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Tuesday, March 02, 2010

Pittman Kept Eye on Quality When Buying
By David L. Ganz


My friend John Jay Pittman, who was 37th president of the American Numismatic Association, a member of the 1947 annual Assay Commission, and coin collector nonpareil, died about 14 years ago in 1996. In the three succeeding years, 1997-1999, David W. Akers sold the Pittman collection at public auction.

“JJP,” as some called him, served on the ANA board from 1959 until he became president (1971-1973) and then ran for re-election. In November 1984, we sat together at Ben Stack’s funeral, and he used the opportunity to persuade me to run for the ANA board of governors.

He supported my candidacy and served with me for 10 years on the ANA board (including my two years as president, 1993-1995).

There were those who admired John Jay’s numismatic accomplishments as a collector and they were many – more about that in a moment – but my best memories were when we talked politics and planned the numismatic future of American coinage, in which he had an abiding interest.

Politics was twofold with John Jay. ANA politics was his fancy. And for more than 30 years, longer than anyone before (and, with an amendment to the bylaws pushed through by Ken Hallenbeck), no one else is very likely to serve as many years on the board of a national hobby organization (it is now limited to 10 years).

Pittman’s collecting interest spanned the globe. His holdings of early American proof gold coinage was rivaled, perhaps, only by the exemplars in the Smithsonian Institution. The British proof coin patterns, and indeed, the overall United Kingdom coinage, was nearly the equal of the British Museum.

Japanese coinage in his collection was probably second to the holdings of the Bank of Japan. Canadian coinage rarities include every major one – making it a clear second to the collection of the Bank of Canada and the Royal Canadian Mint. Its Mexican and South African holdings were legendary for their scope.

Significantly, over the last 50 years virtually all of the coins in the collection were placed on display at local coin clubs, regional and state shows and the ANA national conventions – John Jay traveled and spoke all over the country.

Many of the holdings were actually written up in The Numismatist, monthly publication of the American Numismatic Association, as part of the standard show-and-tells from coin club meetings of the 1940s and 1950s.

This extraordinary holding was assembled over Pittman’s lifetime.

What makes the assemblage all the more remarkable is that Pittman, who died on the day before his 83rd birthday on Feb. 17, 1996, did not have the fabulous wealth of a Norweb, Eliasberg or Garrett. He worked as a salaried employee – a chemical engineer for the Eastman Kodak Company – and bought his coins the way most collectors do, one at a time, over many years.

Collected from about 1940 until 1996, cumulatively the coins constituted more than 12,000 lots when sold by Akers.

To put that in historical context, that would be some 5,200 lots more than the fabled John Story Jenks sale of 7,300 lots sold over a 10-day period in 1921, garnering a then-incredible sum of $61,379.46. Pittman’s collection brought over $40 million in a three-catalog auction.

Pittman was a native Tarheel who grew up near Rocky Mount, N.C. He spent part of his youth as a hobo, riding the rails to New York City and then returning to attend and to graduate from the University of North Carolina.

“The school was founded in 1789,” he once told me, “the same year as your school, Georgetown University. Whenever there are academic processions, our schools stand together.”

By 1943, Pittman had already been collecting with sufficient intensity that he felt it appropriate to join the American Numismatic Association. His membership application was signed by George Bauer, Floyd Newell and William Hutcheson, and published in the September 1943 issue of The Numismatist.

Membership number 9759 was given to him. He later converted it to life member 152. This began his lifetime of membership in, and service to, the organization.

Pittman put his own stamp on things and was his own man. During his term as president, 1971-73, the hobby was in the midst of excitement over the coming Bicentennial, and the initial proposal of the United States Mint to commemorate the occasion with a half dollar and dollar bearing the dual date 1776-1976.

Pittman testified before Congress that the half dollar and dollar didn’t circulate and that the tribute was positively inadequate. He suggested adding the quarter as a circulating Bicentennial commemorative.

His role in creating the Bicentennial quarter is not given the credit for which he is due, even though in the official House report on Public Law 93-127 Rep. Leonor K. Sullivan, D-Mo., specifically gave him credit for the proposal.

Mrs. Sullivan wrote in the House Report that she was “impressed by Mr. Pittman’s plea for inclusion of the quarter, [and] the subcommittee urged the Treasury to restudy the feasibility ... Mrs. Brooks [the Mint director] subsequently reported that it would be possible ...” Pittman was also instrumental in working with Congress for the passage of the Hobby Protection Act in 1973.

For more than two decades following his early retirement from Kodak in Rochester, N.Y., in 1971, Pittman reached out to enrich the hobby with his background in chemical engineering, metallurgy and wealth of historical and political knowledge.

Pittman was honored repeatedly by the ANA. His numismatic service led to receipt of the ANA Medal of Merit in 1962; the Farran Zerbe Memorial Award for Distinguished Service in 1980; Honorary Life Membership in 1991; the Lifetime Achievement Award in 1994, and the Glenn Smedley Memorial Award in 1995. In 1992 he was inducted into the ANA’s Numismatic Hall of Fame.

Although I have written about John Jay’s collection extensively, when I started to put together my new book for Krause (Invest in Affordable Rare Coins: Build your retirement portfolio with can’t miss coins), I thought it was appropriate to devote a chapter to John’s accomplishments as a numismatist.

One thing that I did was decide to test John’s legendary “fine eye” against others in the marketplace. What better way to do this than with the coins comprising the Salomon Brothers coin portfolio index, which they started with Stack’s in 1978 and ran through 1990. (I’ve carried it on for many more years, but that is a different story).

