20 Investments: Collectibles
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  1. 20 Investments: Introduction
  2. 20 Investments: American Depository Receipt (ADR)
  3. 20 Investments: Annuity
  4. 20 Investments: Closed-End Investment Fund
  5. 20 Investments: Collectibles
  6. 20 Investments: Common Stock
  7. 20 Investments: Convertible Security
  8. 20 Investments: Corporate Bond
  9. 20 Investments: Futures Contract
  10. 20 Investments: Life Insurance
  11. 20 Investments: The Money Market
  12. 20 Investments: Mortgage-Backed Securities
  13. 20 Investments: Municipal Bonds
  14. 20 Investments: Mutual Funds
  15. 20 Investments: Options (Stocks)
  16. 20 Investments: Preferred Stock
  17. 20 Investments: Real Estate & Property
  18. 20 Investments: Real Estate Investment Trusts (REITs)
  19. 20 Investments: Treasuries
  20. 20 Investments: Unit Investment Trusts (UITs)
  21. 20 Investments: Zero-Coupon Securities
  22. 20 Investments: Conclusion

20 Investments: Collectibles

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.)

Strengths
  • Many collectibles offer reasonable protection from inflation.
  • Weaknesses
  • Not very liquid, they can often be hard to sell at a desirable price.
  • They do not provide any tax protection.
  • Collectibles do not offer any income to the investor.
  • The true value can often be difficult to determine.
  • Because there are so many uncertainties don\'t count on any collectible for your retirement.
  • Three Main Uses
  • Capital Appreciation
  • Inflation Protection
  • Self Fulfillment
  • 20 Investments: Common Stock

    1. 20 Investments: Introduction
    2. 20 Investments: American Depository Receipt (ADR)
    3. 20 Investments: Annuity
    4. 20 Investments: Closed-End Investment Fund
    5. 20 Investments: Collectibles
    6. 20 Investments: Common Stock
    7. 20 Investments: Convertible Security
    8. 20 Investments: Corporate Bond
    9. 20 Investments: Futures Contract
    10. 20 Investments: Life Insurance
    11. 20 Investments: The Money Market
    12. 20 Investments: Mortgage-Backed Securities
    13. 20 Investments: Municipal Bonds
    14. 20 Investments: Mutual Funds
    15. 20 Investments: Options (Stocks)
    16. 20 Investments: Preferred Stock
    17. 20 Investments: Real Estate & Property
    18. 20 Investments: Real Estate Investment Trusts (REITs)
    19. 20 Investments: Treasuries
    20. 20 Investments: Unit Investment Trusts (UITs)
    21. 20 Investments: Zero-Coupon Securities
    22. 20 Investments: Conclusion
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