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Category: CAC

What Gold Coins Do CAC Stickers Add the Most Value to?

By Doug Winter – RareGoldCoins.com

After two+ years of being traded on the open market, I think few collectors and dealers would argue the statement that CAC stickering has added considerable value and liquidity to many types of United States gold coinage. But are we now able to determine with a decent degree of accuracy which coins are most affected by a CAC (or the absence of a sticker)? Let’s take a look at some areas of the gold coin market and see how CAC is adding value.

One of the areas that CAC has added the greatest amount of value is in the St. Gaudens double eagle market. The impact is seen two ways. The first is with common “generic” issues in MS65 and MS66. One of the main reasons why the premium for non-CAC certified MS65 Saints is so low when compared to MS64 coins is that most of the coins in MS65 holders are not significantly better than those graded MS64.

What CAC has done is to identify those coins graded MS65 that are nice quality and which are “real” 65’s. Currently, non-CAC Saints in MS65 trade for around $2,300. Those with CAC stickers are worth at least 10-15% more. They are also quite liquid and can be sold even when dealers have extensive numbers of non-CAC coins in stock. Non-CAC MS66 Saints are currently worth around $2,750-2,850 per coin. The premium for MS66 Saints with CAC stickers is at least $750-1,000 per coin. Given the fact that the stickered MS66 coins I have seen are very nice (as compared with the non-stickered coins which range from inferior for the grade to decent) this premium makes sense.

Another area where CAC stickered coins are selling for a significant premium is in the better date Saint market. Let me pick a random issue: the 1927-S in MS64. This coin has a current bid of $70,000 in this grade and a bona-fide Gem is worth double this. The quality of 1927-S double eagles varies greatly and there are coins that are very low end and hard to sell for $55,000 and coins that are very high end and worth over bid. I can’t recall having ever seen a 1927-S in MS64 with a CAC sticker but if I had a PCGS/CAC coin that I liked I’d quote $75,000+.

Early gold (i.e. gold coins struck from 1795 to 1834) is area that has shown itself to be influenced by CAC stickers. I don’t like every single piece of CAC-stickered early gold that I see but I like at least 90% of the coins. Compare this to non-CAC early gold where probably 50-60% (or more) of the coins offered at auction or through dealer’s websites are not, in my opinion, nice for the grade. I find this to be especially true with early gold in the MS63 and MS64 grades. As an example, an 1812 half eagle in MS64 with a CAC sticker is currently worth around $40,000. The same coin in the same grade that is not stickered and which is not a CAC-quality coin, in my opinion, might be hard to sell for $32,500. More and more collectors of coins like this are demanding that they be CAC stickered and the premium for the pieces that have the Green Bean is at least 10-15% and climbing.

Because so many Proof gold coins have been doctored over the years, CAC-stickered pieces are currently garnering high premiums. This is more so with Matte Proofs than Brilliant Proofs. I can’t remember seeing more than a few Matte Proof gold coins in the last two years that weren’t doctored to the point that they weren’t even the right color. When the few remaining fresh pieces come onto the market, they realize strong prices. As an example, Stack’s just sold at auction a lovely 1913 Matte Proof gold set. All four coins were CAC stickered and all four brought exceptional prices. I see similarly graded washed-out NGC Matte Proof gold from time to time and it brings Greysheet prices or lower; these superb, vibrant Gems brought numbers that were way over “sheet.” (more…)

Five Things You Can Do to Make Your Coins Worth More

By Doug Winter – RareGoldCoins.com

If you have been collecting rare coins for more than a few years, there is a good chance that you have “found money” in your holdings. What I mean by this is that there are a number of things that you can do–often with little or no cost–that can significantly improve the appearance and value of your coins. Here are five suggestions:

1. Send Your Coins to CAC. CAC is now well established as an important factor in the high-end segment of the market. In certain areas, CAC coins trade for a nice premium and there is no doubt in my mind that a CAC sticker makes a coin more marketable. Submitting a coin to CAC is very inexpensive; typically just $10 to $20 per item. Another thing that’s nice about submitting coins to CAC is that you are getting an expert’s opinion (in this case John Albanese) for next to nothing. You might try sending a sample of your five best coins to CAC. If you get CAC approval on all five coins, you know you are doing something right. If only one or two get the coveted “green bean” then you can assume that the dealer you are buying from needs to be replaced.