Salomon took 20 coins (all silver and copper – no gold) and measured it over an extended period of time. Harvey Stack deliberately chose dates and types that were interchangeable. He also kept the identity of the component parts a secret.

My friends Neil Berman and the late Hans M.F. Schulman revealed the component parts in their 1986 book on investing in the coin market:

1. 1794 Liberty cap half cent, extremely fine;
2. 1873 2-cent piece, brilliant proof;
3. 1866 5-cent nickel with rays, brilliant proof;
4. 1862 3-cent silver, BU;
5. 1862 half dime, BU;
6. 1807 Draped Bust dime, BU;
7. 1866 Seated Liberty dime, BU;
8. 1876 20-cents, BU;
9. 1873 arrows quarter, BU;
10. 1886 Seated quarter, BU;
11. 1916 quarter, BU;
12. 1815 Bust half, uncirculated;
13. 1834 Bust half, BU;
14. 1855-O Seated half, BU;
15. 1921 Walking Liberty half, BU;
16. 1795 Draped Bust dollar, BU;
17. 1847 Seated dollar, BU;
18. 1884-S Morgan dollar BU;
19. 1881 Trade dollar, proof, and
20. 1928 Hawaiian half dollar.


As an example, the 1881 proof Trade dollar was a choice that could easily be substituted; as a proof-only issue, an 1879 or 1880, or even 1882 or 1883 would work.

The 1928 Hawaiian half dollar (mintage around 10,000 pieces) would substitute for many of the 144 commemorative halves; the modern era commemoratives were ignored because they were not yet a reality.

And so I used this approach for Pittman’s collection. In 1997, a year after he died, at around the time of the first sale of his collection, and for the following year, I took the prices realized and applied them:

The first price is Salomon, the second is Pittman. If the Pittman coin is different, it follows the second price.

1. 1794 Liberty cap half cent, EF, $2,750, $4,675;
2. 1873 2-cent piece, brilliant proof, $1,500, $1,320;
3. 1866 5-cent nickel with rays, brilliant proof, $2,000, $1,320, 1873 proof nickel
4. 1862 3-cent silver, BU $160, $660;
5. 1862 half dime BU $150, $1,265;
6. 1807 Draped Bust dime BU, $4,000, $49,500;
7. 1866 Seated dime, BU $1,200, $770;
8. 1876 20 cents, BU $800, $2,090;
9.1873 arrows quarter, BU, $1,200, $413;
10. 1886 Seated quarter, BU, $850, $2,640;
11. 1916 quarter, BU, $6,200 $4,125, 1923-S quarter choice BU
12. 1815 Bust half, uncirculated, $8,000, $3,300;
13. 1834 Bust half, BU, $600, $14,300;
14. 1855-O Seated half, BU, $700, $7,150
15. 1921 Walking Liberty half, BU, $2,600, $9,900
16. 1795 Draped Bust dollar, BU, $18,000, $13,200;
17. 1847 Seated dollar, BU, $1,100, $935, 1846-O XF-AU;
18. 1884-S Morgan dollar, BU, $16,500, $6,600 1881 Morgan dollar gem proof ;
19. 1881 Trade dollar proof, $2,000 $1,870 1882 proof Trade dollar, and,
20. 1928 Hawaiian commemorative half dollar, $4,500, $819 Lafayette dollar, AU.

Total Salomon: $74,810
Total Pittman: $126,851.50


Here are some of John Jay’s “cost” for his mini index, which I created from the auction catalogs: he acquired the half cent in 1954 at a cost of $24. The 1807 dime cost $11 from Bluestone in 1946. Another Bluestone auction item was the 1834 half dollar for $20.50 and the 1795 dollar for $42 in 1954).

It wasn’t a set of precise matches and when I picked substitutes, I low-balled (but of course used it against the actual price realized. (By the way, the price as of Dec. 31, 2009 for the portfolio: over $189,000.

Pittman’s collection might well be impossible to rebuild today, but his approach of “why not the best” paid off handsomely.

Friday, February 26, 2010

Wrong Date on Taylor $1 Edge
By Numismatic News


Discovery of a Zachary Taylor Presidential dollar with a 2010 date instead of 2009 has caused the U.S. Mint to recall 700,000 of the Taylor dollars already in the process of being released in hopes of preventing others from getting into public hands, Numismatic News error specialist Ken Potter reports.

Numismatic Guaranty Corp. announced Feb. 20 that it had authenticated a Zachary Taylor Denver Presidential dollar coin bearing the date 2010 on its edge instead of the correct 2009.

This is the first reported Presidential dollar with the wrong date. It might be the only one. The authentication process was overseen by NGC special consultant and mint error expert, David J. Camire.

NGC said, “This error coin was included in a roll of 2010-D Native American dollar coins that were purchased using the U.S. Mint’s Direct Ship Program. Since only this lone Zachary Taylor dollar was found in the roll, one can speculate that the same machinery was used to strike 2010-D Native American dollars after completing a run of 2009-D Zachary Taylor dollars. A coin was left behind somewhere between striking and edge lettering (and) became mixed with Native American dollars headed for the edge lettering process, and was thus inscribed with the wrong date.

“Because of where this coin was found, it does not suggest that a large run of error coins were made and, therefore, this type of error coin may remain a significant rarity.”

When asked what the value might be, Potter replied, “That’s a tough question.” If it remains one of a kind, he said, “I think it could be $10,000.”

