| Author |
 Topic  |
|
|
n/a
deleted
2 Posts |
 Posted - 01/17/2007 : 21:53:44
|
Hello,
I'm new to this. I just thought I'd say that I sorted $120 face value and took the zincers back. I had only about $40 in zincs, the other $80 is pre-82. I got Fifty Wheaters and an interesting 1976 with a bell and map of america on the front. Am I doing ok for a new guy? Also are the older canadians worth anything. I found some from the 40's.
I am wondering, what will happen when there are no longer any copper pennies to be found? More specifically, can it be proven that the less valuable the metal content, the more inflation will set in? Just curious about thoughts on the subject.
|
|
|
Canadian_Nickle
Penny Hoarding Member
Canada
938 Posts |
Posted - 01/18/2007 : 00:34:52
|
Well, actually, the fact that the metal is worth more than the government promise is proof of inflation (of prices) or deflation (of buying power)
HoardCode0.1: M28/5CAON:CA5Ni27615:CA1Cu1200:CA100Ag345:
CA10Ag250:CA50Ag100:CA25Ag30:CA500Ag48:US100Ag20:CA1000Ag16
How to read a HoardCode:
You must be logged in to see this link. |
 |
|
|
Ardent Listener
Administrator
USA
4841 Posts |
Posted - 01/18/2007 : 12:22:39
|
Under popular current economic theory cheaper metals would mean less cost so it would tend to lower inflation. The mint would not have to pay out so much to produce its coinage and the private sector would not have competition from the Mint (goverment) for metals such as copper.
But the sad fact is that the printing press is just a much cheaper way to produce "money" than minting coinage. So cheap and unresticted that it is easy to "water down" the money supply thus inflation.
________________________
Burn paper dollars before you melt coins. |
Edited by - Ardent Listener on 01/18/2007 12:24:25 |
|
|
|
pencilvanian
1000+ Penny Miser Member
USA
2209 Posts |
Posted - 01/18/2007 : 16:43:02
|
Hello SOS,
Finding 2/3rds copper is better than I usually find.
If memory serves me right, Canadian Pennies from the 1940's are copper.
As to the question, "what will happen when there are no longer any copper pennies to be found?" Copper cents will be treated like the silver coins from pre 1965, they will gain a collectable premium over face.
I hope you keep having such good luck coin sorting. |
|
|
|
n/a
deleted
2 Posts |
Posted - 01/19/2007 : 00:45:44
|
I guess what I'm really asking... I need someone to convince me that it isn't crazy to sort these things. I've done about $200 so far. I need some encouragement as to why this will pay off. Also, what is everyone doing as far as retirement plans. I've got a little money in stocks and it's kind of bothering me. Not only because it is risky, but it seems that some companies are morally corrupt, and having mutual funds, you don't always get to choose which companies to not invest in.
|
|
|
|
Ardent Listener
Administrator
USA
4841 Posts |
Posted - 01/19/2007 : 10:56:16
|
When 90% silver coins were still in circulation with the current clad coins, many people thought it was crazy to sort and hoard the silver coins. Turns out that it wasn't such a crazy idea after all.
As for retirement you might want to consider first if you investments will be able to keep up with inflation or not. Consider land and/or precious metals ivestments.
[/quote]
________________________
Burn paper dollars before you melt coins. |
Edited by - Ardent Listener on 01/19/2007 10:56:53 |
|
|
|
n/a
deleted
78 Posts |
Posted - 01/19/2007 : 13:06:03
|
Actually, if you had taken the same money you would have put into silver (since you did have to pay face value for it) and put it into stocks and/or bonds, you would have done at least as well, and possibly substantially better.
Precious metals will only preserve value, they don't increase it, like investing does.
They're more likely to get stolen than money in a bank or investments.
Granted, there are some advantages:
1. You could probly do the whole thing without having to pay any taxes (find a local coin dealer and sell them for cash).
2. If you'd predicted and sold them at the top in the 80's, you would have done quite well (although if you could predict the future like that, you could do just as well in the stock market, or just picking lottery numbers).
