

While many of the people who have brought their treasures into traveling roadshows have been largely unconcerned with the low prices that are sometimes offered. In fact, in many regains especially hard hit by the current economic situation have been warned by local coin dealers that they will purchase rare coins at prices much closer in line with current rare coin projections.

Some traveling antique dealers have been accused of offering to buy rare coins at a fraction of the going rate – even less than the spot price of gold would warrant in some cases. As a result some people who might not have any idea as the the true numismatic value of their coins are able to buy rare coins for a relative song.

One example of how this can affect rare coin projections for all collectors is the appearance of many hoards of gold and silver coins, some with very rare gold coins that have the impact of shaking up the market and auction values for all the other known examples.

Of course, not every and not even very many of the coins found in the typical attic are the sort of discoveries that will shake the coin world, but whenever one of these coins is brought in for grading, there exists the possibility that these new additions to the world of numismatic items could become the best examples of any given year. This is most especially true of coins from the 18th and early 19th century, with many issues made entirely by hand, allowing many opportunities for valuable off-types to appear, even now.

It is important to note that rare coins are best brought to professional numismatists rather than folks who would claim to pay cash for gold, for instance. The collector's value of a rare coin will assuredly be worth more than its melt value. This is the other part of the same industry that would encourage people to buy gold coins with the expectation that gold prices will rise to well over the $2,000 per ounce range, using these projections as a jumping off point for the hard-sell.

Regardless, there are still plenty of high quality coins waiting to be graded by professional numismatists and added to rare coin projections, just lying around peoples' houses. Sometimes it takes tough times for people to remember old family collections even exist.

Article Archive

Arthur McGuire

April 12, 2009

And it’s true, when you purchase St. Gaudens coins, you have not only the actual gold value of those coins, but the actual collector’s value, as well, and while today’s newly minutes Saint Gaudens and Morgan silver dollars don’t really have huge collector value beyond their metal content, it’s likely that they will, someday.

That said, you simply cannot buy rare coins without falling into the cultural side of coin collecting, getting wrapped up in the history, the stories, the gorgeous art that adorns the Lady Liberty rare coins. The fact is, this stuff is just too interesting to ignore. When you purchase rare coins, you start out as an investor, and quickly become a die hard collector

Even within just the Morgan Dollars, there’s a whole lot of interesting lore regarding various mints. For example, the Deep Mirror Proof Like, or DMPL Morgan Dollar. These rare coins were most commonly struck in the pre-1883 San Francisco run of Morgan Dollars. The resulting coin has a mirror-like, unusually reflective surface.

The thing is; the rarer the coin, the more money it tends to be worth. The history comes from how and why the coin is, in fact, rare. That’s where the interesting stories in coin investing come from, and if you’re a dedicated investor, you will, sooner or later, collect not only the coins, but the stories behind them.

In fact, the Morgan Dollar has quite a few different varieties, such as the Doubled Obverse “Hot Lips” coin. On this 1888 coin, the obverse was accidentally struck twice. You also have the 1888 Scarface, the Shifted Eagle Double Reverse from the 1901 Philadelphia striking, and on and on.

How likely are you to find any of these rarities? To be completely honest, not very. They are out there, but the majority of the existing coins are in private collections. Still, it’s that hunting and searching for something rare, something that hasn’t seen the light of day in the numismatics community in years, that keeps coin investors not only protecting their assets with rare currency, but hoping to find what may well be buried gold.

Don’t forget, your rare coins are worth more than just their metal value. In fact, it’s the value a coin has as a rarity that tends to only keep climbing over time. If you look at the history of any specific rare coin that’s been bought and resold at various auctions, you’ll notice that, in each new auction, the coin tends to fetch a higher price than it did in the previous auction.

It’s a good idea to keep the majority of your savings in something like newly minted St. Guadens, but supplementing that with some precious finds is always a good idea, as truly rare coins tend only to go up over time.

Article Archive

Joseph Morton

April 11, 2009

Every serious rare coin investor is also a collector, a coin buff. You have to develop a degree of knowledge regarding the rare coins you’re investing in, and you can’t help but become fascinated by the history of these coins.

For serious investments though, you will, of course, want to stick to rare gold coins and certified rarities and so on.

