Are Sports Autographs a Good Investment?
All purchases can be a great investments, when buying low and selling high. With sports memorabilia, it helps to pick the right player, at the right time. Then choose the players who will have long-term name recognition.
Potential Appreciation
If you have "the" player's autograph on their piece of equipment, then, sports memorabilia can be a great investment. For example, a rare, mint-condition tobacco card sold in 1992 for $451,000. It sold again in 2008 for $2.8 million, an increase of 521%, in approx. 13 years.
Memorabilia Vs. Collectibles
The difference between sports memorabilia, and sports collectibles: Sports memorabilia have been authenticated by a reputable dealer, who certifies that the autograph is legitimate. It is a $5 billion global market, in which millions of collectors participate, by buying and selling photos, cards, jerseys, balls, and other related sports items. Anything else containing a sports autograph is considered a collectible, that is wonderful to own for personal reasons, not for financial gain.
Keys to Success
According to U.S. News and World Report, to be a successful sports memorabilia investor you should have a talent for correctly predicting which of today's players will be in high demand in the future. You also need the ability to spot the difference between players, who will be temporarily popular, and those whose popularity will continue to make their memorabilia items appreciate well into the future.
The memorabilia market is vast, in what is considered collectible. The largest markets are sports and entertainment, and the most popular trading is done through auction houses, and specialty dealers. Because memorabilia are not traded on an organized, formal exchange, it is hard to pin down the exact size of the business, but it certainly is, a multi-billion-dollar one.
If you're considering bumping your collection up a notch, or adding memorabilia to your investment portfolio, here are some rules to keep in mind:
- The law of supply and demand is in effect.
If there is a limited number of a particular item, it will be worth a whole lot more.
- To get top dollar on an item. It has to be in "pristine" condition.
- No matter whom you deal with, make sure they are reputable. It is easy to have frauds, particularly when you have signatures which are easily replicable. It is vital to deal with an expert. They do the research for you, when they know what they are looking for.
- Prices fluctuate. For example, if a player wins a championship, a signed photo will go up in immensely in value. It is estimated that Michael Jackson's memorabilia went up about 40 percent in value, in the days following his death. Nelson Mandela's signature has gone up 558% in the past decade, and had a massive jump when he passed away.
In many cases, particularly with goods signed by the older legends - the item is bound to be an appreciating asset. Ali, Pele and Maradona. are some of the best there ever have been, and as they will not always be available to sign items. These kinds of goods are bound to be a fantastic investment! For example, a very rare gown signed by the great Muhammad Ali, just has to be an unbelievable investment. A signed glove was worth about $600 ten years ago, yet now he can't as easily sign any more goods, is worth $4500. if there is a limited number to a special signing, then this figure would triple.
Purchase because you admire the Sportsman, and look after it. It most certainly will appreciate in value over time.
All purchases can be a great investments, when buying low and selling high. With sports memorabilia, it helps to pick the right player, at the right time. Then choose the players who will have long-term name recognition.
Potential Appreciation
If you have "the" player's autograph on their piece of equipment, then, sports memorabilia can be a great investment. For example, a rare, mint-condition tobacco card sold in 1992 for $451,000. It sold again in 2008 for $2.8 million, an increase of 521%, in approx. 13 years.
Memorabilia Vs. Collectibles
The difference between sports memorabilia, and sports collectibles: Sports memorabilia have been authenticated by a reputable dealer, who certifies that the autograph is legitimate. It is a $5 billion global market, in which millions of collectors participate, by buying and selling photos, cards, jerseys, balls, and other related sports items. Anything else containing a sports autograph is considered a collectible, that is wonderful to own for personal reasons, not for financial gain.
Keys to Success
According to U.S. News and World Report, to be a successful sports memorabilia investor you should have a talent for correctly predicting which of today's players will be in high demand in the future. You also need the ability to spot the difference between players, who will be temporarily popular, and those whose popularity will continue to make their memorabilia items appreciate well into the future.
The memorabilia market is vast, in what is considered collectible. The largest markets are sports and entertainment, and the most popular trading is done through auction houses, and specialty dealers. Because memorabilia are not traded on an organized, formal exchange, it is hard to pin down the exact size of the business, but it certainly is, a multi-billion-dollar one.
If you're considering bumping your collection up a notch, or adding memorabilia to your investment portfolio, here are some rules to keep in mind:
- The law of supply and demand is in effect.
If there is a limited number of a particular item, it will be worth a whole lot more.
- To get top dollar on an item. It has to be in "pristine" condition.
- No matter whom you deal with, make sure they are reputable. It is easy to have frauds, particularly when you have signatures which are easily replicable. It is vital to deal with an expert. They do the research for you, when they know what they are looking for.
- Prices fluctuate. For example, if a player wins a championship, a signed photo will go up in immensely in value. It is estimated that Michael Jackson's memorabilia went up about 40 percent in value, in the days following his death. Nelson Mandela's signature has gone up 558% in the past decade, and had a massive jump when he passed away.
In many cases, particularly with goods signed by the older legends - the item is bound to be an appreciating asset. Ali, Pele and Maradona. are some of the best there ever have been, and as they will not always be available to sign items. These kinds of goods are bound to be a fantastic investment! For example, a very rare gown signed by the great Muhammad Ali, just has to be an unbelievable investment. A signed glove was worth about $600 ten years ago, yet now he can't as easily sign any more goods, is worth $4500. if there is a limited number to a special signing, then this figure would triple.
Purchase because you admire the Sportsman, and look after it. It most certainly will appreciate in value over time.
