Numis Network? Who the Hell Wants Collectible Coins?Company: Numis Network
When I first decided to take a look at Numis Network
My initial reaction was, who the hell wants collectible coins? I had never collected coins, didn't know any coin collectors and to me they just seemed liked overpriced bullion coins in hard plastic. Why wouldn't I just buy bullion and not even bother with "collectible" coins?
So I looked at buying bullion
You can buy bullion from a lot of places, despite what some are suggesting, there are only a few companies that get directly from the US mint. All others are resellers. Here is the good thing about bullion, you only pay slightly above the spot price for an easily traded, liquidated, form of precious metal. The two things you will NOT get with bullion are tax writeoffs or an income stream. Don't get me wrong, if you buy bullion and allow it to apprecaite and increase in value, you can then sell it and make a capital gain, and, of course, pay capital gains taxes. I know this as I used to buy rental houses in real estate and also flip them. Capital gains taxes are more than passive income you receive.
Want the most leveraged way to buy bullion?
Then make money promoting gold and silver and then use some of that money to buy bullion. Straight buying of bullion is great if you do not need tax breaks or additional income and are just looking to hedge your bets against the dollar. However, if you are like me, and like the idea of having more money come in, numis network may be a fit for you.
What if you don't have any interest in collectible coins?
I get this question sometimes too. As the #1 income earner in numis network, I have probably heard every question you can think of about our business. Here's the reality, when I was in real estate back in 2004-2008 I recall one guy that was doing really well in mortgages. He did so well that he went out and bought a lamborghini. It was sweet. About a month ago I saw this same guy serving drinks at a bar. I don't think it was because of his love for alcoholic beverages. He was doing it to make money. Here's the reality, no one you know is offended by gold and silver, whether collectible or not. A product that no one snubs their nose at, has too much of or wold not mind a garage full of is pretty cool.
Just for kicks, what if you went back and bought bullion or collectible coins?
In 1990, the spot price for silver was around $5, so, if you bought silver eagles you would have paid around $7. If you bought MS-70 graded silver eagles you would have spent about $40-$50. Since then, the economy has certainly gone down. So, in a down economy collectibles usually lose money and bullion increases right? Well, had you bought one loose silver eagle for $7, or one MS-70 graded silver eagle for $50, you would have done alright either way. A 1990 loose silver eagle sells today for around $32, however, an MS-70 1990 Silver Eagle sells for around $4,000. Interesting...
Lets do another year
In 1997, the spot price for silver ended around $6.50, so, if you bought silver eagles you would have paid around $9. If you bought MS-70 eagles you would have paid around $50-$60. Today, a 1997 loose eagle sells for $32, an MS-70 sells for around $500. This, in a down economy. Interesting stuff.
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