Luckily, the Lady Liberty rare coins, the Morgan silver dollars and the St. Gaudens coins are amongst the most fascinating when you take a look at their history, so when you buy rare coins such as these, you’re buying not only a solid investment, but an interesting story. This is true of the Saint Gaudens rare coins and the Morgan dollars alike.

To get into the Morgan silver dollars, this begins with the Comstock Lode. The Comstock Lode was the greatest silver strike in history, discovered in the late 1850’s in Nevada. This strike actually put a serious drop on the value of silver, it was so large, and forced Congress to pass the Bland-Allison act, requiring the Treasury to purchase vast amounts of silver to strike as coins. And so, they decided to strike the silver in the form of one dollar coins.

Many of these silver dollars wound up being melted after the introduction of the Peace Dollar. This is not because of any law requiring that they be melted down, but rather, because of their silver bullion content. Many holders of these dollars opted to melt their coins down in response to the rise in silver prices, thanks to the fact that the dollars were largely comprised of silver bullion.

Ironically, this actually made the coins themselves more valuable than their actual silver content. If you purchase rare coins today, you will only find so many of the original Morgan Dollars around. To compare this with modern currency, consider that the penny contains more than a penny’s worth of copper. Now, if everyone in the US melted down their pennies and sold off the copper, then the last dozen or so pennies remaining would be pretty valuable.

With the reproductions many of us invest in today, we’re mainly purchasing the metal content as an investment for the future, and this will, of course, be subject to the metal prices of the day. Truly rare coins, on the other hand, do not somehow become less rare over time.

Article Archive

Joseph Morton

April 5, 2009

As such, those who purchase rare coins as investments will set one back considerably to acquire a set – as much as $9,000 for the 1936 series coins still in a proof state and in their original coin holder. Indeed, all the coins in the date range of 1936 to 1942 are worth considerably more than those produced after 1950, with all series fetching at least $1,300 when in proof or near-proof state and in the original holder.

The decision to mint proof coins for the purpose of numismatic collection was an idea put into practice by the US Mint's longest-serving director to date (and the only woman ever appointed to the post), Nellie Tayloe Ross. At the time, numismatics was not even a recognized field, with the standardized grading scale for US coins not to be invented for at least another decade.

The 1936 series featured a full set of the dollar fractions that were circulating at the time, meaning that all the coins except the penny and the nickel were made of 90% silver, including a highly prized proof-version of the Walking Lady Liberty. To modern collectors, precious metal content in such sets is far less important than the rarity of these sets issued just as the nation was beginning to emerge from the worst of the depression and just one year before recession threatened again in 1937.

Throughout the Depression-era years, the set was released as a 5-piece collector's edition retailing for the face value of the coins contained therein. This includes one each of a Lincoln copper penny, Buffalo nickel (replaced by the Jefferson nickel in 1938), Mercury silver dime, Washington silver quarter and the Walking Liberty half dollar. Each of these coins, taken separately and valued according to rare coin projections, is worth as much as a few hundred dollars each.

In 1942, the last year that the proof sets were offered until the war was well over in 1950, featured a six-coin set. Nickel being a highly prized war-time material (as was copper, which led to the creation of the 1943 steel Lincoln penny), so a special war-effort Jefferson nickel was made, each with about 1.75g (0.056 ounce) of pure silver. Both 5-coin and 6-coin sets were released that year, with the 6-coin set fetching as much as a 15% premium over the 5-coin sets.

Rare coin projections continually prize these sets above all others, partly because of the large number of silver coins that were melted down in the 1970s when prices were historically high. Also, the idea of collecting a set of coins just to sit there, especially when people were still going hungry for lack of a nickel, seemed a bit odd. And since many of the sets were given to children as gifts, very few survived 70 years in a pristine mint-proof state.

Article Archive

Danny Burns

April 4, 2009

A Chinese company is, very legitimately (according to the law) has been making extremely good copies of historical Chinese coins for the domestic market. However, China's is something of a Wild West of an economy. That and a general reluctance (or inability) to enforce international commerce and copyright laws make it easy for these coins to end up for sale in North America as forgeries. This has made many buyers in the US leery of rare coin investments in the types that are commonly found in China.