3. If there is a severe monetary crisis or something similar, they might do extremely well (though this type of event is fairly unlikely)
4. They'd be a good diversifier for stocks (although since it's hard to trade them, there are much better choices)
5. If you like collecting coins you might like to look at them, put them into date albums, etc.
6. If your bank accounts get messed up for some reason, they'd be a good source of cash.
7. They might be a good way to hide assets. |
|
|
|
Canadian_Nickle
Penny Hoarding Member
Canada
938 Posts |
Posted - 01/19/2007 : 17:33:33
|
You're wrong.
4 years ago I was putting all my money into silver at $7/oz. Now it's worth twice that.
Likewise, I buy pure nickels for 5 cents (canadian) each and they're now worht 17 cents (US) each. What kind of stock play gives me a guarunteed 255% ROI with 0 risk of loosing my initial investment? None.
If you buy paper, be it government notes or corporate stock, you're a sucker.
HoardCode0.1: M28/5CAON:CA5Ni27615:CA1Cu1200:CA100Ag345:
CA10Ag250:CA50Ag100:CA25Ag30:CA500Ag48:US100Ag20:CA1000Ag16
How to read a HoardCode:
You must be logged in to see this link. |
|
|
|
just carl
Penny Hoarding Member
USA
601 Posts |
Posted - 01/19/2007 : 18:17:44
|
I may be wasting my time but I keep repeating this over and over. The value of cents is not dependant on pre 82 or post 82 or before or after anything. There are cents in the 60's, 70's and even recent ones worth a lot more than some average Wheat back cents.
Examples are the 95DD now up to about $100 in MS condion. And how about that 99 Wide AM running about $800. Of course not to slight the 83Double Ear. Last coin show I saw the 72DD up to $800 in MS.
The thing is to just invest in a book on Lincoln Cents. Most are full of cents now really valuable.
Carl |
|
|
|
n/a
deleted
78 Posts |
Posted - 01/20/2007 : 00:58:24
|
Canadian Nickel,
Ardent Listener was talking about people hoarding silver coins back when you could pull them out of circulation. That's what I was basing my statement on, not buying silver a few years ago, or on nickels.
If you put quarters away in 1966 (not sure when they were still available, but that makes a nice round 40 years) and sold them now for 10 times face value (about what they're going for) you'd have generated an average of 5.93%/year. Over that same time period, government bonds have averaged about 7.5%, and the S&P about 11%. If you put $10,000 into quarters, you'd have $100,000, into bonds you'd have $180,000, and into stocks you'd have $650,000.
Your buying silver 4 years ago was an investment which paid off quite nicely, but may not do so over a longer term.
I'm jealous of you Canadians being able to get pure nickels. They're pure, they stick to a magnet, they don't corrode, and they look cool. I'd be saving them by the bucketfull if I could.
just carl,
People here are basing their hoarding on the premise that a market will arise for pure-copper cents the same way that it has for old silver coinage (which is usually called "junk" and has little numismatic value).
If you care to search for the rarities, that's a bonus on top of the copper. |
|
|
|
n/a
deleted
479 Posts |
Posted - 01/20/2007 : 21:34:24
|
I agree with Flying Moose that choosing the years makes all the difference.
His figures are believable and probably correct when he shows that other investments outperformed silver over the last 40 years.
There is always the qwestion, "What if this time, things really are different?"
One thing that may be different is "Peak Silver" "Peak Nickel" "Peak Oil" and "Peak Debt".
There ARE limits to how much silver we can extract from the earth's crust and how much debt we can incur, we just don't know in advace what those limits are. The case for "Peak Nickel" is by far the strongest. I am betting on nickel.
I am putting my money where my mouth is. I am buying nickel, and nickels. I could be wrong, but "You places your bets, and you lives with the outcomes."
The 2006 commodity peak has passed for Silver, Oil, Gold, Zinc, etc. Nickel is still setting record highs as of RIGHT NOW.
.......................................
.................................................
