Stampede out of paper: Real things bring record prices

As a dealer in rare gold coins I am seeing the same inexorable movement month after month, year after year, as one area of the rare coin and medal market after another rockets higher as all the good material is moved off the market, hoarded by wealthy folk who are desperate to move out of paper assets into real assets.

First, it was Roman gold, then British gold, then Russian gold, then Greek Gold, then Chinese gold, now it is Indian Gold.  Of course, there are still coins and medals available but prices in all these markets have doubled, tripled, quadrupled, depending on grade and rarity.  And one thing is for sure, material that used to be recycled from one auction to the next is leaving the market for vaults in private hoards.

And it's not just rare gold (and silver but to a lesser degree).  It's all sorts of intrinsically valuable historically interesting Real Things:  Paintings, jewelry,  documents, weapons, sports memorabilia and cards, cars, etc, etc.

So where am I going with this?  

Gold bullion itself is a relatively rare, valuable, and historically interesting form of currency.  Especially when compared to all forms of paper and electronic money.  The price of bullion gold has also quadrupled.  But right now an ounce of gold bullion is readily purchasable on the market - unlike the rare Greek gold stater pictured above.  

But five years ago, one could find that Greek gold stater pretty easily if one knew where to look.  Now it is not necessarily available at any price anywhere.

Hard to imagine the same thing happening to an ounce of gold bullion, right?

But it's happened before.  And it will happen again.

Press Release

5 January 2012

Noble Investments UK Plc

('Noble (NYSE: NE - news) ', 'the Group' or 'the Company')

Prospero Collection sold for approximately $25 million

The Directors of Noble Investments UK plc (AIM:NBL), the international rare coin and stamp dealer and auctioneer, are pleased to announce that the Prospero Collection of over 600 of the most beautiful and historically important ancient Greek coins was sold yesterday, on the first day of 'The New York Sale', raising estimated aggregate gross proceeds of approximately $25 million.

Is the Old Master Auction Market on the Verge of Extinction?

December 10, 2011 By Marion Maneker Leave a Comment

Souren Melikian isn’t happy with the way the Old Master sales played out in London last week. He predicts their potential demise, not for a lack of buyers but for the cupidity of sellers.

 If the drying up of supplies continues, auction houses will anyway have to hold only one major sale a year, not two. And that might altogether signal the end of the auction market in this field, because for auctions to attract bidders, a certain pace is indispensable.

 Press Release - September 20, 2011

1836 Colt Revolver Sets World Record Price For A Single Firearm, Bringing $977,500 At Greg Martin Auctions/Heritage Auctions In Dallas

Hermès Diamond Birkin brings world record price of $203,150 at Heritage Auctions

Hermes Exceptional Collection Shiny Rouge H Porosus Crocodile 30cm Birkin Bag with Solid 18K White Gold & Diamond Hardware. Pristine Condition, 12" width x 8" height x 6" depth Estimate: $80,000 - $90,000. Sold for: $203,150.

REA’s $9.5 Million Baseball Card Auction Sets Countless Records!!!

Published by Robert Lifson on Tagged Uncategorized 1910 Joe Jackson Card Sells For Record $200,000; Lou Gehrig Jersey $329,000; T206 Wagner hammered down at $188,000; Countless Baseball Card Auction Records Shattered At REA!!!
                                                 
Watchung, New Jersey. The strength of the high-end baseball card and memorabilia market amazed collectors at Robert Edward’s record-setting May 7, 2011 auction. An astounding 179 lots sold for $10,000 or more.