NGC explained the Presidential dollar coin striking process this way, “The date on each Presidential dollar coin appears on its edge and is applied by an edge lettering die after the obverse and reverse are struck with a blank collar. Because edge lettering is an additional and subsequent step, it has been the source of several types of novel mint error coins. Most common among these errors is partial edge lettering, which occurs when a coin gets hung up in the edge lettering machine and part of the edge lettering is not impressed. Another error is missing edge lettering; that error occurs when a coin misses the edge lettering step entirely. A third error type that has been encountered is doubled edge lettering, which is created when a coin passes through the edge lettering machine twice.

“The error coins that result from a cross pollination of Presidential dollars and Sacagawea or Native American dollars are unquestionably some of the most exciting error coins coming out of any mint today,” Camire said.

Saturday, February 20, 2010

Numbers Point to Melting of 1873-CC Dollar
By Paul M. Green


Mintages can sometimes be deceptive. Of course when the mintage in question is just 2,300 pieces it is hard for that to get too deceptive, but this is the case for the 1873-CC Seated Liberty dollar.

In early 1873 Congress was moving toward the authorization of a commercial or Trade dollar that would be larger than the standard silver dollar. While that was pending the mints could not simply stop, so normal production continued.

In Carson City normal production was not really a way of life. Since the facility opened for business in 1870, it had seen one problem after another. From the start it never produced the numbers of coins many expected. The problem was not a lack of silver. Heaven knows there was silver by the ton in nearby Virginia City, where the Comstock Lode was being mined. However, the owners of that silver did not want to send it to the local mint. The first superintendent of the Carson City Mint was Abe Curry, who apparently had more enemies than friends in the area. A number of owners shipped their silver all the way to San Francisco. Even when Curry left, the practice continued.

The silver dollar mintages in the early 1870s at Carson City had been well short of enormous. The 1870-CC, the first of the Carson City silver dollars, had a mintage of 12,462, and that was followed by the 1871-CC with a mintage of 1,376 and the 1872-CC had a mintage of 3,150.

Under these circumstances, the 2,300 mintage of the 1873-CC was not unusual. The production was stopped once the law authorizing the Trade dollar was passed early in the year.

The precise number of 1873-CC dollars to reach circulation is not known. Certainly the total was not large as is seen in the G-4 price of $6,000 today, and that price rises to $48,500 in AU-50. It lists for $225,000 in MS-63 and $625,000 in MS-65.

The high prices suggest that something went wrong with the mintage as the 1873-CC is more expensive than the 1,376 mintage 1871-CC in every grade.

The logical reason is that the 1873-CC was melted. The new Trade dollar would have more silver. It made sense that even though the Trade dollar in theory was made to be exported, the public would rather have the dollar made with slightly more silver. It is worth noting that Carson City has a history of melting down coins. The 1876-CC 20-cent piece was almost certainly melted. The Trade dollar would see some melting as well with 44,148 being melted in July of 1878.

As it stands today the 1873-CC is tougher than a date produced just two years earlier and with a 1,000-coin higher mintage. The differences in numbers may not be significant, but they are enough to make the 1873-CC Seated Liberty dollar the true king of the Carson City dollars.

Saturday, February 06, 2010

2010 Lincoln Shield Cent Release
in Springfield, Illinois

By CoinNews.net



The US Mint on Thursday announced the ceremonial release date for the newly redesigned 2010 Lincoln Shield Cent.

The official launch will occur on Thursday, February 11, 2010 at 9:30 AM Central Time at the Abraham Lincoln Presidential Library and Museum in Springfield, Illinois.

The city is a popular destination for those wishing to follow in the footsteps of Lincoln, as it is there where he spent most of his adult life prior to becoming the 16th President of the United States.

Along with a plethora of other Lincoln related sites, to include the museum and the historic site where he lived, Springfield is home to Lincoln’s Tomb.

The new Lincoln "Preservation of the Union" penny is emblematic of President Lincoln’s "preservation of the United States of America as a single and united country." The reverse features a union shield with a scroll draped across it bearing the inscription E PLURIBUS UNUM. The 13 vertical stripes of the shield represent the states joined in one compact union to support the Federal government, represented by the horizontal bar above.
The union shield dates back to the 1780s and was used widely during the Civil War. In addition, the shield device is featured on frescoes throughout the halls of the U.S. Capitol Building by Constantino Brumidi, artist of the Capitol during Lincoln’s presidency. It was designed by Lyndall Bass and engraved by Joseph Menna.

Release Information

The ceremony in the Abraham Lincoln Presidential Museum is located at 212 N. Sixth Street,
Springfield, IL.

US Mint Directory Ed Moy will unveil the new cent.
Jan Grimes, Acting Executive Director, and Dr. James Cornelius, Curator, of the Abraham Lincoln Presidential Library and Museum will be in attendance, as well as Elizabeth Wooley, News Anchor/Reporter, WICS TV.

Following the event, children 18 years and younger will receive one of the new pennies while adults can exchange cash for between two and six rolls of the coins.

On the same day, the cents will be available at the counters of Union Station in Washington, D.C., and at the U.S. Senate’s credit union. Both are open from 10 AM to 4 PM ET.

Friday, January 15, 2010

Coins Proclaim Year of the Tiger
By Kerry Rodgers


It’s that time of the year again, the lunar new year, in fact. On Feb. 14 of solar year 2010 the new lunar year will dawn. It is a Year of the Tiger, the third aspect of the 12-year lunar cycle. For those who really need to know, it is the 27th year of the 79th 60-year zodiacal lunar cycle. And, if you insist on getting picky, it is a metal tiger or G?ngyín year.

