Rare coin company placed into liquidation

Discussion in 'Numismatics' started by Caput Lupinum, Jul 9, 2013.

  1. Caput Lupinum

    Caput Lupinum Well-Known Member Silver Stacker

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  2. Ouch

    Ouch Active Member

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    Used to love reading their testimonial page...
     
  3. Lunardragon

    Lunardragon Well-Known Member Silver Stacker

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    How their investment worked?
    You bought their 'rare' coins and notes and they stored for you or some kind like a stock option?
     
  4. willrocks

    willrocks Well-Known Member Silver Stacker

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    Wow. I bet some of them have changed their story. I bet they wished they'd purchased PMs instead.

    If you purchased $19,800 of gold in 1999 it would still be worth about $100,000 today.

    http://www.rarecoin.com.au/testimonials.html
     
  5. goldpelican

    goldpelican Administrator Staff Member

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    I removed some selective bolding that could come back and bite the forum.
     
  6. willrocks

    willrocks Well-Known Member Silver Stacker

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    Wonder how many SMSFs got caught up with this?
     
  7. Nedsnotdead

    Nedsnotdead Active Member Silver Stacker

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  8. boneyard

    boneyard Well-Known Member Silver Stacker

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    If you do not hold it....you do not own it.

    A lesson for all.
     
  9. skipau

    skipau Member Silver Stacker

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    That is the scary part... they think they still own the coins and notes... I very much doubt they will be seeing them if they were held on their behalf at rare coin company....
     
  10. Big A.D.

    Big A.D. Well-Known Member Silver Stacker

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    I reckon the will get hold of their property - for example, all the banknotes are serial numbered and won't just disappear into the ether - but being able to find buyers for that much high end numismatic stuff will likely be very difficult if all those investors try to sell at the same time.

    From what it sounds like, the "value" of the investment was calculated by the company saying it was 15% more that whatever it was last year. How well that method of valuation holds up in the open market without a broker sitting in the middle telling both buyers and sellers what the items are worth will probably be a little painful. Or a lot painful.
     
  11. bron suchecki

    bron suchecki Active Member Silver Stacker

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    My understanding was that there was some sort of buyback guarantee, a guaranteed price/return. Maybe they went under because people started to exercise that buyback option and the company got stuck with coins/notes that it could not sell?

    That business model is fine while you have baby boomers buying, but when they start to sell there aren't the buyers coming behind them to keep the prices up. Coincidental that the first of the baby boomers is now starting to retire and need to cash out?

    Same dynamic in the property market. Early born boomers might be OK, the later boomers I think are going to get screwed and poor old Gen X has to pick up the pieces.
     
  12. Eureka Moments

    Eureka Moments Well-Known Member Silver Stacker

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    Same dynamic in Precious Metals?
     
  13. bloomst

    bloomst Well-Known Member Silver Stacker

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    Just like your mum drinking Mocconna, then you drinking International Roast, then the next generatio will find something worse than International Roast...:D
     
  14. Eureka Moments

    Eureka Moments Well-Known Member Silver Stacker

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    Shhh! Serious thread here bloomst.

    We should discuss IR in other more light-hearted places.

    Will be a lot of hurt to come for people with investments in this unfortunately. :(
     
  15. serial

    serial Well-Known Member Silver Stacker

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    oohhh do you think there will be some cheap coins coming onto market soon :)
     
  16. spannermonkey

    spannermonkey Well-Known Member Silver Stacker

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    here there everywhere
    Coins , ? AAAH maybe
    Polymer notes ;)
    Recyclable toilet paper :p
     
  17. serial

    serial Well-Known Member Silver Stacker

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    I have actually seen these guys at a coin show. ultra high grade in house graded coins with huge values attached.
    they promote themselves as being top end only dealers.
    not surprised this has happened given the way they promoted their business
     
  18. Clawhammer

    Clawhammer Well-Known Member Silver Stacker

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    If I may butt in (I realise you asked this question to Bron)...

    I think that PM's won't suffer the same revaluation that SMSF ephemera will due to PM's value which seems to cross cultural divides.

    Much of the high performing assets in SMSF are culturally specific. Australian (even 'western') Sports memorabilia, classic cars, Art, popular collectibles etc. may not be as popular with young(er) investors overseas (particulalry Asia & the Middle-East)where the bulk of the world's youth are.

    The reason the Federal Govt is allowing such high immigration is to try to fill the dwindling youth demographic the nation will need to pay taxes in future decades. And they will be the target for tommorrow's property 'flippers' and buyers of Bradman's baggy green cap. And while these two examples will surely always retain their value. I'm not sure if old Aussie Bank notes or Pro Hart paintings will be as relevant to a 1st generation Indian Immigrant.... gold (and Silver) however, will always retain it's lustre particularly with people of those cultural backgrounds.
     
  19. Eureka Moments

    Eureka Moments Well-Known Member Silver Stacker

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    ^^^ thanks claw.

    It was actually a serious question/observation.

    I like your thinking regarding your reply, but don't virtually all young people these days worship 21st century goods and drink $6 lattes thrice daily rather than invest in stuff like PMs?
     
  20. goldpelican

    goldpelican Administrator Staff Member

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    Given the nature of the topic it would be nice if this thread could stay on topic. If you want to "spout" off there's a fresh hijack thread in progress.

    Cheers
     

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