2. Attribute Your Coins. Let’s say that you are a date collector of early half eagles. It makes sense to purchase the Bass-Dannreuther book on early gold to attribute all your coins to “BD” numbers. You might get lucky and find that one of the coins that you own is a very rare die variety. This isn’t necessarily an immediate financial upgrade, as it would be in a series like Bust half dollars or Large cents which are avidly collected by variety. But wouldn’t you rather keep the potential financial upgrade for yourself than to read on page three of Coin World how some lucky collector just cherry-picked an excessively rare variety of 1806 half eagle? Also, if PCGS or NGC attributes varieties in the series you collect and you find a good variety, have it marked on the slab.

3. Pedigree Your Coins. If you have a coin from a famous collection like Bass, Garrett, Eliasberg or Norweb, a pedigree can add value. Some coins from these collection are clearly marked on the PCGS or NGC insert. But there are hundreds of others that have “lost” their pedigree for one reason or another. I’d suggest that you purchase all of the major auction catalogs in the area that you specialize in and spend a few hours searching through them. Your coin(s) may have a different appearance than they did in an earlier sale, but if they have an obvious mark this will make it easy to trace them. If a great pedigree is easy to prove, send the coin along with a xerox of the catalog page to PCGS or NGC.

4. Reslab Your Coins. Please note that I didn’t say “regrade” your coins. That’s another subject entirely and one that, if you have coins in old green label or “fatty” holders, I do not necessarily think will add value to your coins. What I mean by “reslabbing” is that many coins are in holders that show severe scuffing, wear, or dullness. A great coin can look just so-so if the holder it’s in doesn’t present itself well. I know this sounds a little hokey but its no different than deep-cleaning your house when you get ready to sell it. If all of your coins are in pretty, fresh slabs it is going to make your coins look nicer. (more…)

Heritage adds CAC Population Data to Rare Coin Auction Archives

A very quick way to measure a coin’s rarity is to look at how many coins of a particular date have been graded by the major grading services. Three figures are key as a rule of thumb in determining rarity:

  • The population of a coin in a particular grade, which shows how difficult the coin might be to replace exactly
  • The population of a coin in all higher grades, which shows how difficult a coin might be to upgrade
  • The population of a coin in all grades, which shows how difficult a coin might be to find at all.

The first two figures above are often written in shorthand. For example, a coin with a population of 100/4 has 100 known in the same grade and four known in higher grades. A coin with a population of 1/0 is the finest known to the grading service that certified it.

One of the features that has long been available on the Heritage Web site listings and archives HA.com/Coins are population reports. PCGS and NGC keep track of every coin they grade, and Heritage is generous enough to post this information, in condensed form, on the web page for every US coin.

Now, Heritage has added the CAC population data to it’s population listings.

As an example, the table you see here covers an 1911-D $20 Saint Gaudens Double Eagle, graded MS65 (in this case by NGC). Under the header “Population”, you can see that the PCGS Population Report shows 1731 1911-D $20 Saints with an MS65 grade, NGC Census figures show 1831 similar coins and CAC has stickered 130.
(more…)

Coin Rarities & Related Topics: Bowers & Merena auction, Proof 1876-CC dime, and $150 million for the CAC

News and Analysis regarding scarce coins, coin markets, and the coin collecting community #5

A Weekly Column by Greg Reynolds

I. Today’s Theme

I will not be discussing the most expensive or the rarest coins that are coming ‘on the auction block’ this week. Rather, I have selected a few that I find to be both newsworthy and particularly interesting. Admittedly, these are expensive. I continue to insist, though, that an understanding of rare coins, and of the values in the coin collecting community, requires knowledge of coins that most collectors cannot afford.

Suppose that this column was geared towards art enthusiasts rather than coin enthusiasts. Would it then make sense to discuss only the paintings that most art collectors could afford? Collectors who cannot afford great and culturally important paintings enjoy learning about them and often learn to apply their knowledge of famous painting to their interpretations of a wide variety of not-so-famous paintings. Likewise, coin enthusiasts, in general, appreciate coins that are great, famous, very rare and/or important to the culture of coin collecting.

Please see my discussions below of the following coins. The 1851-O trime is the only Three Cent Silver issue that was not struck at the Philadelphia Mint. Indeed, it is curious that the New Orleans Mint struck this denomination, as the Branch Mints tended not to manufacture small denomination coins in the 19th century. The Hawaiian Eighth-Dollar is certainly extremely rare and extremely curious. The 1926-S nickel issue is just incredibly difficult to find in MS-65 or MS-66 grade. As I discussed one in last week’s column, I could not resist mentioning another, as B&M will auction it this week in Baltimore. Similarly, I discussed a rare and historically important King James II English gold coin last week and B&M will auction a coin of the same design type this week. Plus, the unique Proof 1876-CC dime is one of the most exciting coins of all.