Among the coins that are most commonly found as forgeries on the market are the silver “trade dollars” that were circulated by the US government. Made between 1873 and 1885, these coins were unique when issued as the first silver coins made by the US with 90% silver. The The Morgan silver dollars the followed it and all subsequent silver dollars until 1965 were also made of 90% silver.

The silver Trade dollars have been popular among those who buy rare coins, partly because of the interesting stories that often accompany them as well as the history of Manifest Destiny expansionism by the US and early US-Sino relations. But of far more interest are their rarity. Nealy all of these coins found there way to Asia and remained there, along with the silver trade coins that were issued by other nations. A very few remained in the United States and over 8 million of them were melted down after being collected by the US Treasury in 1887.

Coin dealers in the US have reported being swamped with fake coins in the mid- to late-'aughts. Some of these forgeries are so good that even highly trained numismatists can't tell the difference between it and the real thing. This causes a crisis of confidence in rare coin projections that can upset the price.

By some reports, there is actually a very highly evolved and active domestic counterfeiting industry that officials have been unable to contain for a very long time. How much of Chinese currency and coinage is actually counterfeit is anyone's guess, but as many as 30% of the branded items in China are forgeries, not to mention the thriving market in pirated intellectual property.

Because of their rarity, trust of the numismatist's pronouncement of authenticity becomes of paramount importance when investors purchase rare coins of this value. Certification by more than service is considered reasonable for coins that are very rare.

The impact of these replicas sold as forgeries, especially those of the very rarest dates is tremendous should one of very high value get through to sale, as may have already been the case according to some sources. For instance, rare coin projections suggest that as few as 15 silver Trade dollar proof coins from 1884 and 1885 are in even in existence. It would be hard to tease out what part of a falling coin price for silver Trade dollars is due to fear of a fake coin or fear of falling markets.

Article Archive

Sam Brown

March 26, 2009

A particularly large coin, the Eisenhower dollar is over 38mm is diameter, in order to make the coin exactly twice as heavy as a similarly alloyed Kennedy half-dollar. Due to their large size and weight, the Eisenhower dollar was not readily accepted as a coin of commerce, though hailed by professionals and enthusiasts who purchase rare coins. Because of this, rare coin projections find that uncirculated and mint-condition coins are somewhat common. Moreover, the millions of coins that were released during the bicentennial years were collected at very high rates.

Also in 1971, silver was eliminated from the Kennedy half dollar coin, which had been reduced to 40% after the 90% silver edition issued in 1964 only. The dictate from Congress called for the creation of up to 150 million silver coins, though only a small percentage of these were actually created. These unique silver-clad dollars were minted with an 80% silver (20% copper) alloy, around a silver-copper alloy center of lower purity. This results in a whole coin with an average purity of about 40% silver.

While the nickel and copper clad copper Eisenhower dollars were produced by the Philadelphia, San Francisco and Denver mints, only the San Francisco mint actually struck silver examples of these coins, most sold in proof and uncirculated condition. Sometimes referred to as the “blue” or “brown” Ikes, in reference to the packaging that the uncirculated and proof-condition coins came in. Rare coin investments for numismatic value are increased with the original protective cases issued by the mint.

As with several other coins of the time (including the half and quarter dollar coins), the Eisenhower dollar, both the nickel and silver-clad types, received a new reverse design. Here, the Apollo 11 lunar landing motif was replaced by a hybrid design of the Liberty Bell and the full moon. Both coins made in 1975 and 1976 were dated 1776-1976, and as such, there are no 1975 dollars.

Though over half a billion of the Eisenhower dollars were minted (with about 200 million in the bicentennial issue) between 1971 and 1978, they never quite caught on as a coin of commerce. They were most famously used in Las Vegas, due to their now uncommon weight and unusually large size that kept them from circulating freely elsewhere. The silver-clad Eisenhower dollars were minted until 1976, only.

With gold nearing $1,000 per once, the melt value of these relatively common coins (over $4 per coin) make them attractive for investors seeking “junk silver” to buy. Rare coins from earlier eras tend to suffer less melting, simply because they have already gone through a round of melting and are now worth far more as numismatic pieces.

Proceeds from the sale of the silver Eisenhower dollars were donated to the private and ultimately doomed Eisenhower College in Upstate New York. It is interesting to note that the 1973 issue of the Eisenhower dollar was especially small and continues to be the date most commonly focused on in most rare coin projections.

