Liquidity & Investing vs collecting

[benchod]

Originally Posted by kickitup

Packs,

I am sorry I hurt your feelings when I responded to your opinion of what you might believe I am doing should be characterized as. Hurting your feelings was not the intent. You are no better or no worse than me, period. The amount of money I have or don't have should not characterize what I do with it or how the impacts of what I choose to do affect my life.

Calling what I am doing gambling is ignorant. Why? Because you have no idea what my situation is, just like I have no idea what yours is.

Just because it's a lot to you doesn't mean it's a lot to me. That's ok too... You are likely a nice guy, a great friend, a great dad etc, but just because I might have more money than you doesn't make me a gambler and you a collector because of the dollar amount I choose to put into cards.

My whole point was here that I am trying to encourage you all to not get caught up in what things used to be worth, but instead what they are worth now and what they will be worth in the future. I get annoyed so often by people complaining about how dumb prices are and how much manipulation goes on. I make up that people blame it on manipulation that prices are going up, but my sense is these same people are stuck in the past.

Hypothetically speaking, If I am willing to buy one Lou Gehrig card for 300k and that has a population of 3, I can assure you I am also willing to buy the other two for the same price before I let one of them go for less. I am an investor and I will protect my investment accordingly. I don't make any move without being willing to protect my move. If I think a card is worth 300k and there are 3 of them, I need to be willing to invest 900k in that card to make that purchase. That's not gambling, that is smart and logical investing. If I end up buying all 3 for 900k, fine, but I sure am going to support the market to protect my investment. I can only do that if I buy within my means and go in with a plan.

I hardly call that gambling. I think it's smart. I don't need you to agree with me, but I don't appreciate it when anyone tries to characterize what I am willing to do gambling when the dollar amount is merely larger than an amount they might be comfortable spending.

I can tell you all this. I don't buy a 50k Namath rookie unless I am willing to buy 50 of them for that. I consider my investments before I make them. I encourage those who don't think this way to realize there are others like me out there that are willing to buy not only one card, but all of them for "X" price and control the market.
This is happening and it bugs me that no one else realizes it. I can't convince you all that this is right or wrong, but I'm telling you it's happening because I am doing it and will continue to do so.

Well, your original premise is built on shaky grounds. There is a large difference between graded cards as a commodity vs oil, precious metals, hogs etc. When you buy a pound of gold or a barrel of oil you know what you are receiving. Would a barrel of oil sell for $50 if it half water? What if your gold bullion was mixed with nickel? With cards you're assuming that the flip accurately reflects the card and that a PSA 10 is superior to a 9 etc. What if the 10 was in a 9 holder and was resubmitted 20 times to get into a 10 holder? Is it now magically a superior card? 19/20 times it was judged to be a 9. Trimmed and doctored cards are another major factor. You brought up Kendricks collection. His centerpiece card is the prime example of problems with relying exclusively on a grading company's opinion.

[Peter_Spaeth]

Craig stop thinking like a collector or normal human being. The flip is now its own reality. None of that matters to the commodity trader.

[sbfinley]

The only thing I've taken from this thread is that he doesn't like people who complain that the market is manipulated because it isn't. But in the next paragraph he stated he would manipulate the market to protect an investment.

[Peter_Spaeth]

Originally Posted by sbfinley

The only thing I've taken from this thread is that he doesn't like people who complain that the market is manipulated because it isn't. But in the next paragraph he stated he would manipulate the market to protect an investment.

Correction he said he IS doing it.

I can tell you all this. I don't buy a 50k Namath rookie unless I am willing to buy 50 of them for that. I consider my investments before I make them. I encourage those who don't think this way to realize there are others like me out there that are willing to buy not only one card, but all of them for "X" price and control the market.
This is happening and it bugs me that no one else realizes it. I can't convince you all that this is right or wrong, but I'm telling you it's happening because I am doing it and will continue to do so.