II. The CAC Surpasses $150 Million Level

It is widely known that the CAC approves (or rejects) submitted coins that are already graded by the PCGS or the NGC. Approved coins receive a green sticker, or, in rare instances, a gold sticker. It is not as widely known that the CAC will make sight unseen commitments to pay competitive prices for CAC approved coins. These are not ‘low ball’ bids. As of June 15, the CAC has purchased $154 million of coins, almost all of which are CAC approved.

The CAC was founded by John Albanese in Oct. 2007. CAC purchases have thus been averaging more than $4.7 million per month. The $150 million level was reached in early June.

Albanese was the sole founder of the Numismatic Guaranty Corp (NGC) in 1987. Around Dec. 1998, he sold his shares in the NGC to Mark Salzberg, who is the current NGC Chairman. (For more discussion of the CAC, please see my articles on CoinFest, Jay Brahin’s Coins, the PCGS graded MS-68+ 1901-S quarter, the 20th Century Gold Club, and Dr. Duckor’s quarters.)

Although the CAC has acquired thousands of coins that are valued at under $5000 each, the CAC has approved and acquired some very famous coins. Among others, the Eliasberg 1870-S silver dollar and the finest known, Rogers-Madison 1796 ‘No Stars’ Quarter Eagle ($2½ gold coin) come to my mind.

III. Unique Proof 1876-CC Dime

Laura Sperber, of Legend Numismatics, acquired the unique Proof 1876-CC dime from a New Jersey dealer in early June. On Saturday, June 12, she sold it for an amount in excess of $200,000. It “went into a collection of Proof Seated Dimes,” Sperber reveals. It is certified as Proof-66 by the PCGS and has a sticker of approval from the CAC. (more…)

Certified Acceptance Corp (CAC) to Maintain Strict Coin Grading Standards

Change may be in the air at one or more coin grading services, but dealers, collectors and investors will find business as usual at Certified Acceptance Corp. (CAC).

That’s the company’s message to the hobby in the wake of reports that at least one of the two largest grading services is considering the establishment of “premium-quality” grade designations.

CAC examines and evaluates coins that have been certified by either the Professional Coin Grading Service (PCGS) or the Numismatic Guaranty Corporation of America (NGC). It then affixes a distinctive green sticker to the holder of each coin which, in its judgment, fully merits the grade that was assigned. Each sticker incorporates a tamper-evident hologram.

According to Albanese, CAC will continue to evaluate submissions, and determine whether to award stickers to those coins, strictly in the context of the basic numerical grades assigned by either PCGS or NGC. He said it will disregard any additional descriptive words or symbols.

“We don’t want buyers and sellers to get the impression that by stickering a coin, CAC is confirming someone else’s ‘PQ’ designation,” Albanese said.

CAC makes a market in coins that it has stickered, and its disregard of PQ-type designations will be reflected in its buying and selling prices.

“For example, CAC’s bid price for an 1892-O Barber quarter graded MS65 is $1,150,” Albanese said. “If the coin was graded PQ and had a CAC sticker, our buy price would remain the same – $1,150. If it had a star plus our sticker, we’d still pay $1,150. And if it came with an asterisk or a rainbow or a halo, we’d still pay $1,150 – as long as it had a sticker.”

Since opening for business in late 2007, CAC has received more than 144,000 submissions from member dealers and collectors, and has awarded green stickers to just over 68,000 of these. The declared insurance value of these coins totals about $800 million.

To date, the company has bought and sold CAC-stickered coins with a wholesale trading volume of nearly $150 million.
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Teletrade to Offer Only CAC Coins in Special Auction tonight

Teletrade is pleased to present this extraordinary auction made up exclusively of certified coins bearing the CAC designation.

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CAC is an independent numismatic coin authentication service founded by John Albanese, and is not connected with the grading service that graded and encapsulated these coins.

CAC takes verification to the next level by verifying previously graded coins and awarding their sticker only to those coins that meet the standard for today’s sophisticated buyer.

This is an auction of the best-of-the-best and is not to be missed!

View Auction Catalog and Bid Online Until 10 p.m. ET on January 19 at www.teletrade.com

With three certified coin auctions each and every week, and an impressive collection of over 1000 coin lots in each auction, Teletrade® Certified Coin Auctions are the numismatists, coin dealers, and coin collectors complete source for certified rare coins.

