One of the most fantastic stories ever told in the Numismatic World is the discovery of the Saddle Ridge Hoard. While there are dozens of hordes of coins discovered, and still being discovered today, this one is fresh and provides a great number of lessons about the way Numismatic investments work.
The discovery of the hoard was in the Sierra Nevada area of California. This of course is Gold country and ground zero for the Gold Rush in the mid 1800’s. The mystery about the origin of the coins, and who buried will never be solved. There are a half dozen theories, all of which are plausible, but the only person who knows the who, the what, the how, and the when, is clearly no longer with us, and thus adds to the mystery and lore.
On an early morning in 2013, a couple who were experiencing a rough patch in their lives and facing an imminent threat of foreclosure of their home and ranch, were walking their family pet around their property. Something caught Mary’s eye and upon further investigation, she and husband John, found something that would change their lives forever. The impact of the discovery reverberated throughout the Numismatic community as true treasures were uncovered and introduced into the market.
In all, there were 1,427 coins in rusted metal cans buried on their small ranch. In the find were 1,373 $20.00 Gold Double Eagle Coins, 50 $10.00 Eagle Coins, 4 $5.00 Half Eagle Coins. The face value of these totaled $27,980.00. A literal fortune in the era from which they were buried. The coins ranged in mintage from 1847 to 1894 and contained some true rarities. The couple commissioned a California Numismatic Coin Dealer to consult and guide them through their options. This is where the fun and lessons of Numismatics begins. The weight of the Gold in the 1,427 coins based on the 2013 average spot price of $1,400.00 per ounce was worth approximately $1.8M. Following the authentication, certification, and grading of the specimens by the Professional Coin Grading Service(PCGS), the entire hoard was valued over $10M. $27,980.00 worth of United States Currency with a Gold value of $1.8M, appraised at more than $10M because of the simple and basic law of economics, supply and demand.
It is understandable that some investors have a difficult time grasping the Numismatic value of coins. This is perhaps the best example of the benefits of investing in and owning truly rare certified, and graded Gold coins. The value is not determined by the story, or by the history, or by who may have carried it in their pocket along the way to the Grading Holder. It is about the mintage, the surviving population, and the grade that has been designated to the specimen by one of the third-party grading services like PCGS. One coin, an 1866-S No Motto (lacking In God We Trust) $20 Double Eagle which lied buried on the hillside for over 150 years before being discovered, was certified and graded as the finest known example of that year, mint, type, denomination, and grade. That single ounce of Gold fashioned into a form of currency 156 years ago, is today worth well north of $1,000,000.00.
This couple was lucky. Other than stumbling over 8 cans full of 150-year-old gold coins in your back yard, there is no luck in the Numismatic arena. It is learnable, rewardable, and profitable when guided by experts like the Portfolio Managers at GMRgold. Call today to ask questions and begin the journey into the Rare Gold and Silver Coin market!