Over the last couple of decades collecting lunar zodiacal coin issues has become a major sub-field of numismatics, and the world’s mints have had no intention of upsetting the punters this time around. Issues galore have been appearing over the past eight months.

Of course, for the Chinese the main significance of the coins is in giving – and receiving – them as gifts known as lai see, particularly the giving by adults to children.

The dosh commonly arrives in red envelopes that symbolize good fortune. Ideally the total amount of lai see cash involves numerous auspicious eights, and today smart mints package their lunar coins in red and/or involve “8” in one way or another, often either in the presentation or in the coin mintages.

The amount of money tells a recipient the depth of the donor’s feelings. Of course, these days folding money is the sole acceptable currency for teens. However, I am assured that a $10 coin will cut the mustard among most junior relatives, and I would except that any of the gold or silver coins described here would prove a most suitable lai see gift for those with a Tiger in their life.

This time around, the happy coincidence of the Lunar New Year with the Western world’s Valentine should represent a substantial money-saving bonus for some of us.


The Tigers Among Us

The Tiger got the bronze medal in the Great Race organized by the August Personage of Jade to determine the order of the lunar zodiac. He arrived at the finish line exhausted, panting out his pardons. He had found it difficult to cross the heavenly river. Strong currents kept pushing him downstream. It was only the power of his muscles that enabled him to reach the furthest shore in time for him to take his place as the third animal of the zodiacal cycle – after the Rat and the Ox.

The Tiger has come to be revered in many Asian societies. He is regarded as a mythical god-like being, a symbol of power and good fortune who protects people from evil, especially little children. His approximate Western counterpart is Aquarius.

The Tigers of our world score high in the popularity stakes. They are lively and engaging people. On their good days they come across as powerful, passionate and stimulating. They are intelligent, thoughtful, alert and farsighted, with a strong sense of their own dignity. They have little value for power or money. Those close to them find them sincere, affectionate and sensitive, being both generous and displaying great sympathy.

In general they are totally open and honest about their feelings, but they also expect the same from you. Then again, Tigers can be somewhat unpredictable. Never try and second-guess a Tiger. They may appear laid back but can strike without warning – and their claws are sharp.

They are naturally suspicious and, at worst, can be extremely short-tempered. Far too often they come into conflict with their elders or authority figures. The upshot is that they can appear intolerant, stubborn, aggressive, impulsive, rebellious and selfish.

Despite these shortcomings, Tigers are natural leaders, capable of inspiring great respect. They have their fingers on the pulse and are good strategists. Yet part of the package is a pig-headedness that can make them difficult if inspirational bosses. Beware their hidden agendas. Oddly, Tigers have trouble making decisions. Too, too often they rush off half-cocked with some ill-conceived notion or make the appropriate choice far too late.

Importantly, Tigers are incorrigibly competitors. They cannot pass up a challenge. They display courage to the point of recklessness but can afford the luxury of doing so, having been born lucky. As such, whatever the outcome, their natural good fortune ensures they land on their feet ready to pursue life with energy. In particular, expect Metal Tigers to stand out in a crowd.


New Zealand Mint’s Charismatic Cats

The newest member of the lunar coin club, New Zealand Mint, beat all other contenders when it released details of its first lunar issue in July of solar year 2009.

Following on from last year’s highly successful Year of the Ox coin, the New Zealand Mint has produced a matching Year of the Tiger 40 mm, 1-ounce, .999 fine silver $2 for Niue. Mintage is just 20,000 with an issue date of November 2009.

The reverse design shows a selectively-gilded, traditional tiger scaling a hill, signifying the animal’s readiness to scale the heights in its on-going quest for personal improvement. The evergreen pine trees around the hill’s summit invoke longevity.

The Tiger coin comes in an identical packaging to last year: a Lucky Blessings Gold Ingot that resembles a traditional boat-shaped gold sycee, a symbol of prosperity. The Chinese characters at top, front and back offer felicitations for success, longevity and happiness. In short, “Live long and prosper.” The auspicious peonies denote wealth, distinction, happiness and peace; a pair of magpies conveys joy and good fortune.

And the mint has produced its third lunar silver $2 for Pitcairn Islands. Mintage details are the same as for Niue except the coin’s diameter is 40.7 mm. The colorized reverse design shows a proud adult tiger prowling the alpine snows – which is just a tad incongruous given Pitcairn’s subtropical clime.

If your local dealer cannot supply either coin, try www.nzmint.com.


Perth’s Purrfection

Perth Mint may not have been first cab off the rank in the lunar coin game this year, but once again this mint has produced a vast array of lunar coins, with its first issues in the third part of its Lunar Series II released last August. Along with proof and common-or-garden bullion issues, there are several of those extra-special items.

Check out Perth’s Web site for details: www.perthmint.com.au. If your local dealer can’t supply, that is the place to buy.

Proofs: The reverse of the .9999 fine gold proofs all show a magnificent tiger’s head full frontal, its eyes focused on something just above the viewer’s left shoulder. The image is accompanied by the Chinese character for tiger, the inscription “Year of the Tiger” and the Perth Mint’s “P” mintmark.

The coins include 3,000 1-ounce ($100), 5,000 1/4-ounce ($25) and 5,000 1/10-ounce ($15) coins plus 3,000 three-coin sets containing one of each denomination housed in a oval timber and metal presentation case. The diameters and thickness of the three coins are: $100, 38.80 mm and 2.50 mm; $25, 22.60 mm and 2.20 mm; and $15, 18.60 mm and 2.00 mm.

