PARAMOUNT v INVESTORS CLUB
• A Personalized Numismatic Investment Program For You!
PARAMOUNT INVESTORS CLUB
ONE PARAMOUNT PLAZA • ENGLEWOOD, OHIO 45322 • TELEPHONE: 800-543-2192 — Ohio residents 513-836-8641
Dear Friend:
Inflation is something all of us can expect to live with for the rest of our lives. Despite government promises, economic matters are not getting better. In fact, I just read where a leading cabinet official said there is nothing that can be done for "at least five or six years" which would slow down the rising cost of living. It is sobering to think of the future and how expensive everything will be. If the inflation rate averages 10 per cent per year (and some believe this is conservative) it is easy to see what would happen to your savings account assets which might be collecting only 5 to 6 per cent annual interest. Many other invest¬ ments, like the stock market, have been depressed for several years as well, and therefore may not hold much promise for real apprecia¬ tion in the future.
One investment which has consistently outperformed most others is rare coins. In the enclosed brochure, we have charted the progress of various rare coins through the years and have compared them to other popular investments. One fact stands out. Rare coins have returned substantial gains to patient investors! In fact, rare coins have outperformed virtually all other types of investment and have significantly outpaced inflation.
Paramount is pleased to announce that now you may participate in this exciting and potentially profitable investment field by join¬ ing the exclusive Paramount Investors Club. With our rare coin experts assisting you, you may assemble a numismatic investment port¬ folio precisely suited to your personal requirements. Our personal¬ ized program is unlike any others because we offer these important exclusive benefits:
1. All coins you purchase through the Club carry a full SIX- MONTH MONEY BACK GUARANTEE provided that any coins returned to us are in the same holders and condition in which they were received. This long term return privilege allows you time to be sure you are completely satisfied with your investment .
2. A high quality photograph will be included with each coin with a selling price of $300 or more. Photos for lower priced coins are available for $5 each. This exclusive ser¬ vice is valuable for insurance purposes and also allows you to enjoy your coins even while they are safe in your bank
(over)
safe-deposit box. Photographs are available on a regular basis only to Club members.
3. When you eventually sell your coins acquired through the Club, you are entitled to receive a special reduced selling commission if you consign them to one of our popular public auction sales. Our commission rates are already exceptionally competitive, so you'll really save by selling in a Paramount auction !
These benefits are exclusive to Paramount Investors Club members and will not be offered to our other customers, nor are they availa¬ ble from any other firm in the entire numismatic field.
Please take a few minutes to study our informative brochure. Natural¬ ly, if you have any questions, we invite you to call our Rare Coin Department on our toll free number, 800-543-2192. (Residents in Ohio and outside the continental U.S., please call 513-836-8641 direct.)
If you wish, you may also write us for a prompt reply.
Although no one can legitimately guarantee profits in rare coins or in any other investment field, we believe that past performance strongly indicates that rare coins may be one of the best hedges you may have against the ravages of inflation.
Sincerely ,
David W. Akers Executive Vice-President
P.S. Please use the special enclosed application to join the Para¬ mount Investors Club. After proper credit references are es¬ tablished and your first coins arrive, I think you will really like our very personalized way of doing business! And, don't forget our exclusive SIX-MONTH GUARANTEE of satisfaction.
FEW INVESTMENTS ARE AS IMPRESSIVE
AS RARE COINS
Illustrated are graphs indicating the progress of several areas of rare coin investment over recent years. The values used were derived from A Guide Book of United States Coins (Red Book), by R.S. Yeoman. This publication is recognized as the most authoritative pricing guide in U.S. numismatics. Actual prices of rare coins may vary higher and lower than those listed. Even so, these graphs clearly show the steady direction of the Rare Coin Market.
Sample $700
Portfolio of U.S. Silver Dollars (Base Year — 1964)
Sample $18,000
Portfolio of Rare Date U.S. Gold (Base Year — 1964)
$11,922
$75,800
Includes: 1861-D $1, 1865 $1, 1798 $2>/2, 1848 “CAL” $2J/2, 1877 $3, 1807 BUST RIGHT $5, 1915-S $5, 1908 NO MOTTO $10, 1861-0 $20, 1932 $20
ALL PRICES UNC.
$30,335
$23,150
$18,680
1964 1969 1974 1979
Percent Increase
112% 150% 219%
Percent Increase
24% 31%
Total Increase 15 yrs. 1589%
Avg. Increase 1 yr. 106%
Total Increase 15 yrs. 306%
Avg. Increase 1 yr. 20%
Sample $800
Portfolio of Barber Half Dollars (Base Year — 1964)
Sample $1500 Portfolio of Gold and Silver Commemoratives (Base Year — 1964)
150%
$5520
Includes: 1900 LAFAYETTE DOL¬ LAR, 1936 ALBANY HALF, 1936 ELGIN HALF, 1928 HAWAII HALF, 1936 HUDSON HALF, 1936 LYNCHBURG HALF, 1915-S PANAMA-PACIFIC HALF, 1904 LEWIS AND CLARK GOLD DOL¬ LAR. 1916 McKinley gold DOLLAR. 1915-S PANAMA-PA¬ CIFIC GOLD DOLLAR
ALL PRICES UNC.
