Proof Coins and Bullion Coins of Interest to Hobby and Investor Coin Collectors

There is a difference between proof grade coins,most hobby collectors are interested in proof
and bullion coins. Just like there is a differenceminted collectible coins for speculation purposes.
between collectors that are hobby numismatistsHowever, because they are sold at more than
and those that are investors in collectible coins forface value, and often for much more than the
profit. As a coin collector, this can affect silverinvestment value of the precious metal content
coin value because bullion coins are minted fromitself, the silver coin value or gold coin value can
the precious metal for the investment qualitybe vary widely.
value of the metal, where proof grade coinsWhen you are entering the field of numismatics
derive their value from their state of nearor coin collecting, you need to understand the
perfection and from the rarity that results fromdifference in buying and selling of collectible coins.
being a near perfect coin. Since the value of proofThere is a difference between collectors that
coins rest on rarity and artistic value, they areinvest in bullion collectible coins, and collectors
more popular with hobby coin collectors.interested in proof minted specimens that are so
When it comes to proof coins, "proof" refers to apopular with hobby collectors because they can
special minting process that is made especially fordemand much higher prices. The recent state
coin collectors, and because they are collectiblequarter proofing is a prime example of the
coins you won't see in circulation, they are sold bydifference, where the quarters are presented as
the mint for more than face value, when theycollectible coins, even though there are many
are first "proofed". While modern proof qualityalmost uncirculated, state quarter specimens
collectible coins have become more defined withavailable, and they have no silver coin value
mirror-like fields and frosted reliefs, there wereattached. That doesn't mean that there were not
some proof quality coins that were minted forhobby collectors that didn't belong to clubs where
collectors prior to the mid-twentieth century thatthey bought proof quality state quarters for close
featured high quality surfaces using the standardto $50 each.
minting process.On the other hand, proof minted coins have an
As you compare bullion silver coin value, you haveinvestment quality that is far greater than bullion
to realize that the value is determined by thecoins based on the precious metals market behind
market prices of the ounce of silver, and in thethem. It is a matter of what segment of coin
case of gold bullion coin value, it is the investmentcollecting you are interested in and how long you
value of the gold that is used in the coin. Theyplan to hold onto the collectible coins that can
are not collectible coins based on their high qualitydetermine your success at coin collecting for
and definition, but rather the collection of theseinvestment purposes or to make a profit. It is
coins is based on the investment value of theimportant that you understand the grading
precious metals it contains. When you areprocess and the differences in proof collecting
comparing bullion coins to collectible proof coins,versus bullion collecting for investment, whether
the value of a particular issue, for example, afor hobby or making large profits. Both can be
2010 American silver Eagle can vary dramaticallyquite interesting, but graded proof minted coins
different based upon it's grade. This is becauseare worth the most.