Quote:
Originally Posted by EvilKing00
With the current state of the economy, I was wondering everyones thoughts on Cards as "investments".
Money in the bank with the current interest rates is a joke. The stock markes is always an interesting place BUT be careful. Im in the RE business and IMO there is no better time to invest in properties, BUT asside from homes, I think Cards makes a damn good investment. Not that I "invest" in the cards i but I love to just collect them.  |
This question comes up a few times. If someone treats it as an investment, that's fine but very much would need to be a (minor) part of a more varied portfolio. Whether some think otherwise, pricing is too volatile i.e. a card could be have a perceived value at auction of $100k but could easily go for $75k or $125k so it's very hard to predict a real time price.
Remember, also, that when buying a high value card, you're typically paying a higher price than anyone else is prepared to. And of course, the thing that all too many overlook are the buy / sell spreads of buying and selling cards which are prohibitive from an investment perspective - for example, you buy a card at $100k in auction? Given premiums etc, you'll need to sell it for a considerably larger amount just to break even.
Also, same as any other hobby, too easy for heart to overrule head in terms of decision-making.
Not trying to put anyone off investing in cards, and I genuinely think that they can work as part of a portfolio and a hedge against inflation, but tread VERY carefully.