Article Archive

Clint Faust

March 24, 2009

The lure of collecting coins is often strongest when collecting towards a particular numismatic goal, such as collecting that prize of rare coin projections, a full, proof- or uncirculated-condition set. One historical prize that almost any collector can at least find some examples to complete a set are the full run of Liberty Head gold Eagles for a given year in all denominations: $10, $5 $2.50 and $1.

Because of the short mintage of the $1 Liberty Head gold coin, the only dates that include all four denominations are in the short, 5-year time frame between 1849-1854. The $1 Liberty coin has the distinction of being the smallest coin ever produced in the United States, with less than 0.05 ounces (1.37g) of pure gold in each one. They were produced in at Philadelphia and Dahlonega in its first year. Subsequent mintings were also performed at the mints in Charlotte, New Orleans, and San Francisco.

The Liberty Head Quarter Eagle was manufactured for 67 years, starting in 1840. It was cast as 90% gold planchets that yielded 0.12 ounce (3.42g) of pure gold. Especially collectible are those produced during these years with gold from the famous 1849 California Gold Rush, bearing the inscription “CAL” on the reverse.

Perhaps the most common coin of the whole series, the Liberty Head Half Eagles were minted from 1839 until 1908 – nearly 70 years! While the designs of the other coins changed during that time, the original James Longacre “coronet” design replaced a series of fat women portrayed as Lady Liberty. Rare coins from this series are found within the 5-year date range of the four-coin Liberty Gold series. Again, several mints produced this coin during the 1849-1854 time period, adding to the collecting potential of what may appear to some to be a simple 4-coin set.

The Liberty Head Eagles feature prominently in rare coin projections because so very few were minted and held publicly. Worth a whopping $10 during the 1850s, these coins represented a tremendous investment, (then and now) for those who buy rare coins. Those minted before 1878 tend to be far more expensive than those minted afterwards.

Gold Liberty Gold Eagle coins and their fractional Eagles are not only beautiful and historical pieces with value far beyond their “melt value,” but they are also ripe for those who enjoy the thrill of the chase when investors purchase rare coins with a clear goal in mind. This is certainly true of the Liberty Head gold coin series from the 19th century. Not only are all gold coins from the “pre-1933” era in high demand due to their scarcity, but collecting an entire set of a chosen year (especially dates from the Civil War when pursuing other types of Liberty Coin collections) can potentially add thousands of dollars to their collective value on the numismatic market.

Other types of sets that can be collected from the Liberty Head Eagles are all the years from a given mint or the very rare post-Civil War proof sets, all of which fetch stupendous sums according to rare coin projections. For example, of the seventy rare gold coins that make up an entire Liberty Half Eagle collection, only a handful of collectors have ever accomplished the feat, taking years in each instance to achieve this feat.

Article Archive

Kenneth Hansen

March 19, 2009

In early 1849, the US government was still wrangling over the territory with the British. As one might expect, the solution to supplying the people of the Oregon Territory, technically administered by two powers, was to do nothing. Therefore the citizens of Oregon decided to act.

With a rag-tag group of investors gathered on the banks of the Willamette River, the provisional territorial government decided to comission a private company to issue coin.

In fact, when brought to federal court after several years of manufacture by the Oregon Exchange Company

A private company minted the first gold coins produced in the Oregon Territory, by hand, from Oregon City. Better known as the end of the Oregon Trail, newcomers to the area needed something to invest all the vast mineral wealth from the territory in and trade with points “back east” were not established yet.

Instead of a design such as the US Mint had been producing for nearly 50 years, gone was an obverse with Lady Liberty; rare coins of the beaver series actually

About 2,850 of the $10 coins were hand-struck in Oregon City.

Article Archive

Arthur McGuire

March 17, 2009

Of course, the overall numbers of silver coins still in the hands of collectors and dealers is far lower than the number of coins minted. Many millions of silver coins, including a fair number of the Walking Liberty Half-dollars were melted down in the 1970s when the price of silver skyrocketed when the Hunt Brothers tried to (and very nearly did) corner the silver market.

