If you’ve been bitten by the coin bug you will no doubt understand the title question and in some cases be truly asking yourself, “Am I a coin collector or investor - or do I have a bit of both flowing through my veins?” Well I write at risk of adding to the confusion, but feel compelled to answer the question…

Is it simply a case of collectors amassing a general theme of coins (that they enjoy for whatever reason) to “pass on” to the Grandkids and Investors simply buying for future profit? I think not. OK, say you are looking for a diversified Investment away from the usual stock market or gold buys. If you are astute you may well have seen how the coin and banknote market has done very well over recent years and continues to show strong growth. You research quality dealers, receive their pitch and decide upon a coin / set that will appreciate further. You lock it away and throw away the key until it comes time to sell - sometime before you die! The coin may as well be a Da Vinci Painting for all you care because you’re not into paintings either! That is Coin Investment.

Sway slightly away from the above model and you become tainted with the title of “Collector”. Take the Investor’s example above, same scenario except you either take an interest in the origins of the coin or you get a peek at it and are instantly taken by the notion that something so insignificantly beautiful or rare is in your possession. You want to learn more or heaven forbid make a purchase along the same theme - your investment has just become a collection!

Then there’s the proletariat masses of coin collectors who should not be taken lightly. They can quickly take a recently released coin and give it eternal fame or suffering! These people adore a Penny regardless of it’s rarity or condition. They are the have to haves of the coin world. I just have to have every penny from the war years or every space themed release from around the globe. They often purchase up and over investment prices with a view to never letting go. I give you the Life-long Collectors! Their Grandkids may well become the recipients of an eccentric fortune.

Very interesting is the relationship between the two. Collectors drive the profit for Investors. Collectors give a coin fame, Investors swoop in as agents ready to sign them up. Which one are you?

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