Brahin’s Syrup to be Auctioned at FUN: Select Group of Saint Gaudens $20 Gold Coins

by Greg Reynolds for CoinLink

On Thursday, Jan. 7, 2010, Heritage’s long awaited Platinum Night event at the FUN Convention in Orlando will include a marvelous array of choice and rare U.S. coins. It is part of a larger auction extravaganza that is held in conjunction with one of the two most important coin conventions of the year, that of the Florida United Numismatists (FUN) organization.

brahin_121809_reynoldsThe famous collector Jay Brahin has consigned a select group of Saint Gaudens Double Eagles ($20 gold coins) to be sold on Platinum Night. The most valuable piece from the Brahin collection is a 1927-S Saint that is graded MS-66 by the Professional Coin Grading Service (PCGS).

Brahin’s consignment is of just seven coins, yet these are particularly significant. These seven constitute his entire current collection of Double Eagles and were very carefully selected by him. Jay reveals that he had “no intention of selling is coins, but I [Jay] am selling for personal reasons that are completely unrelated to coins or coin markets. I would have liked to have held these coins for a decade or more. Coins are art to me, and I am proud to have obtained these coins. I love the thrill of the hunt. Finding the coin is more gratifying than selling it.”

Brahin started “collecting coins as a kid.” He “filled coin albums with cents, nickels, dimes and quarters. During vacations, I [Jay] would work $20 in change several times over in one day, by going back and forth to the bank. Over the period of a summer day, I would go to a bank eight or nine times. It was fun. I loved it. I fell off the collecting wagon, but I never lost my love of coins.”

As a teenager, Brahin had other interests. Later in life, in 2002, Jay returned to coin collecting. He “always wanted to own a Saint when [he] was a kid.” So, he “turned to Saints.” Jay saw “Dr. Duckor’s Saint set on the PCGS registry, which was then blocked from view, but his e-mail address was briefly posted. I wrote to him and said I was an admirer of his Barber Half set; I inquired about his Saints. Later, we talked about the philosophy of collecting.” (more…)

CAC OPENS MEMBERSHIP TO COIN COLLECTORS

The Certified Acceptance Corp. (CAC) is now accepting membership applications from collectors. Those who meet certain requirements will be eligible to submit certified coins directly to the company for evaluation.

Up to now, CAC membership has been open only to dealers, and collectors wishing to submit their coins to the company have had to do so through member dealers.

The change reflects growing awareness throughout the hobby of CAC’s role in the marketplace, according to John Albanese, founder and president of the New Jersey-based company. It also is intended to simplify the submission process for collectors who might have found it difficult to make arrangements through dealers.

“We want to make it as easy as possible for people to submit their coins to us,” Albanese said. “At the same time, we don’t want them making costly mistakes, so we want to be sure they fully understand the submission process before they send us their coins.

“In particular, we want to be sure that they’re thoroughly familiar with how to send coins, including how to ship them through private carriers.”

CAC experts examine coins previously certified by either the Professional Coin Grading Service (PCGS) or the Numismatic Guaranty Corporation of America (NGC). CAC then affixes a distinctive green sticker to the holder of each coin which, in its judgment, fully merits the grade that was assigned. Each sticker incorporates a tamper-resistant hologram.

The authenticity of CAC-stickered coins can be confirmed by going to the company’s Internet Web site, www.caccoin.com, and entering each coin’s serial number in the Verification Search form as directed. (more…)

FREE Population Register Available For CAC Coins

After months of careful preparation, the Certified Acceptance Corp. (CAC) has unveiled a Population Register on its Internet Web site giving detailed information – at no charge – on certified coins it has examined.

The register encompasses all major types of federal U.S. coinage, but does not yet include Colonial coins or territorial gold. It lists the types and grades of coins – and the number of each – that CAC has judged to be certified in appropriate grade levels.

“This is something we planned from the very beginning,” said John Albanese, founder and president of the company. “We waited until now to implement the plan because we wanted to ensure that the number of coins would be a representative sample.”

CAC experts examine coins previously certified by either the Professional Coin Grading Service (PCGS) or the Numismatic Guaranty Corporation of America (NGC). CAC then affixes a distinctive green sticker to the holder of each coin which, in its judgment, fully merits the grade that was assigned. Each sticker incorporates a tamper-resistant hologram.

New Jersey-based CAC began operations in late 2007, and the Population Register reflects all certified federal coins that have earned the company’s stickers since that time – a period of approximately 20 months.

The register will be updated weekly, Albanese said, and will give coin buyers and sellers – free of charge – an accurate, reliable resource for assessing the number of well-graded certified coins available in the marketplace.

The Population Register can be accessed at CAC’s Web site, www.caccoin.com.