Add to that the relative scarcity of half-dollar collectors during the Depression, and there are actually rather few large-scale collections of the Walking Liberty to be found, making very high quality coins hard to find, further increasing the value of rare coin projections for those years.

The production of Walking Liberty silver half-dollars in the 1930s was also notable for being the first half-dollar that had proof sets produced in any particularly large numbers, specifically for collectors. Several thousands were produced each year from 1936 and the beginning of the US involvement in World War Two, in 1942. This particularly well-liked design by St. Gaudin's pupil, A.A. Weinman, proved very popular among new collectors as the effects of depression waned in the late 1930s.

However, these proof sets are not the most highly valued Walking Liberty Half-dollars. The most collectible coin of this series is the 1938-D, commanding prices as much as 20 times other mintages from the 1930s when found in extra fine (XF-40) condition. This is largely due to the tiny number of coins minted in Denver that year. Fewer than 10% of the over 4 million Walking Liberty Half-dollars produced in 1938 were minted in Denver. Experts are at a loss as to why so few Walking Liberties were stuck at Denver that year, but rare coin projections show that the availability of these coins may be even more restricted than previously thought, further driving up the price.

Other Walking Liberty Half-dollars that were produced in relatively small numbers include the 1933-S and 1937-D mintings. There were never more than a million or so coins minted in these years, making them relatively rare compared with the many millions of Walking Liberty coins that were struck in the mid- to late-1930s.

The numismatic price of these low-mintage coins has climbed during the aughts. Though coins from the teens and early 20s command even higher prices than most mintages from the 1930s, even coins from low-production years that are in in merely Good (G-4) condition can command prices as high as $90. Coins in even slightly better shape can fetch prices of several hundred dollars. A Walking Liberty from the 1930s, even relatively common years, that is graded at MS-60 can fetch a price ranging from just $40 to over $600! It certainly pays to see which dates you have in your collection.

Article Archive

Stewart Lawson

March 12, 2009

It is thought that the origin of the $3 coin was the large surge of gold that came into the US coffers in the early 1850s as a result of the California Gold Rush of 1849. However, the unusual denomination is also thought to have been a response to those who wished to easily purchase sheets of the three-cent postage stamp. The tiny, three cent silver pieces (or “trimes”) that were first authorized in 1851, were also irregularly issued until 1873. when they were withdrawn from circulation, support for the three dollar coin waned, too.

The obverse of the 20mm coin features a classical Lady Liberty in a headdress. It is from this feathered cap that the label “Indian Princess” comes from. The reverse of the coin is somewhat typical for this time period as featuring a wreath of various commodity crops, the words “three dollars” and the date. Designed by James B. Longacre, chief engraver of the US Mint for 25 years, the $3 Princess coin was one of several famous designs innovated by this artist.

The $3 Princess gold coin is notable for several extremely rare mintings, several years of which with only a few proofs produced. In fact, fewer of these coins were minted (just over half a million in over 30 years) than any other circulating coin in US history. Most were minted in Philadelphia, Pennsylvania, but mint marks for San Francisco (-S), New Orleans (-O) and Dahlonega (-D, not Denver), Georgia, also exist for the early years. These other mints are also highly sought after and are perennial star performers in yearly rare coin projections.

Like most gold coins of the 19th century, the $3 Princess gold coin is made of a 90% pure gold alloy, with just over 4g (0.145 oz) of pure gold in each coin. Of course, the numismatic value of this coin, even in fine or very fine (F15-VF35) conditions exceeds the face value or melt value of this coin many, many times over. Some certified $3 Princess coins from listed as being “almost un-circulated” (AU-50 and higher) are rare enough to command prices in excess of $10,000 in auction.

When investing in rare, gold coins such as the $3 Princess coin, it is always prudent to make sure that it's certified with a professional service capable of making value judgments and rare coin projections, such as the Professional Coin Grading Service (PCGS). Coin shows and local dealers are generally preferable to purchasing online or otherwise sight unseen.

Article Archive

Richard Taylor

March 10, 2009

The obverse of the coin portrays a classically-sculpted Lady Liberty wearing a Native American, feathered war bonnet, semi-circled by a row of stars. The reverse side is shows a bald eagle on a branch. The reverse also bears the mottos, “In God We Trust,” “United States of America,” and “E Pluribus Unum.” Uniquely, instead of a the more typical reeded design around the outer edge of the coin, the $10 Indian Head gold coin is surrounded by stars (46 in total) that decorate the diameter of the coin.

