Frequently Asked Questions

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What are numismatic coins and rare coins?

Answer: Numismatic coins and rare coins are essentially names for the same category of coins. They are coins whose value is not only derived from the pure gold content, but also derived from their collector value, due to their scarcity and level of preservation, as opposed to bullion coins, whose value is derived from their precious metals content only.

What will rare coins do for my portfolio?

Answer: Rare coins can provide your portfolio with a broad array of benefits, including long-term performance, liquidity, diversification, privacy, tax advantages, portability, intrinsic value and protection against government gold confiscation.

What portion of my portfolio should be devoted to rare coins?

Answer: Every portfolio has unique circumstances, with differences in risk tolerance, budget, tax considerations, goals and objectives. Generally speaking, ITM Trading recommends that you place between 10% and 20% of your portfolio in tangible assets, such as rare coins.

What does PCGS and NGC graded mean?

Answer: Professional Coin Grading Service (PCGS) and Numismatic Guaranty Corporation (NGC) are the leading independent coin grading services whose standards are accepted throughout the numismatic industry. You should only buy coins that are graded by PCGS or NGC. The advent of these two firms in the 1980s transformed the rare coin market. They offer protection for investors and collectors by guaranteeing the grades of the coins which they certify and also virtually eliminate the possibility of counterfeiting. By maintaining meticulous records on the coins that they certify, PCGS and NGC also help dealers, investors and collectors determine the relative rarity of surviving coins which were originally minted between 1795 and 1933.

Does the spot price of gold and silver affect the value of rare coins?

Answer: Rare coins are indeed hard assets because most rare US coins were minted from gold or silver. For some of the larger, more common issues, such as certain dates of Double Eagles and silver dollars, changes in the price of gold or silver can impact their value. But for most rare coins, their value is determined by supply and demand factors unique to the rare coin market and not directly related to the price of gold or silver.

In fact, there are marked differences between the gold market and the rare coin market. For example, an extended bull market in rare coins ran from 1982 to 1989, years which were lean ones for gold bullion. In fact, during two of the best years ever for rare coins up to that time, 1988 and 1989, the price of gold actually declined.

I am not a collector, nor do I want to be, does that matter?

Answer: No, you do not need to be a collector to put money into rare coins. However, due to their status as a collectable, they offer protection from government confiscation, which bullion does not. Very few of ITM Trading’s clients are coin collectors. Most of our clients are looking for a way to protect a portion of their wealth along with long-term profitability. It is completely unnecessary for you to become a coin expert/collector. At ITM Trading, we have a team of highly trained representatives and experienced professional numismatists all working toward the same goal of making your experience in doing business with us a satisfying and rewarding one.

What has been the performance of rare coins in the past?

Answer: Rare coins have produced exceptional long-term performance for their owners. This track record stems from the basic fundamental factors which drive the rare coin market. Nobody is minting any more rare coins. In fact, one of the last rare gold coins emerged from the mint in 1933. Although new coins constantly come into the market place, supplies of rare coins are constantly and inevitably diminishing as coins are taken off the market for inclusion in closely-held family collections and long-term portfolios. Demand, on the other hand, has been on an upward trajectory for many years. This simple set of circumstances explains why rare coins have increased in value over the long haul.

Of course the coin market, like other markets, will rise and fall and one must be able to hold their coins through the ups and downs. Professional Coin Grading Service (PCGS), one of the world’s two largest and well respected coin grading and certification firms, which has been in business since 1986, maintains indices to track the performance of the rare coin market. In fact, According to PCGS, mint state rare gold coins have outperformed bullion an average of 4 to 1 over the past 38 years.

How do I choose appropriate rare coins for my portfolio?

Answer: At ITM Trading, we have a team of highly trained representatives and experienced professional numismatists who are dedicated to working with you to select the right mix of tangible assets to fit your budget and goals.

How long is “long-term” investment?

Answer: There are no guarantees or absolutes when it comes to market performance. We will only look back in history and know when this great bull market ends. ITM recommends that coins be held for a minimum of three to five years and preferably five to ten years to maximize your potential gains. ITM in no way guarantees a profit on any coins that you may purchase (for more information please see our policies and procedures and risk disclosures documents). We consider this period to be a minimal “long-term” investment and we firmly believe that even better results can be obtained with longer holding periods.

How does the buying/shipping process work?

Answer: Once you have made your decision about your gold purchase, your ITM Trading consultant will connect you to our Trading Department, which has successfully processed thousands of rare coin and bullion transactions for over a decade.

To ensure complete accuracy, all pertinent information including the coins you will be acquiring, the designated name for ownership of the coins, and the address for shipment of your purchase will be verified via a recorded conference call with our trading department. ITM will then generate an invoice based on that information. We accept three forms of payment, bank wire, cashiers check or personal check. For your protection your coins will arrive registered and insured via the United States Postal Service, and will require a signature at the time of delivery.

It’s that simple! Call ITM Trading at 1-888-696-4653 to get started right away.

When I am ready to liquidate my coins, what is the process?

Answer: If you decide to sell any of your coins in the future, ITM will welcome the opportunity to make a bid on those coins. Alternatively, you may sell your coins privately or through one of the many other rare coin auctions or dealers throughout the United States. You should be aware however; that the price that private buyers or other dealers offer for your coins may be lower than our bid price. In some cases, other dealers may offer to buy your coins at a price that is substantially lower than the coins are worth, so that the dealer can maximize their profit when they resell the coins to another dealer or to another retail purchaser.

The process works like this: When you are ready to liquidate your coins, you should call us and we will give you an estimate of value. You will then ship them to us registered and insured through the U.S. Postal Service. When they arrive we will take you into trading and lock in the values just like we did when you purchased them. We will then process the order and mail you a check usually within three business days. It is a very simple process. For more information on this please read ITM’s Purchase Policies and Risk Disclosure document, or call an ITM Trading representative at 1-888-OWN-GOLD (1-888-696-4653).

Because coin prices are a reflection of supply and demand, much like stocks and bonds, bid prices can change every day or in some instances from minute to minute. As a result, the actual price at which we purchase your coins may be higher or lower than the bid price that we quoted before you shipped your coins to us.

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