Collectors (PSA) Acquired SGC

[Peter_Spaeth]

I hope you guys are right, as my prewar is about 50 50, but I fear the scenario where SGC values eventually drop substantially and at least the older graded cards cross at a grade lower in part because standards are higher and in part because that's how PSA does things. I imagine for people who are active submitters this is a dilemma too because apparently for many people it's impossible to get fair grades out of PSA now, but submitting to SGC may not be prudent going forward.

[conor912]

Am I going crazy, or did I see something in the last week or so about Fanatics looking to dump Goldin?

[JamesGallo]

For the people that think SGC cards wont drop in value i think your nuts. Maybe if the company stays that maybe true but without the confidence that they wont just close tomorrow there will always be that in the back of my head. Also tons of cards have been rejected by psa only to be slabbed by sgc. So these cards should never cross assuming the standards stay the same. That sgc 4 becomes a PSA minimum size and your losing a ton of value.

In the end i agree nothing i can do but ride it out, but i wont be subbing to sgc anymore and will only buy a card if i dont care about the grade.

CGC is doing a ton with TCG cards and i do not think they will gain much traction until they make a lot of improvements. The green label was a horrible choice, so the move was good but i dont like the all black either.

I have a lot of value in SGC slabs and long term i do think it could be a problem…

James G

[Peter_Spaeth]

It would not surprise me at all to see a ton of SGC cards for sale soon as guys calculate it's better to get what they can now rather than take the crossover risk or wait for the brand to be further devalued.

[Johnny630]

When the SGC Slabs are no longer produced as part of Collectors and become one Slab United as PSA ( it makes no sense in my mind to have one company going public to have two different slabs) the newly graded cards will all be in PSA slabs and will become part of the registry and pop the old sgc slabs will not. Regarding the crossover of old SGC slabs, I do not know if you could be offered a discounted rate, but I don’t think PSA will cross them over at the same grade. This will probably happen in my mind before they go public, so within the next approximately two years or so would be my estimation. Time will tell. If you have powerful cards and SGC you are fine they’re still very reputable. However, if you have lower tier and lower grades, there could be an issue down the road getting those crossed over the good stuff will remain good. The average stuff could be less than average.

[Peter_Spaeth]

Originally Posted by Johnny630

When the SGC Slabs are no longer produced as part of Collectors and become one Slab United as PSA ( it makes no sense in my mind to have one company going public to have two different slabs) the newly graded cards will all be in PSA slabs and will become part of the registry and pop the old sgc slabs will not. Regarding the crossover of old SGC slabs, I do not know if you could be offered a discounted rate, but I don’t think PSA will cross them over at the same grade. This will probably happen in my mind before they go public, so within the next approximately two years or so would be my estimation. Time will tell. If you have powerful cards and SGC you are fine they’re still very reputable. However, if you have lower tier and lower grades, there could be an issue down the road getting those crossed over the good stuff will remain good. The average stuff could be less than average.

I don't completely agree. If the brand is discontinued, reputable or not, the value of a discontinued slab is going to be diminished particularly if people are having bad or mixed experiences crossing over as I expect will be the case. 1-1.5 grades lower is bad enough, min size or AUTH is an earthquake.

[Johnny630]

Originally Posted by Peter_Spaeth

I don't completely agree. If the brand is discontinued, reputable or not, the value of a discontinued slab is going to be diminished particularly if people are having bad or mixed experiences crossing over as I expect will be the case. 1-1.5 grades lower is bad enough, min size or AUTH is an earthquake.

Subpar cards yes stuff like Rochkiss has doesn't matter no need to even wanna cross. Even though going forward you prob won't be able to get your cards into PSA holders people with heavy hitters in SGC slabs like Ryan can keep as is with no diminish upside. Sub par sgc cards in old slabs I agree with you they could go down.

[Peter_Spaeth]

Originally Posted by Johnny630

Subpar cards yes stuff like Rochkiss has doesn't matter no need to even wanna cross. Even though going forward you prob won't be able to get your cards into PSA holders people with heavy hitters in SGC slabs like Ryan can keep as is with no diminish upside. Sub par sgc cards in old slabs I agree with you they could go down.

Perhaps but the vast majority of us don't have material like Ryan of course. My immediate concern are things like midgrade Goudey Ruths, T206 HOFers, etc. Nice problem to have, I get it, but still losing 1-1.5 grades or conceivably worse would suck.