$1532.50
1964 1969
$4695
1974 1979
|
Percent Increase |
77% |
92% |
104% |
Percent Increase |
||
|
Total Increase 15 yrs. |
593% |
Total Increase 15 yrs. |
206% |
|||
|
Avg. Increase 1 yr. |
40% |
Avg. Increase 1 yr. |
14% |
(2%) 135% 34%
RARE COINS OUTPERFORM OTHER INVESTMENTS
w
1973 1978
Five Year Compounded Figures
The research department of a leading New York brokerage firm released a report in mid-1978 outlining the performance of various investments over the years. Using 1973 as a base year, it is clear that coins outperformed all other forms of investments studied in the report. Below is a ranking of those investments and their annual compounded rate of return:
Rare Coins . 28%
Rare Stamps . 16%
Silver . 16%
Gold . 13%
Diamonds . 13%
Housing . 11%
Consumer price index . 7%
Foreign exchange (strongest currencies) . 6%
Bonds . 6%
Stocks . 2%
Chinese ceramics . down 2%
ADVANTAGES OF RARE COIN INVESTING
Tremendous past record of appreciation in virtually every area.
Investment profits are taxable at capital gains rates when held for the necessary time period.
When assembling and holding your collection, you have no interest or dividends to report and rare coins are exempt from personal property tax in many states.
Rare coins are easy to sell. There is always a market for choice quality material and Paramount and most other major dealers are constantly looking for such coins.
When you decide to sell, you may want to consider consigning your coins to a numismatic auction. Paramount is a leader in the auction field having conducted some of the most prestigious sales during the last two decades. There are also a number of other major firms that regularly conduct public auction sales.
Coins are easy to store. They require little space. We recommend a safe- deposit box at your bank for the safest storage.
Rare coins exist in limited quantities. No more can be manufactured. As more collectors and investors come into the marketplace, the available supply will be reduced and prices should rise.
If you have established a Keogh Investment Program, you may be eligible to use some of the funds to invest in coins. Check with your Plan administrator.
In addition to Paramount’s many publications, information on the rare coin market is constantly available in various weekly and monthly magazines or newspapers. The market is well established as there aie millions of collectors worldwide, all trying to acquire a limited number
of coins.
RARE COIN INVESTMENT. . .
An Investment Alternative That Might Be Right For You!
In these days of devaluation, double-digit infla¬ tion and uncertainty about the economy, it is refreshing to know there is one form of long term investment that has kept pace with the cost of living plus has an excellent record for returning good profits to those who are patient. Rare Coins and Rare Currency are such an investment. Over the last decade, prices have increased tremendously for such coins and currency. (Even though many people have realized substantial profits, rare coin and currency investment is not for everyone! Usually only those who are willing to invest their money for a minimum of five years will realize the maximum potential from their investments.) To those who are patient, the rewards are often great. Naturally, no one can guarantee the future will yield returns as great as those of previous years, but all indications point to a healthy rare coin market for years to come! Just look at the performance of some randomly selected rare coins over the past 15 years as reported by A Guide Book of United States Coins , by R.S. Yeoman. The graphs at the beginning of this brochure speak for themselves. Absolutely no attempt was made to select only the best performers to be illustrated on these graphs.
Exclusive Features of the Paramount Investors Club
The Paramount Investors Club offers THREE EXCLUSIVE BENEFITS not offered in other numismatic investment programs. Each of these benefits is available only to registered Club members:
1 — All registered members will receive a
full SIX-MONTH MONEY BACK GUARANTEE on all coins and currency acquired through the Club!
2 — Complimentary photographs will be sent
automatically for all individual items
selling for $300 or more. Photos of lesser priced items are available, on request, for $5 each. (Photos are not generally available to non-members.)
3 — In the future, should you decide to sell your coins in one of our prestigious rare coin auctions, you will receive a special reduced commission rate below our already low rates. Again, this applies to members only.
These exclusive benefits are very important to you. The SIX-MONTH money back guarantee allows you ample time to fully evaluate each coin we send you in the comfort of your own home. The photographs available to members give an accurate visual record of your coins. These may be very helpful in identifying your coins should they be lost or stolen. The third benefit (and perhaps the most important to you) is a reduced commission rate for selling your coins in one of our major rare coin auctions. There is no time limit on when you may sell any coins purchased through the Club.
