Hi, this is Gary from Land of Coins .com. Thanks for clicking on this page. Have you ever wondered how to know the best coins to collect for investment? Have you ever wondered what the annual rate of return is for rare coins. Well today I'm going to show you how to do a simple mathematical formula that'll help you in getting the exact rate of return over a specific time frame for rare coins.
I'll give you an example of how to do this so you know how to do it yourself and select the valuable coins that trend up in price. First, what you need is a calculator. The calculator does have to have an exponential button feature. The button will have an x with a small y above it on the top right. I call it the xy button. Smart Phones have them too. Go to your calculator on your phone, then you'll see the xy button.
Now that you have your calculator, you go to the Land of Coins .com website and you check out our rare coin history price guides. They show you the history pricing of coins throughout the decades. You then pick the type of coin and the starting year that you want to start at. Let's say the year 2000. Go to the coins chart. Go to the year 2000 and look at the value of the coin for the year 2000. Next we go to the price of the coin today in 2015.
Lets use a 1916 Standing Liberty quarter. Which, if you can afford it, is one of the best coins to collect for beginners. You will be happy. Today the 1916 Standing Liberty Quarter in 2015 is $6,325. We call this the ending value. Starting value in the year 2000 was $2,250. Take $6,325 ending value, divide by the starting value $2,250 and that comes out to 2.8 times your money in 15 years. Excellent return and one of the tops for best coins to collect for investment. Remember that number of 2.8.
Now all you have to do is take your calculator and divide 1 by the number of years. It's 15 years from 2000 to 2015. You take the number 1 and divide by the number of years, 15 that equals the number .067, now remember that number to determine the rate of return for the investment.
Here is where the little xy button on your calculator comes in handy. Take the 2.8 times your money and the .067 number. Go to the calculator, and type 2.8 Then press the xy button, then type in .067 which results on 1.07.
The only number you need to look at now is the last two digits which is 07. That means a 7% annual return for every year of the 15 years. The 1916 Standing Liberty Quarter is a great coin to collect as an investment.
Go back and review and practice. It will become second nature in just a little time. Once you remember the formula it's real quick and easy to figure the rate of return for rare valuable coins.
Use the Land of Coins rare coin history price guides to get your starting and endings numbers. You will notice some coins are better for investment than others. Do your calculations to figure it out which ones are the best and have fun.
Thank you for reading this page and I hope this was helpful.
And remember go to Land of Coins .com if you want to buy and sell coins with no transaction fees. You can save a lot of money by avoiding eBay and coin auction houses. Auction houses and eBay all have high transaction fees and it could cost you a lot of money to do business with them. You can go to Land of Coins .com and buy and sell unlimited amount of coins with no transaction fees. It's only $15 a month to buy and sell as many coins as you want. This is Gary from Land of Coins .com. Thank you for reading how to find the best coins to collect for investment!
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