A billiard ball dropped from 1,362 feet (height of the South Tower) in a
vacuum would require 9.22 seconds to hit the ground. How then did the
towers collapse in 10 seconds and 11.4 seconds, and why has not one
member of the mainstream media insisted on honest answers from the
government in this regard?
"The individual is handicapped by coming face to face with a conspiracy
so monstrous [that] he cannot believe it exists."
- J. Edgar Hoover |
|
|
|
just carl
Penny Hoarding Member
USA
601 Posts |
Posted - 01/23/2007 : 07:52:59
|
As to an investment, one thing to always note is liquidity. If you have a large amount of copper, for instance, do you have a source to sell it? As to land or property, right now that is a really poor investment although that may change in the future. Stocks are going up but could dive any day, Mutual Funds are always a joke and mainly make money for the people that run them. Coins as an investment is fantastic right now for dealers. They buy and sell at great profit ranges. If you have metals, coins, land, buildings you must have a way of dispursing them quickly in case of a need for instant cash. I say this based on the fact I recently required large sums of money for medical reasons and having highly diversified investments made that easy. All investments should be in the widest range of items and products possible. Always remember what happened to those rich people not long ago with all investments in Silver.
Carl |
|
|
|
n/a
deleted
78 Posts |
Posted - 01/23/2007 : 12:11:45
|
Carl,
What you say about mutual funds is true of some of them. However, it's possible to buy funds with very low expenses which give you a very broadly diversified portfolio.
Index funds, which just buy stocks based on an index (such as the S&P 500) tend to have the lowest expenses, and statistically do just as well as the more expensive, actively-managed funds.
Vanguard has been well-known for having the cheapest funds, but now Fidelity has lowered their expenses to compete. Both are great companies.
In general, anything over 1% per year expenses is considered expensive, as is anything with a front- or back-load (that is, a percentage you pay when you buy or sell).
A lot of things such as annuities, weirdly-structured life insurance policies, hedge funds, and such are, like you said, generally just a way to make money for the people that run them.
If anyone wants to know more about how to invest in mutual funds, a good source of information is this forum on Morningstar's website:
You must be logged in to see this link.
I've done a lot of research about investing, and I'd be happy to answer any questions that anyone has. |
|
|
|
n/a
deleted
2 Posts |
Posted - 01/29/2007 : 23:28:24
|
You're not crazy to sort through pennies, just misinformed.
Why double your metal value when you can quadruple it! Instead of sorting pennies, sort nickels, Nickels? Yes the metal market is currently trading nickel at $20.00 Canadian a pound and has been steadily increasing. A Canadian nickel weighs 4.54 grams, 100 nickels = $5.00 face value which is almost exactly 1 lb = $20.00
The trick is to make sure you get old nickels (not shiny and shrink wrapped) For Canada 1981 and older are 99% pure Nickel, 1982-2000 and Cupronickel 25% nickel 75% copper and 2001- Present 95% Steel...yuck! Couch, Cough. I suspect American mintage years follow each other somewhat closely based on the market at the time. So those ice cream pails can now be filled and stored in a little vault in the corner of your basement! when you get 'em full don't try to carry it with that plastic handle...50lbs on the foot really hurts! Comments anyone? You must be logged in to see this link. Check this out... |
|
|
|
Cerulean
Penny Hoarding Member
USA
993 Posts |
Posted - 01/30/2007 : 11:55:16
|
quote:
Originally posted by CuproNickel
You're not crazy to sort through pennies, just misinformed.
Why double your metal value when you can quadruple it! Instead of sorting pennies, sort nickels.
CuproNickel, we have several Canadians on this forum who are doing exactly that. We Americans are jealous of their plentiful nickel. But they have competition from their own Mint, so maybe we're the enviable ones. :)
--------------------------
Penny Search Totals:
806 zincs (1982-2006) 77.6%
227 coppers (1959-1982) 21.8%
4 wheats (1940-1950) 0.4%
1 dime (2004) 0.1%
|
|
|
| |
Topic |
|
|
|
Does cheaper made money mean inflation?
Forum Locked