The reverse of the .999 fine silver frosted proofs depicts a tiger in repose, perhaps contemplating a recent satisfying meal or lazily eyeing a prospective fatted calf, along with the Chinese character for tiger and Perth’s mintmark.

These silver coins come as 5,000 1-ounce ($1) and 500 1-kilo ($30) coins. In addition 2-ounce ($2) and 1/2-ounce (50 cents) proofs are available solely within 1,000 three-coin sets that include the 1-ounce ($1) proof. The diameters and thickness of the four coins are: $30, 100.60 mm and 14.60 mm; $2, 55.60 mm and 3.60 mm; the $1, 45.60 mm and 2.60 mm; and 50 cents, 36.60 mm and 2.30 mm.

Lunar bullion: Perth’s .9999 fine gold YoT bullion is the 15th such lunar issue with coin denominations similar to earlier years: 1/20 ounce ($5), 1/10 ounce ($15), 1/4 ounce ($25), 1/2 ounce ($50), 1 ounce ($100), 2 ounce ($200), 10 ounce ($1,000), and 1 kilo ($3,000). This year the 10 kilo ($30,000) has returned. The design is as for the gold proofs, showing a tiger full frontal.

No mintage limits exist for the $3,000, $1,000, $200, $50, $25, $15 and $5 gold bullion coins but production will close at the end of 2010. In the case of the $100, mintage is limited to 30,000 and production will cease when the mintage is fully sold or at the end of the series, whichever comes first. A maximum of 100 $30,000 coins will be produced on a made-to-order basis.

For the .999 fine silver bullion it is the 12th year of issue. The reverse design is that of the tiger-in-repose. Issues are identical to last year: 1/2 ounce ($0.50), 1 ounce ($1), 2 ounce ($2), 5 ounce ($8), 10 ounce ($10), 1/2 kilo ($15), 1 kilo ($30) and 10 kilo ($300).

Mintage limits are similar to last year’s Year of the Ox issues. No mintage limit applies to the $30, $15, $10, $8, $2 and 50-cent coins. With the exception of the $30, production of these coins will close at the end of 2010. Production of the 1 kilo coin will cease at the end of the series. In the case of the $1 coin, a maximum of 300,000 will be struck with production ceasing when that mintage is fully sold or at the end of the series, whichever comes first. A maximum of 500 $300 coins will be produced on a made-to-order basis.

Perth’s transmogrifications: As in past years, the $1 (1-ounce) .999 fine silver coin comes in Perth’s popular colored and gilded versions.

The tiger-in-recline come gilded in 24 karat with 50,000 of these coins struck in specimen BU quality. A colored version has a mintage of 170,000 with just 3,800 available in Australia, as was the case in the past two years.

All four proof, gilded, colored and bullion versions of the tiger-in-recline are available as a single packaged set. Mintage is 1,500 sets.

And this year’s colorized $30 1-kilo .999 fine silver gemstone issue comes complete with a golden topaz for the tiger’s eye.

The obverse of all of Perth’s coins shows the Ian Rank-Broadley effigy of Queen Elizabeth II, the 2010 solar year-date, the monetary denomination and, where appropriate, the weight, composition and fineness of the precious metal.


RAM’s Terrific Tortoiseshells

For the Royal Australian Mint the Year of the Tiger brings the fourth issue of their regular lunar series designed by Vladimir Gottwald. However, unlike the last three issues, this year there are just two coins: a 17.53 mm, 1/10-ounce .9999 fine gold $10 proof with a mintage of 2,500; and a 25.00 mm, 9.00 g BU aluminum-bronze with an unlimited mintage. No lunar silver proof in this series will be available in solar year 2010. If your local dealer cannot supply, these coins can be sourced from the mint’s Web site: www.ramint.gov.au.

In addition, it is the RAM’s second year for its second lunar series struck specifically for the Asian market and designed by Shang Erji. Last year’s Ox coins proved a great success and are matched by corresponding proof Tiger issues. These include a 40 mm, 1-ounce .999 fine silver dollar with a mintage of 30,000, a 17.53 mm, 1/10-ounce .9999 fine gold $10 with a mintage of 10,000, and a similar 30 mm, 1/2-ounce gold $25 with a mintage of 3,800. The silver dollar can be bought on its own or paired in sets with either of the gold coins. The gold $10 and $25 come solely in the sets.

At the time of writing, supplies of these coins in Australia were available from Downies at www.downies.com.


China’s Marvelous Moggies

The People’s Bank of China released 15 different .999 fine gold and .999 fine silver coins in October to celebrate the upcoming G?ngyín year. These come in a variety of shapes and sizes. All are legal tender of the People’s Republic of China.

The reverse of 11 of the coins shows a crouching tiger backed by tiger mask along with the face value and “G?ngyín” in Chinese characters. Nine of the obverses show the national emblem of the PRC either enclosed in a wreath of lotus and fish or flanked by lotus and fish to denote the upcoming year as one of abundance.

Four of these coins are conventional circular proofs: a 40 mm, 1-ounce silver ¥10 with a mintage of 100,000; a 100 mm, 1-kilo silver ¥300 (mintage 3800); an 18 mm, 1/10-ounce gold ¥50 (mintage 80,000); a 180 mm, 10-kilo gold ¥100,000 whose mintage is just 18 pieces.

Three are plum-blossom-shaped proofs: a 40 mm, 1-ounce silver ¥10 with a 60,000 mintage; a 27 mm, 1/2-ounce gold ¥200 (mintage 8,000); a 100 mm, 1-kilo gold ¥10,000 (mintage 118). Spring blossom is a potent symbol of the New Year. In general it signifies good fortune, but traditionalists consider the blooming of a seemingly dead branch as symbolizing hope. For those looking for love, plum blossoms are where it’s at.