[Yoda]

Originally Posted by Peter_Spaeth

It would not surprise me at all to see a ton of SGC cards for sale soon as guys calculate it's better to get what they can now rather than take the crossover risk or wait for the brand to be further devalued.

Great, bring it on! What a buying feast for those that consider the card primary over the flip.

[raulus]

Originally Posted by Yoda

Great, bring it on! What a buying feast for those that consider the card primary over the flip.

Yoda’s approach will certainly appeal to part of the collecting base. And certainly I find that notion to be attractive as well.

But if some of the fears expressed here come to fruition, in some ways it exposes the potential fragility of current valuations for high grade stuff, and not just for SGC, but for those of us with our collections in PSA slabs as well.

Recalls to mind some of the recent marveling we’ve done at a PSA 9 slabs selling for 100x the PSA 8 slabs for some vintage pieces of common players.

The whole thing smacks of the emperor whose clothing wasn’t as fine as those around him suggested it was. Maybe Jingram was right all along…

[Lorewalker]

It is not just because of PSA's registry that their cards, for the most part, sell for a premium over an SGC counterpart but also that when buying PSA you are buying into a much larger company. SGC was owned by one guy...some of whom claim he has a bad rep. Maybe this hurt their resale value or peoples' desire to invest in those holders, whether or not they did a better job or not?

The owner of SGC made a great business decision for himself. It is too bad for all of the collectors that the buyer of SGC was a competitor who will, sooner than later, eliminate the brand. At the end of the day, collectors who stuck with SGC were inventing in the owner, not the company.

[The Detroit Collector]

I was looking through some cards and noticed I have some graded by Sports Collectors Digest. A reputable company back in the day that got bought out as well. I don't see SCD slabs anymore these days, but if I did, I doubt you would have to pay the same price as a PSA or SGC graded version.
Point I am trying to make is, as some have mentioned, if SGC is no longer a company in the future, I can see the value of low tier SGC slabbed cards dropping.

[Fred]

Originally Posted by The Detroit Collector

I was looking through some cards and noticed I have some graded by Sports Collectors Digest. A reputable company back in the day that got bought out as well. I don't see SCD slabs anymore these days, but if I did, I doubt you would have to pay the same price as a PSA or SGC graded version.
Point I am trying to make is, as some have mentioned, if SGC is no longer a company in the future, I can see the value of low tier SGC slabbed cards dropping.

If I see an SCD graded card, I put a premium on it over PSA (I'm sure nobody else does) Unfortunately SCD didn't grade many cards. I'll always keep the few SCD graded cards that I own encapsulated in the SCD slabs. If for nothing else, for historical collecting significance. Who knows, maybe someday some knuckleheads will put a value on the plastic and flip ROI baby.. (insert vomit emoji)...

[Exhibitman]

Originally Posted by The Detroit Collector

I was looking through some cards and noticed I have some graded by Sports Collectors Digest. A reputable company back in the day that got bought out as well. I don't see SCD slabs anymore these days, but if I did, I doubt you would have to pay the same price as a PSA or SGC graded version.

You don't, thankfully. I look for the red logo ones.

[cgjackson222]

Originally Posted by Lorewalker

It is not just because of PSA's It is too bad for all of the collectors that the buyer of SGC was a competitor who will, sooner than later, eliminate the brand. At the end of the day, collectors who stuck with SGC were inventing in the owner, not the company.

I am not sure that SGC being eliminated is a foregone conclusion. I invest in cards, not holders or owners of TPGs.

[Lorewalker]

Originally Posted by cgjackson222

I am not sure that SGC being eliminated is a foregone conclusion. I invest in cards, not holders or owners of TPGs.

I am not good with a crystal ball and I hope you are right. I have far more SGC cards in my collection than PSA. Each of us...or at least most of us...are simply guessing at what is going to happen.

If SGC ceases to exist then those of us who stayed loyal to SGC invested in the owner and whether or not you or I see those SGC cards as being worth less once the brand is gone, what you and I think is meaningless.

Anything in an SGC holder at some point will be seen/construed/assumed to being unworthy of crossing either because the owner did not want to take a 2 grade point hit or because PSA was going to put the card in an Auth holder. The perception will be more important than the reality.