One of the things that makes these coins of particular interest to investors and those making rare coin projections is that very few coins were minted in several years of its run. Even counting years when the highest number of coins minted, there were fewer $10 Indian Head gold coins ever minted over the course of a quarter century than contemporary Morgan silver dollar coins minted in a single year of the same time frame.

Also, being one of the last gold coins made in the United States before the 1933 order that banned the “hoarding” of gold for over 40 years, the $10 Indian Head gold coin is relatively scarce, even in lower grades that some collectors are used to. A great many of the relatively few coins that were even made in the first place ended up being melted down by the US Government during and after 1933.

The coins were minted in the 90% gold (22k) that was most common for much of US history, weighing in at 16.7 ounces. That works out to just over, 15g of pure gold per coin. However, one will does, not typically consider the melt value of such a rare coin. Projections and numismatic valuations take mostly the rarity, condition and beauty of a coin. For instance, the $10 Indian Head coin, has considerably less than a full once of pure gold, but might go on the auction block for several times the spot price of an ounce of the yellow stuff.

Article Archive

Arthur McGuire

March 5, 2009

Among some of the most lucrative rare coin investments that are easily accessible to consumers are Morgan silver dollars. Rare coin projections routinely feature this coin prominently as one that is increasingly rare and of value to collectors. Much of this value is associated with small production levels in some mintings, a large number of recognized variants, historical interest and the heavy levels of destruction that these coins have been subject to when the price of silver rises significantly.

The United States wasn't a major producer of silver in the early 19th century. While gold had been discovered in the Gold Rush that really heated up in 1850, it was nearly 20 years until the discovery of the massive deposits of silver in Nevada called the Comstock Lode. Nearly $400 million in inflation-adjusted dollars worth of gold and silver were removed in just twenty years of fevered mining operations.

As a result of that discovery that depressed silver prices to the face value of previous silver dollars such as the Seated Liberty dollar and the quite rare Gorbrechet dollar, the Morgan Dollar was first minted in 1878 in accordance with the Bland-Allison Act of the same year. The act required silver to be purchased from American mines at market value, instead of being tied to a fractional price of gold (or rare gold coins).

Designed by George T. Morgan, who would later go on to create several other precious metal coins and become the Chief Engraver (until his death in 1925) of the US Mint, the Morgan dollar was created to disseminate and help subsidize the silver mining industry that was starting to loose steam as the Comstock Lode was depleted.

The coin features a very classical Lady Liberty (rare coins are replete with examples of her) in profile on the obverse. On the reverse, an eagle with wings outstretched and holding both arrows and olive branches can be seen against a field of stars and a laurel wreath. In the nearly quarter century that the Morgan dollar was minted, it was struck at no less than five US Mint locations, including:

Philadelphia (no mark)

Carson City (CC)

Denver (D)

New Orleans (O)

San Francisco (S)

Production shifted around considerably between years and mints, with no particular mint's coinage being particularly more valuable over the entire run of the coin. Rare coin projections are based upon the number of coins produced at each mint in a given year, but also the average and exceptional conditions that have been demonstrated to exist from coins that have been certified and brought up for auction. This gives a relative value for each coin based upon what coins still exist.

While he initial run of Morgan silver dollars ran until 1904, the Pittman act of 1919 was responsible for a single year revival of this coin in 1921. Among the variations of Morgan dollars that collectors looking to buy rare coins should be on the lookout for are the un-circulated coins that were found by the General Services Administration (GSA) and released on the market when silver prices spiked in the 1970s. Several other Morgan dollar hoards have been discovered.

Additionally, the “VAM variants” (named for the researchers who cataloged variations in Morgan and Peace silver dollars) include several famous dates. While there are several thousand recognized VAMs, missing tail feathers, mint marks and numbers stamped over in mint mistakes. Particularly shiny examples of the coins are also referred to as being proof, proof-like (PL), and deeply mirrored proof-like (DPL). All variations are highly collectible by those who purchase rare coins.