Two coins are rectangular: a 80 by 50 mm, 5-ounce silver ¥50 (mintage 1,888) and a 64 by 40 mm, 5-ounce gold ¥200 (mintage 118).

Two BU strikes are fan-shaped: a 1-ounce silver ¥10 (mintage 66,000) and a 1/2-ounce gold ¥200 (mintage 6,600). Their reverses show the crouching tiger but their common obverse depicts the Drum Tower in Jiuquan, Gansu Province. In China fans represent prosperity and good fortune.

Four selectively colored coins have a reverse showing a traditional Chinese folk tiger design prancing in a field of auspicious peonies, along with the face value and the words G?ngyín in Chinese: a 40 mm, 1-ounce silver ¥10 (mintage 100,000); a 70 mm, 5-ounce silver ¥50 (mintage 8,800); an 18 mm, 1/10-ounce gold ¥50 (mintage 30,000); a 60 mm, 5-ounce gold ¥2,000 (mintage 1,500). The obverses of these coins are same as the round proofs.


Canada’s 'Kaptivating' Kitties

As in previous years, the Royal Canadian Mint launched its YoT coins in October and November. Last year was the 12th and last of the $15 bimetallic lunar series designed by Harvey Chan. This year the mint has inaugurated a new Lunar Lotus series, the work of Three Degrees Creative Group. The $15 .925 silver coin has a distinctive eight-fold scallops reminiscent of a lotus flower. On the reverse a restless tiger lashes its tail as it prowls through a bamboo grove. The plain-edged coin has a diameter of 38 mm and weighs in at 26.29 grams. As with Harvey Chan’s bimetallic lunar issues, the mintage is an auspicious 48,888.

Meanwhile, Harvey’s $150 18 karat (0.750 gold, 0.250 silver) extremely popular holographic lunar series continues on its most colorful way. As with the earlier nine coins in this series, the diameter is 28 mm and its weight 11.84 grams. Mintage is 4,888. The overall quality and colorfulness of this issue makes it an ideal Lunar New Year gift.

Both coins feature RCM’s distinctive, uncrowned effigy of Queen Elizabeth II by Susanna Blunt. Prospective purchasers can try www.mint.ca if their friendly neighborhood dealer proves unable to supply.


Singapore’s Fabulous Felines

This will be the 29th year Singapore Mint has issued its lunar coins. The first series ran from 1981 through 1992 and featured realistic representations of the 12 lunar animals. The second series from 1993 to 2004 depicted the animals as traditional Chinese cut-paper effigies.

Since 2005 the designs for the third series by Xu Yunfei of the Shanghai Mint has drawn its inspiration from traditional Chinese calligraphy. His Year of the Tiger coins were released on Nov. 21, 2009. The coins themselves are available from www.mint.com.sg or with a bit of tiger luck, from your favorite coin dealer.

As in recent years, three 0.9999 fine gold proof coins are available: $5 (1/4-ounce, 21.96 mm, mintage 2,000), $100 (1-ounce, 33.00 mm, 2,000) and $200 (5-ounce, 60 mm, 200).

In addition a tiny, 7 mm, 0.3 gram $1 gold coin comes mounted on a gold-colored card featuring a tiger family portrait. Singapore Mint claims this to be the smallest 0.9999 fine gold coin in the world. With a mintage of 3,000, it makes an ideal lai see gift for a junior relative.

The massive 5-ounce 0.999 fine $25 silver coin is the largest coin issued by Singapore Mint. The diameter is 65 mm and mintage of just 250 pieces. It is complemented by a small 20-gram $2 silver coin with a 6,000 mintage. But the prize of the silver collection is the 2-ounce, 45 mm, .999 fine silver $10 piedfort on which the tiger burns bright in full glorious color. Mintage is 20,000.

For those not into precious metals, as in past years a cupronickel proof-like, 38.70 mm $2 is available with an 80,000 mintage.

Once again these coins are available singly or in sets. The three-in-one set contains the $100 gold, the colored $10 silver piedfort and the $2 cupronickel coin, as well as an additional eight-sided, floral-shaped ingot featuring a tiger family taking their ease. The painting is the work of tiger artist Mr. Tan Seng Yong. Only 500 of these sets are available.

This year there is also a two-in-one set that contains the colored $10 silver piedfort, the $2 cupronickel coin and the eight-sided, floral-shaped tiger family ingot. Three-thousand sets have been produced.

And the regular circulating coin sets of the Singapore Mint for 2010 are available in bright red tiger-embellished packs accompanied by an auspicious Chinese New Year blessing. The obverse of all coins bears the Singapore Arms and 2010 solar date.

Once again the Singapore Mint has struck the lunar commemoratives for the Monetary Authority of Macau, as has occurred in the Year of the Rat and Year of the Ox. In keeping with these earlier issues, the designs blend of Western and Eastern cultures as happens in the melting pot of Macau itself.

The obverse of each 2010 coin features a stylish tiger crouching amidst pine trees depicted in brilliant red and green and symbolizing longevity. On the reverse is the Mandarin’s House built in 1881. A World Heritage Site, this was the home of the distinguished scholar Zheng Guanying, whose writings on economics influenced both Mao Tse Tung and Sun Yat Sen.

Mintages, denominations and metals are as for last year’s issue: 21.96 mm, 1/4-ounce (7.776 grams) .9999 fine gold colorized proof 250 patacas with a mintage of 3,000; a 65.0 mm 5-ounce (155.52 grams) .999 fine colorized silver proof 100 patacas with a mintage of just 500; and a 40.70 mm, 1-ounce (31.10 grams) .9999 fine silver colorized proof 20 patacas with a mintage of 6,000.