[SAllen2556]

My limited understanding of economics suggests that if one person were to buy 50 Namath Rookies and thus greatly reduce supply, then the price would indeed increase, but with the increased price, demand would also decrease. If demand decreases, then the price decreases. If I can't get a Namath rookie at a price I can afford, don't I just eventually move on to Joe Montana?

Also, if supply decreases, production usually increases. So wouldn't more people who wouldn't have previously sold their Namath card now put it in the market, thus increasing supply again and causing prices to decrease. I seem to remember something about price equilibrium.

I have a headache.

[Leon]

Originally Posted by sbfinley

The only thing I've taken from this thread is that he doesn't like people who complain that the market is manipulated because it isn't. But in the next paragraph he stated he would manipulate the market to protect an investment.

He's got the market cornered on tiny border cobbs. It's like ...."hey, where did those borders go?"

[Baseball Bob]

All this talk reminds me of 1999. Anyone remember when the "new economy" Internet stocks were going to replace boring old blue chip stocks? When the market was rising exponentially, and tech stock P/Es were in the 50-100 range? Well, any card made post 1975 is a "new economy" product. The price is rising due principally due to speculation, greed and irrationality, rather than value based on economic fundamentals. The supply of Jordan rookies is nearly unlimited - how many dozens or even hundreds more will be found in dresser drawers, attics and safe deposit boxes in the next ten years? Tons. How many Gehrigs? Very, very few.
Folks, does'nt anyone recall what happened to the NASDAQ in 2002? That's where Jordan rookies are headed. The crash is coming. Oversupply craters a market. Period. Liquidity ends when the speculators run for the exits. They will, and they own the market, just like on Wall Street. They don't get screwed. It's the exuberant little guys who bite the big one.
Just a cheery thought on a Wednesday evening!

[Beastmode]

Originally Posted by sbfinley

The only thing I've taken from this thread is that he doesn't like people who complain that the market is manipulated because it isn't. But in the next paragraph he stated he would manipulate the market to protect an investment.

Justin "I can definitely see the benefit in retractions to discover max bids" Cornett is back. The same guy that had 18 retractions in 6 months?

Your theory that high fees prevent shilling at AH's is laughable. You must be from Texas?

If you can use all your little tricks to pump up prices, more power to you. We all win when you win.

[Exhibitman]

Originally Posted by Peter_Spaeth

The flip is now its own reality.

Whoa, that's a very deep thought...

[boneheadandrube]

If you want to test your investment practices using those Cobbs, try selling them for more than 75% of what you paid to someone other than the person/persons who sold them to you, or back to yourself in an auction. It would be wise to learn not to depend solely on the "Certification" applied to the cards you are investing in. Bad certification is a very big market variable on the high end, especially in that company's holders. You aren't the first person to approach this hobby the way you are and you aren't the first to do so with the handicap of "flip dependancy". You'll get better at picking out solid investments if you do and it will be more fun as well. This is meant to be helpful*

[ALR-bishop]

Originally Posted by Exhibitman

Whoa, that's a very deep thought...

Agreed, Adam, sort of like The Matrix

[Bpm0014]

Both the BAT ON COBB and WAGNER..... both have the same upward curvature "cut/trim" to the first half of the bottom of the card if you look closely. I may not be explaining that clearly, but if you look closely they both have the same cut.

[Sean]

Brendan, the Wagner seems to have more of a curvature on the top of the card. The Cobb Bat On may have that same curve on the bottom of the card.

[Stampsfan]

Originally Posted by kickitup

I don't post often, but I feel compelled to share some thoughts. Most of you will likely disagree, and that's ok too. I hope eventually you get it.

A pet peeve of mine... I despise the arrogance of suggesting that if you disagree, you somehow don't get it.

Originally Posted by Sean

Brendan, the Wagner seems to have more of a curvature on the top of the card. The Cobb Bat On may have that same curve on the bottom of the card.

It obviously appears the "trimmer" started getting lazy, overlaying these two cards top to bottom when performing a single task.