Significant dates include:

1889-CC

1893-S

1895 (proof)

1892-S

1879-CC

1884-S

1921 (proof)

While all Morgan silver dollars are collectible and have been since the 1960s, rare coin projections show some series' coins selling for tens of thousand of dollars each in un-circulated (MS-60 and higher) condition. Other dates pay out a few hundred dollars for an un-circulated Morgan dollar from more numerous dates.

Article Archive

Arthur McGuire

March 1, 2009

These coins contain nearly a whole ounce of pure gold (about 97% worth) and were created as a result of the sudden influx of gold at the western mints and banks during the California Gold Rush of 1849. In fact, they were made with the highest precious metal content of any gold coin on the 18th century, and was widely adopted for that reason.

But their worth lies far beyond their “melt” value, with high-quality specimens (uncirculated and proof coins) selling for several thousands of dollars each. Of the millions that were minted, very few remain today. A very large portion of the Liberty Double Eagle coins in storage or circulation were rounded up, turned in and melted down in 1933 at the behest of the second Roosevelt administration.

During their long mintage, there are three distinct date ranges of of Liberty Double Eagles that can be grouped together. Numismatists usually group this coin as follows:

The Liberty Double Eagle performed admirably when upon release and was widely used among prospectors and banks. They also had the effect of creating a small and stable gold economy, that was less severely impacted by the panics of the late 19th century. During the nearly 60 years that the Liberty Double Eagle coins were minted, they were proven to be of great popular utility as both a coin of small- and large-scale commerce.

As an investment in the 21st century, the Liberty Double Eagle gold coins can be a good long-term investment to round out a portfolio through times that are otherwise difficult for commerce. Rare coin projections and prices do change regularly, but over time, they tend to perform better than the stock market due to generally decreased volatility – no matter what, gold has it’s own value and collectors always come back.

Like any other valuable type of coin, the Liberty Double Eagle is prone to counterfeiting. It’s beauty is such that it is among the most often replicated for nefarious means, not to confuse them with reproduction coins that are created as something to do with bullion.

Purchasing certified coins that have been inspected by a numismatic professional organization, giving them something of a seal of approval if you’re not an expert.

Article Archive

Arthur McGuire

February 9, 2009

Like many other gold and silver coins, their value being nearly a whole ounce (0.859 troy ounces or 26.73g) of 90% silver and 10% copper (for a total silver weight of 0.773 troy ounces), some Peace Dollars have been removed from circulation for melting down, but most often as a economic and political ploy. A far larger number have been maintained as collectors’ items and the object of rare coin projections.

Though not as easily exchanged as 1-ounce silver bullion coins, these increasingly rare coins have a numismatic value far beyond their face value. Even when silver was up over $20 per ounce in early 2008, only the poorest specimens would fail to be worth the $15 of silver value. Indeed, the rare coin projections of most numismatists concerning Peace Dollars exceeds this many, many times over.

Designed in 1921 to commemorate the end of the war, this coin is so-named for the word “PEACE” emblazoned on the reverse of the coin, under the feet of an eagle in profile. The front features a stylized rendering of the artist’s wife, Teresa, as Lady Liberty.

The Peace Dollar is curious for having been struck in relatively low numbers while the Morgan Dollar, resurrected after a 17-year hiatus, had a massive run of over 40 million coins earlier in 1921. Rare coin projections are largely based upon the relative rarity of the minting in a given year, and several years of the Peace Dollar were extremely small.

The Peace Dollar was made possible, by the Pittman Act, signed into law by congress in 1918. This called for melting silver bullion and dollars – about 280 million ounces of silver (much of it found in Pittman’s home state of Nevada) – and selling most of it to UK. Subsequent US silver production would be purchased by the US Government at a dollar above the spot price for the manufacture of new silver dollars to replace the old ones, effectively functioning as a silver subsidy until the 280 million coin total mark was reached in 1928.

The first run of the Peace Dollar, in 1921, was problematic due to the unique features that led to such a dramatic design. The relief on the coins was too high, breaking the dies and making them difficult to strike. As a result, the coin was redesigned, with subsequent strikings conforming to the adjusted design.

There are very few proof sets of Peace Dollars in existence, and it is thought that the Peace Dollar is one coin that is most often used to fool inexperienced coin collectors into purchasing coins of lesser value based upon faulty grading. These coins are graded by slightly different standards than other Peace Dollars.