The coins along with those from Year of the Ox and Year of the Rat are available from www.mint.com.sg.


But There’s More!

Regrettably, back in November 2009 Mongolia’s designs were unknown but, as in recent years, The Big Cat will likely stalk this country’s second lunar cycle series on its 500, 1,000, and massive 2,500 tugrik silver issues, as well as the 10,000 and 50,000 tugrik gold coins.

Nor had anything come in from Monnaie de Paris, who became a fully paid-up member of the lunar coin club in 2007. If the last three years are anything to go by, it can be assumed they will be issuing their silver 1/4-euro and gold 10-euro lunar coins with their distinctive, if somewhat unusual, bicultural designs: the obverse with Jean de La Fontaine, the 17th century French fabulist, and all 12 lunar zodiacal animals; the reverse bearing a tawny cat.

And I am sure there are others out there. Kung hei fat choi!

Thursday, January 14, 2010

Collecting U.S. Coins on a Budget

By Dr John H. MacMillan

The numismatic hobby is indeed “the hobby of kings” as a virtually unlimited amount of money can be spent on rare items if finances permit. Wealthy collectors such as Col H.R. Green, King Farouk of Egypt and Louis Eliasberg had no trouble acquiring rare items when the became available. Collectors of more modest means must focus their interest and “buy smart” or else risk financial difficulties.

Coin collecting can become addicting, and many collectors go over their budget on impulse purchases or spending sprees. It is imperative that you set a maximum amount you will be spend per month or year. This collector has found that on an amount of $1500-$2000 per year rapid progress is possible in many specialties for several years, provided that the periods are from 1850-present and the grades are extremely fine to proof. In today’s age this amount of money could be spent on a single computer or set of golf clubs!

The collectors advantage is that the collection will at least give a partial return of his money in the future, as compared to other items that depreciate to zero. The article is written from the perspective of a modest means collector, who wishes to enjoy his coins primarily from an artistic and historical viewpoint.

Of course he or his heirs will want to obtain at least a modest return on his hard earned money in the future. I will present the “buying smart” strategies from the context of a U.S. type set collector, but these thought processes apply to other collecting specialties such as date collecting, World Coins or ancients.

Getting started

Getting started as a U.S. type set collector is quite easy if one desires a set of circulating U.S. coins. One may pull nearly uncirculated examples from change and upgrade by ordering proof sets from the U.S. mint at less than $20.00. As many state quarters are circulating, this phase can be quite a lot of fun for several months. After the fun phase the new type collector can focus on earlier twentieth century issues.
At this point his first buying decisions must be made. Should he buy uncirculated or proof walkers, standing quarters, buffalo nickels etc or settle for circulated grades? As a rule of thumb, this collector would advise that you proceed by acquiring the best grade you can afford, remembering to not show glaring grade discrepancies if you will exhibit.

For example, a fine condition standing liberty quarter will “stick out like a sore thumb” in a collection surrounded by about uncirculated or brilliant uncirculated quarters. Excluding Barber quarters, and gold coins, a twentieth century type collection should be assembled at a minimum of the about uncirculated (A.U.) grade.

The second half of the nineteenth century will provide far more difficult grading and acquisition decisions. Does the collector try for extremely fine as the minimum grade or very fine? Should he include all Red Book varieties, even more exotic variations such as the 1859 “hollow star” half dime, or only the major types? The financial resources of the collector, his preferences and patience, all will influence his decision. I would advise purchasing this fifty year period in a minimum of extremely fine grade, even if the acquisitions slow somewhat due to finances. After all, you have your entire life to collect, and attractive higher grade coins always bring more on resale.

The decisions become even more difficult for the first 50 years of the nineteenth century. Are “no drapery” versions of the seated half dimes through half dollars to be included? I believe they are significant variations and have included them in my set. Prices are quite reasonable for the no drapery series in very fine and extremely fine grade.

Early gold coins from 1800-1833 are rare due to extensive melting, and are out of the price range of the average collector. I advise focusing on completing gold type from 1834 on in minimum of extremely fine grade. Certain early gold types are also available as legal reproductions (see below).

An additional complication now arising is how to deal with poorly struck issues, such as 1808-1814 large cents and 1800-1805 half dimes /dimes. Well struck problem free examples of these series are rare and cost many multiples of average strikes. My usual advice not to buy weakly struck coins still applies here unless the collector is on a very tight budget.

Costs rise dramatically in all series for about uncirculated grade and above. This collector has set a minimum grade of very fine for all coins of this period. As always you the collector must make your decisions based on “finances, preference and level of patience”. Never buy “bright shiny” early copper or silver unless professionally certified, as cleaning is probable. A cleaned coin is a difficult sell later.

Choice condition eighteenth century U.S. coins become nearly impossible for the moderate means collector. He may think that difficult choices must be made between obtaining extremely worn examples of many series (chain, wreath cents, early dimes) at greater than $500 each, or acquiring choice specimens only after protracted savings plans.

I solved this problem by obtaining a minimum of very fine grade for the type coins costing $1000 or less. The remaining slots were partially filled with choice reproductions from the Gallery Mint Museum in Eureka Springs Arkansas or Royal Oak Mint in Michigan. Vacant slots hopefully await further reproductions! Some discontinued GMM issues such as chain and wreath cents, have actually appreciated substantially in the open market.

