Coins / Collectibles in SMSF

[Fr45h3R]

I thought I'd pull this quote out from the Macca's Correction thread.

I am concerned that the collapse of rae Coin Company is going to lead to extreme restrictions on allowability of collectables such as coins and banknotes in self manged superannuation funds.

From the little bits and pieces I've seen around investing in coins using money from an SMSF the rules are already quite strict.

With collectibles in an SMSF, who supplies the valuations? (which I believe is part of the yearly process)

Take the example of a third party graded TOTP pre-decimal coin.
If a new submission receives a higher grade and the value drops, do we just put that down to the risk of the investment ?

[trout]

If a new submission receives a higher grade and the value drops, do we just put that down to the risk of the investment ?

I would imagine so, Or it could work out that the better graded coin will get a one off super premium.
We have to remember that slabbed coins are rather a new thing as far as Australian collectors go and there are thousands of "Sleepers" out there.
That rare coin company was a total joke anyway, NO real collector would entrust their collection to a third party .
I would think that all the people involved with loosing their money in this company weren't collectors but investors.
And every collector just knows that as investments go coins are NOT the best avenue especially when ill informed and uneducated, Greed also has a play in this company's demise :ok:

[drakesterling]

I thought I'd pull this quote out from the Macca's Correction thread.

I am concerned that the collapse of rae Coin Company is going to lead to extreme restrictions on allowability of collectables such as coins and banknotes in self manged superannuation funds.

From the little bits and pieces I've seen around investing in coins using money from an SMSF the rules are already quite strict.

With collectibles in an SMSF, who supplies the valuations? (which I believe is part of the yearly process)

Take the example of a third party graded TOTP pre-decimal coin.
If a new submission receives a higher grade and the value drops, do we just put that down to the risk of the investment ?

Fr45h3R, I'd put it down as a special risk of numismatic investment. Like any investment, prices go up, down, and sideways, so it's not unreasonable to see a portfolio of coins track in one direction or another.

As for valuations: I do valuations for SMSF collections on an annual basis. It's interesting to see how prices track over time, which is one of the reasons I do them.

[Nightparrot]

I thought I'd pull this quote out from the Macca's Correction thread.

I am concerned that the collapse of rae Coin Company is going to lead to extreme restrictions on allowability of collectables such as coins and banknotes in self manged superannuation funds.

From the little bits and pieces I've seen around investing in coins using money from an SMSF the rules are already quite strict.

With collectibles in an SMSF, who supplies the valuations? (which I believe is part of the yearly process)

Take the example of a third party graded TOTP pre-decimal coin.
If a new submission receives a higher grade and the value drops, do we just put that down to the risk of the investment ?

Fr45h3R, I'd put it down as a special risk of numismatic investment. Like any investment, prices go up, down, and sideways, so it's not unreasonable to see a portfolio of coins track in one direction or another.

As for valuations: I do valuations for SMSF collections on an annual basis. It's interesting to see how prices track over time, which is one of the reasons I do them.

Question - would Blue Sheet meet the valuation requirement? Not sure how often it is updated.

[trout]

Question - would Blue Sheet meet the valuation requirement? Not sure how often it is updated.

For coins graded by a TPG Bluesheet would be perfect.
Raw coins would be a totally different matter I would think :ok:

[Bigfellani5]

I do smsf valuations. The reality is the valuations are bogus anyway. Who cares what the valuation is as coins are a capital investment so income is only assessed on sale anyway.

The rules are not that strict. The main one is you can't store at you home and you must have insurance.

[wwwww]

I thought I'd pull this quote out from the Macca's Correction thread.

I am concerned that the collapse of rae Coin Company is going to lead to extreme restrictions on allowability of collectables such as coins and banknotes in self manged superannuation funds.

From the little bits and pieces I've seen around investing in coins using money from an SMSF the rules are already quite strict.

With collectibles in an SMSF, who supplies the valuations? (which I believe is part of the yearly process)

Take the example of a third party graded TOTP pre-decimal coin.
If a new submission receives a higher grade and the value drops, do we just put that down to the risk of the investment ?

Fr45h3R, I'd put it down as a special risk of numismatic investment. Like any investment, prices go up, down, and sideways, so it's not unreasonable to see a portfolio of coins track in one direction or another.

As for valuations: I do valuations for SMSF collections on an annual basis. It's interesting to see how prices track over time, which is one of the reasons I do them.

Question - would Blue Sheet meet the valuation requirement? Not sure how often it is updated.

It's updated after every recorded sale, we record about 1000 sales per month and considering there are about 2000 coins on record, prices are on average updated once every two months with coins more frequently selling being updated more frequently and coins with less frequent sales being updated less frequently.

[trout]

All I can say Walter is Keep up the Good work Mate :yahoo:
Your "Blue Sheet" site is freaking awesome Mate :good: