Liquidity & Investing vs collecting

[packs]

Originally Posted by LukeLyon

You're getting caught up on the idea that $300k is all of his money. I know that's a very large number to most of us, but you need to allow for the possibility that it is just a small portion of the money he wants to invest in various things.

Of course putting all of your investment money into baseball cards would be crazy. Putting all your money into any one investment instrument (other than t-bills and the like) would be very risky. In that regard, putting $300k into PSA 9 and 10 Jordans is really no different than putting it all into Coca Cola stock, or a single house. But all 3 can legitimately be called investments.

Just because you can't fathom putting $300k into high grade cards doesn't mean it should be called gambling any more than stocks or real estate should be.

This is my last post on this but you're missing my point. I can fathom someone spending 300K on a card. I'm not some pauper who thinks that's all the money in the world. And I don't understand the characterization. The price point is what I'm talking about. If you have that much to break off for cards, then you're a high roller and does it really matter if your card dividends pay out double or triple? I would say no. It would be nice if they did, but if they paid out the same amount you put in, or even slightly less than you put in, that's not making or breaking anything for you. That's because you're just having fun with your disposable money, like when you gamble. You aren't trying to build a future, you've already built a future if your card budget is 300K. I'm talking about the guy who sees a post about cards as commodities and invests their life savings into cards. That is what I'm saying would be insane. Not spending your card budget, whatever that may be, on the chance that you might make a little more money.