In the year of Francisci’s death, the Peace Dollar was minted one more time, just after congress decided to recall all silver coinage and melt it down in response to a silver shortage in the early and mid-1960s. Though over 300,000 of these last silver dollars were minted, they were all melted down at the special request of congress, making the last normal year of production, 1928. The few coins minted in 1934 and 1935 were issued to honor silver certificates.

Articles Archive

The promise of a quick and profitable turn-around on a rare coin investment has helped unscrupulous hucksters defraud millions. However, there are some things to keep in mind to make your experience with rare coins be both enjoyable and profitable.

The attorney generals of just about every state have issued warnings in recent years regarding telemarketing scams involving rare coins. This is a truly unfortunate development for legitimate rare coin dealers and numismatists everywhere. Such frauds usually promise quick turn-around and guaranteed profits. However, a little common sense can help anyone, no mater how new they may be to rare coin collection, to protect themselves in this market.

Do Your Homework

Knowledge is power, and this is just as true in the case of rare coins as it is with any other investment. Just because you've used coins in commerce for your whole life doesn't mean you know anything about the rare coin marketplace. If someone does call you and make some seemingly air-tight claims regarding past performance and future earning potential, you should be ready to look up their facts and verify the data.

It is also recommended that you deal exclusively with real people and real coins that you can see, rather than disembodied voices on the phone or the Internet. A rare coin dealer of good-repute in the US will be registered with the state as a legitimate business. If you suspect a dealer of running a fly-by-night operation, check with the state to see when the business was founded. Check also with the Better Businesses Bureau to see if there have been any complaints against the business.

Expect to Wait Awhile for Returns

Though not nearly as un-liquid as a home or most businesses, you can almost without fail expect a good return on rare coins if you’ve got time to wait. The value of a rare coin is determined by three general rules:

1. The rarity of the coin 2. The condition of the coin 3. The demand for the coin

This means that if you have a rare gold or silver coin and a hot market, you’ll still be stuck if the coin is in poor or only fair condition. That said, the rarer the coin is, the less important quality becomes. What never changes is the influence of demand. Whether that demand comes from numismatic collectors or the investors who operate on their guidance, and eventually demand always increases unless the rarity changes.

Rare coins always become rarer unless a discovery of coins is made. Usually, this is the result of coins entering or exiting private ownership for many years, or being melted down, as was most famously the case in the early 1980s when the spot-price of both gold and silver rose dramatically.

When held for a minimum of 5-10 years, the vast majority of rare coins will perform better than most other types of investments. In fact, rare gold and silver coins have been shown to appreciate in real value (faster than inflation) over the course of several thousand years.

Keep these variables in mind when considering a rare coin purchase. Don’t be afraid to get a second opinion on the condition of your gold or silver coinage, especially when done for investment purposes. Coins are a good way to hedge against inflation and to diversify a portfolio that might otherwise be exposed to too much market risk.

I love all precious metals, but there’s just something about gold that makes it so mysterious and powerful. Since the beginning of recorded history, human beings have used gold as everything from currency and store of value to jewelry and ornamentation. It’s also the only commodity that people run to when an economy is weakening. Why? Because it’s been historically proven to increase in value when other products lose value. This alone could make it a powerful insurance from financial troubles that could mean a loss to someone.

Lets closely examine the records set by gold in the market. On January 21, 1980 gold hit its first record high price of $850 per ounce. It then hit its record low since it’s last high on June 21, 1999 closing at $252.90 per ounce. The initial record high was then surpassed at $865.35 on January 3, 2008. Since then, the current record gold price was set on March 17, 2008 closing in at $1023.50. That’s a lot of change from the "official daily price for gold" that was set in 1934 at $35 per ounce. Ever since then more and more debt has been put on our heads, and we face higher inflation every day. Historically speaking, gold can only go up from this point after manipulation in the market ends. All I know is that before it ends, I am going to get my hands on as much gold as I possibly can to preserve myself now and in the future. Look at history, it repeats itself and I would find it wiser to be safe than sorry.

Have a beautiful day everyone, and happy investing!

Arthur McGuire
Senior Staff Writer Precious-Metals.org