What Is It?
Generally speaking, a collectible is any physical asset that appreciates in value over time because it is rare or it is desired by many. Many people think of collectibles as things like stamps, coins, fine art or sports cards, but there really are no strict rules as to what is or is not a collectible.
Objectives and Risks
The objectives behind investing in collectibles vary depending on the person and the collectible. Collectibles can take very long to increase in value, and they offer no assurances as to their value in the future. Furthermore, unlike other investments, collectibles offer no income. The one advantage is that most collectibles increase in value along with inflation.
How to Buy or Sell It
Collectibles can be bought just about anywhere. More popular places are flea markets, antique stores, collectible retailers, auctions, garage sales, and more recently, online exchanges such as eBay. The value of the collectible can vary widely, but is dependent for the most part on supply and demand for the asset.
The maturity for a collectible can also widely vary. For fads such as Beanie Babies or Pokémon cards, the price of the collectible can reach its peak very quickly. Other items such as antiques can take several decades before appreciating in value. (To read more on collectible investments, see Contemplating Collectible Investments.)
|Three Main Uses |
Financial AdvisorIf you plan to sell collectibles, it's imperative that you know the tax implications.
Managing WealthInsuring your valuable collectibles is just as important as insuring the rest of your home's contents.
Personal FinanceLearn about the debt collection process so you know how to handle it if it happens to you.
Managing WealthCollectibles can be a notoriously fickle market, but here are a few ideas about spotting what might become a valuable collectible down the road.
Small BusinessAverage collection period is an accounting term referring to the average number of days between a sale made on credit, and receipt of the payment. Businesses monitor this number to make sure ...
Managing WealthClassic cars, fine art, jewelry and more can be safe havens to invest funds. Find out which asset classes performed best in 2015.
Financial AdvisorThe collectible car market has grown spectacularly, but recent numbers show that it may be heading for a correction.
InvestingThe collaboration will go on sale starting April 9 and includes 200 varieties of dresses, sweaters and shirts, for girls and women.
InvestingThese companies are perfect if you're looking for a sector that can outperform if the economy continues to improve or takes a turn for the worse.
Personal FinanceThe Consumer Financial Protection Bureau has proposed new regulations designed to offer consumers more protections when dealing with debt collectors.