I would like to try and pass on a few things that may assist others in the future and perhaps some that may be effected and not saying something which is understandable as well. I am sure everyone has an opinion one way or another anyway.
1. Little research - Coin Collecting or Numismatics is as old as money itself, a company that has traded for 30 years and winning multiple awards, also been an inaugural member of the society in Australia, traded in Millions of dollars of the Rarest treasures within Australia and the world. To me this is credible ?
2. "Guarantees" - It was never guaranteed a return of any %, what was written into a lot of the contracts was a "Buy Back" at the price paid ie: No Loss Guarantee.
To my knowledge this had been fazed out, anyone who expected this as guaranteed 12-18% increase are mistaken.
3. Diversity - Yes I agree and feel terrible for the people that had a single investment as the majority of their SMSF or savings. However at this stage they still have some title over the goods. If I had purchased and own a Proof 1930 Penny that is still an incredibly rare item, which I didn't.
For me it was only a percentage of the fund so I do diversify. However it was a little larger share than what I would have normally allocated. So I broke my rule.
I suppose everyone with a normal super account feels they are diversified also.
4. You don't hold it, you don't own it - seems to once again be true and I am sure it may make some people have a think on their holdings and how they have it. Do you have some in un-allocated as example, group storage and so on, why is this any different. I think the general deal here is that nothing is totally safe, what you have is degrees of safe versus likely hood of the occurrence happening. Did I see this happening, no I didn't but who really does. Supposedly all the banks should be broke and countries defaulting, but haven't seen that happen either ?
5. Valuations, yes these were done by the MD who based it on current sales data where applicable, plus expected returns on similar items. It is hard to price an item if there is only 1 ? I would expect to see a lot of items loosing some value, while others not being effected at all.
6. Bad Business - This is an area I personally could have looked into a bit further and did have some comments and concerns about market and how they generated an income. To me this is where their business model has fallen through and not securing new clients successfully and creating cash flow. Without cash coming in "Sales" and you are honoring "Buy Back" prices it will fail. The Silver lining hopefully is that the company has this stock that it has brought back and this stock can be liquidated to pay back creditors, and others debts. People who have not sold their item they own should have it in the vault. The concern is the vault is empty and the money is gone. That would be very bad for everyone.
Not sure how many this may assist, or even make me look more stupid. While being a costly lesson learned, as so many other things have been. I have lost money in Property, I have lost money in Silver and Gold, I have lost money on cars. So I suppose I should do what the tide does and invest in shares and keep my savings in the bank, but you know what will happen is the banks will go broke and the stock market will crash. Everyone holding Gold and Silver will be the big winners. When I had sold all my Gold and Silver at $20...
At least I am positive in life and the wife is all cool. The family is healthy and we have a roof and food. I say Good luck to you all, I hope it continues to work out for all the perfect people.
Aus