In summation, in addition to the personalized service which is always available to you, you receive three benefits not offered elsewhere.
It’s Easy to Begin Your Rare Coin Investment Program
To join the Paramount Investors Club, simply fill out the enclosed application and return to us. There are no membership fees and you may withdraw from the program at any time. Your only obligation is to pay for the coins you wish to keep in your portfolio. After we receive your application, one of our rare coin investment experts will contact you and further explain our program or answer any questions you might have. As a Club member, you will receive all Paramount Rare Coin Lists, The Paramount Collector, The Paramount Journal and other special offers as they become available.
YOU SELECT
YOUR AREA OF SPECIALIZATION
Many rare coin investment programs do not give the client much choice in regard to the coins he receives. Paramount is different. We offer you seven main areas of specialization from which to choose. Unless you inform us otherwise, all the selections you receive will come only from the area of your main interest The condition of the coins you receive will be among the best obtainable in that particular area because history has conclusively shown that coins in the highest possible condition have been the best investment performers.
Silver Dollars have been among the most rapidly appreciating coins in recent years because Silver Dollars are the most widely collected denomination of U.S. coins. Paramount is the leading dealer of quality Silver Dollars. Over the years, we have assisted many collectors in acquiring complete sets of silver dollars. All Silver Dollars in this program will grade Mint State 60 or higher.
Commemorative coins are considered by some to be the most underrated of U.S. coins. Mintages are extremely low when compared to other series while prices are very reasonable. Paramount always has a large selection of commemora- tives available. All commemorative coins in this program will grade a minimum of Mint State 60.
A very specialized area primarily intended for the more affluent investor or collector. Included are rare individual dates, beautiful and rare gold proofs, etc. These coins are generally available only to the investor selecting the $1000 (or higher) per month program. Truly rare and choice gold coins just cannot be acquired for lesser amounts. Price appreciation for such coins has historically been very favorable. All rare date gold coins included in this plan will grade Extremely Fine 40 or higher.
Type collecting is one of the more popular methods of collecting. This program involves the acquisition of representative examples of various U.S. coin designs. Specific dates are not collected, although all denominations from half cents through silver dollars will be available. This program can also include gold types, if you desire. All type coins sent in this program will be in the highest grade possible.
Our specialized program is just that — specialized to fit your own personal desires and goals. We will gladly assist you in assembling a set of Indian Head Cents,
Shield Nickels, Liberty Nickels, Barber Dimes, Foreign Coins — or whatever. You tell us specifically what you want in your portfolio and we’ll take it from there.
Many believe the real popularity of rare currency collecting is still to come. Currency offers rarity, quality, and magnificent artistic beauty. Paramount has been dealing in this area for years and is known for handling notes of the highest quality. Cur¬ rency in this plan will generally be Uncirculated or Gem.
The coins included in this program will come from many areas of numismat¬ ics. This is the ideal program for the first time investor who is not sure exactly what he would like to collect, or the investor who would like coins from a broad spectrum. For instance, you might receive coins from any of the specific areas listed above. And you may even receive duplicates of certain desirable items. Our staff will select only quality coins which we feel offer you potential growth. Both United States and Foreign coins will be included in this plan.
RARE COINS ARE BEAUTIFUL
People collect coins for many reasons, but one of the main reasons is beauty. Each coin is an actual work of art — an individual specimen with characteristics all its own.
Below are some representative examples of United States Coin designs. As a member of The Paramount Investors Club, you may select the collecting area most pleasing to you!
Liberty Cap Half Cent
Liberty Cap Cent
Draped Bust Half Cent
Classic Half Cent
Two Cent Piece
Nickel Three Cent Piece
Liberty Head Nickel
Capped Bust Half Dime
Liberty Seated Half Dime
Flowing Hair Half Dime
Buffalo Nickel
Capped Bust Dime
Barber Dime
Twenty Cent Piece
Draped Bust Quarter
Capped Bust Quarter
Barber Quarter
Standing Liberty Quarter
Draped Bust Half Dollar Capped Bust Half Dollar
Seated Liberty Half Dollar
Liberty Walking Half Dollar
£ jjfeob at* tcesi .
Flowing Hair Silver Dollar
Morgan Silver Dollar
Peace Silver Dollar
Indian Head Gold Dollar
Capped Bust Quarter Eagle ($2% gold)
Classic Head Quarter Eagle
Indian Head Quarter Eagle
Three Dollar Gold Piece
Capped Bust Eagle ($10 gold)
Coronet Eagle
Capped Head Half Eagle ($5.00 gold)
Indian Head Eagle
Coronet Half Eagle
Saint-Gaudens Double Eagle ($20 gold)
RARE UNITED STATES CURRENCY
Many seasoned experts in the field of paper money believe this area of collecting is just in its infancy. Prices for quality large size and fractional currency notes have increased dramatically in recent years. In fact, prices for many currency issues have increased so much, many values listed in even the most recently published catalogues are obsolete today. The key to any numismatic investment lies in quality and Paramount carries a select inventory of some of the rarest and highest quality notes available.