Several hundred dollars spent on choice copies, in my opinion, is preferable to many thousands of dollars for barely discernable specimens provided that the collector is in the game for fun and history rather than investment.

Grading

The topic of grading will always bring controversy, but I will give brief guidelines.

a. Buy a copy of “Photograde” by James F. Ruddy and study all the pictures. Read the fine print about idiosyncrasies in each series. Try to grade yourself all circulated type coins you view, as moderate means collectors will include many circulated coins in their type set or other series.

b. If you are uncomfortable grading yourself, buy only Professional Coin Grading Service (PCGS), Numismatic Guarantee Corporation (NGC) or ANACS certified coins, even if they cost more. The old cliches read true in coin collecting, “you get what you pay for” and “there is no Santa Claus in Numismatics”. On eventual resale, a high percent recovery of cost, or even profit, is more probable for coins graded by these services. Lesser known services are more spotty in their standards and should be avoided.

c. Do not buy weakly struck coins, even if attractively priced. A weakly struck coin shows design obliteration only in specific areas, not on all, as is the case for a worn specimen. If you are unsure, pass on it.

d. If you do not like how a coin looks don’t buy it, as others probably wont like it either.

e. View as many coins as possible in all series. Internet auctions such as E-bay, and Internet dealers on-line catalogs are great starters. Go to all local shows and scan the bourse floor! Learning to grade your self before bidding is especially critical for internet auctions, as many coins offered there are grossly over graded.

Optimal Collecting Grade (OCG)

Eminent numismatic scholar Q. David Bowers has presented this wise collecting strategy in his recent work “The Experts Guide to Collecting and Investing in Rare Coins” and elsewhere. Basically, the budget conscious collector will “get the most bang for his bucks” by avoiding grades where the next lower grade is dramatically lower in price. Three examples will illustrate the concept.

Data are from a recent “Coin Values” issue.

1. 1902-O silver dollar, MS-64 $65.00, MS-65 $175.00, MS 66 $800.
2. 1922 Grant Memorial 50 cent, No Star, MS 63 $200, MS 64 $350, MS65 $1000
3. 1877-S, $20, AU58, $650.00, MS-60, $900, MS-62 $3500.

The highest grade listed for all three should be avoided. For the 1877-S, AU-58 may actually be the best value and the most attractive, as most MS-60 coins are heavily bag marked.

Avoid “MS-70″ certified common modern coins. They are usually highly priced and extremely subject to price downturns, as many more of them will be certified in the future.

Common Mistakes

I have made most of these mistakes myself. “Act in haste, repent in leisure”. Warning you of these pitfalls will help in economical collecting. .

a) Buying low grade low price coins to “quickly fill the holes” is always a mistake, as low grade coins have poor eye appeal and have practically no resale value. If you are a compulsive and impatient individual like me you can easily fall into this trap.

b) Not returning a coin with some problem as it is a “hassle” to repackage and mail. Believe me, it is a bigger hassle to be stuck with a “doggy” coin and face the necessity of upgrading it later. Ship it back to the dealer and don’t look back!

c) Buying for profit. Coin collecting is for fun, and a collection acquired over many years can sometimes but not always be sold for gain. Most circulated type coins bring only 30-60% of retail. If you seek profit from collecting buy only P.C.G.S or N.G.C. certified coins in mint state 63 and higher. Even for these coins profit is not guaranteed. The coin market is extremely cyclical with constant switching of “hot” and “slow” series. An advantage for the type collector is his intrinsic diversification by possessing many different series.

d) Impulse buying. Always have a short list of coins you wish to add in the next several months, their range of conditions, and expected price ranges. If the next morning after purchase you have regrets, return the coin immediately.

e) Going off the track. If you wish to enjoy collecting to the fullest, you should focus on at most two collecting specialties at a time. Doing otherwise will squander money and time on what will look like a mishmash with no theme. This collector in addition to U.S. type coins also has small collections of political hard times tokens, civil war tokens and ancients. I focus on only two of these in a calendar year.

Upgrading

In general, if you have the patience and discipline, it is always best to buy your coin just once in a pleasing grade that shows all the design details. Buying lower grade coins to fill the holes was mentioned earlier as a mistake. When you upgrade you become saddled with a lower grade duplicate that you probably cannot sell at retail value, or even at a loss. Thus you are paying more for the item in the long term. If you must upgrade, my general rule is that upgrading less than two full grade units is not worth it. For example, upgrade a very fine coin to about uncirculated, a fine coin to extremely fine, etc. At least in this manner you will also see a significant upgrade in eye appeal and detail, partially compensating for probable financial loss.

Legitimate Reproductions

It was mentioned earlier that many early U.S. type coins are high priced even in low grades. It is a matter of collector preference if you wish to fill these holes with modern reproductions. All legitimate reproductions contain the word “copy” on obverse or reverse. Avoid counterfeit coins or old reproductions without the word “copy” as they present resale and legal difficulties! This collector has been well satisfied with those manufactured by the Gallery Mint Museum in Eureka Springs Arkansas and the Royal Oak Mint in Michigan. They are made with close reproductions of original mint equipment, are original size, and are quite attractive. I collect the uncirculated rather than the proof versions, as they more closely resemble the look of the original coins. “Medal size” reproductions are junk. Avoid them.

Final Thoughts

The extremely successful state quarters and westward journey nickel series have drawn millions of novice collectors into our wonderful hobby. Many of these new collectors have limited finances but have been “bitten by the bug”. They will wish to expand into other collecting areas without straining their budgets. I hope this article will assist them in enjoying many years of collecting pleasure.