Our currency investment program will bring you some of the most beautiful 19th and early 20th century U.S. notes available — similar to those pictured on this page.
Series 1880, $50 Legal Tender Note
Series 1923, $5 Silver Certificate
Series 1891, $2 Silver Certificate
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N23114992!
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N23114992!
Series 1899, $2 Silver Certificate
Series 1862, $5 Legal Tender Note
Series 1880, $5 United States Note
THE PARAMOUNT INVESTORS CLUB
— How It Works — Your Questions Answered
According to the plan you select, your personal representative here at Paramount will periodically select all items for your portfolio. On individual items selling for $300 or more you will automatically receive photographs of both the obverse and reverse. Photos are available of lower priced coins for the nominal charge of $5 (members only!). Each shipment will also include a written certificate of authenticity signed by your personal representative. This guarantees your coin to be absolutely genuine and in the condition stated. This is a lifetime guarantee! You will also be entitled to a six-month virtually unconditional money back guarantee. The only coins (or currency) not covered by this return privilege are those pieces which have been removed from their holders and/or altered (cleaned, defaced, mishandled, etc.) in any way.
The above are exclusive features of the Paramount Investor’s Club and are non-transferable. Only members may avail themselves of all these benefits.
Remember, too, one of our representatives will always be available to you to assist you in any way with your investment program. There are no additional charges for these consultations. You may call us anytime on our toll free line 800-543-2192. Use this number from anywhere in the continental U.S. except Ohio (Ohio and Canadian residents call direct 513-836-8641). Hours: Eastern Time, 8:00 a.m. to 5:00 p.m.
On the next two pages, we have answered many of the most frequently asked questions about rare coin investment. If you have another question, call or write us. We will be happy to give you a prompt answer.
■IMPORTANT AND FREQUENTLY ASKED QUESTIONS ABOUT RARE COIN INVESTMENT
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Below are important questions frequently asked by individuals con¬ sidering a numismatic investment program. If the question(s) you have are not covered here, just drop us a line for a personal response. One of our numismatic experts will send you a prompt reply.
Q. Specifically, what kind of coins will I receive?
We will send you coins of high quality which we believe have long-term investment potential. If you desire coins of a particular denomination or series, we will make every effort to fill your specific needs. Personalized service and your satisfaction are extremely important to us.
Q. How long should I hold my investment?
Generally, rare coins should be considered a long-term investment (5-10 years). Rare coin investment is not the best vehicle for the “nervous” investor who is always changing his direction, or the get- rich-quick investor. Patience is important. However, when held for a minimum of five years, rare coins have historically been an excellent investment.
Q. Should I invest in common date bags of silver coins or common
1J • * • llj i 1 1 • • o
crolcl coins, sometimes cHiiecl Dullion coins:
That’s up to you. We deal only in rare coins — not bullion coins. The value of bullion coins is very volatile and is closely linked to the daily fluctuations in the gold and silver market. Some people have made tremendous profits in these coins, while others have not. One major disadvantage of such coins is their bulkiness and storage problem. Rare coins take up relatively little space and, historically, are not nearly so volatile, especially in a downward bullion market.
Q. Does Paramount guarantee that I will make a profit from
Although signs for appreciation are positive, we cannot guarantee you will make money. No legitimate program can guarantee you will make a profit. There is risk in any investment but when compared to“traditional”investments like stocks and bonds, rare coins have far outdistanced these other investment areas in recent years.
Q. How will I communicate with you?
A member of our rare coin staff will be your contact at Paramount. If you have any questions about your investment program you may call him at any time on our toll free line.
Q. May I use my Keogh Plan to invest in rare coins?
Possibly. If you already have or qualify for such a program, one of our numismatic experts will be happy to discuss rare coin investment in regards to such a plan.
May I select additional coins for my portfolio?
Of course. As a member of the Paramount Investors Club, you will receive, without additional charge, all the rare coin catalogues and price lists we publish. From time to time, you will receive our “Preferred Customer Price List” which lists many of our latest acquisitions. As a result, you will have the “first chance” at acquiring these coins before they are widely advertised in outside publications.
What are the “mechanics” of the Paramount Investors Club?
After proper references are established, you pay for coins only after you receive them. If for any reason the coins we send you are not completely satisfactory, simply return them to us. Depending on the plan you select, coins will be sent periodically. Again, if you wish coins of a particular type, just let your Paramount Investors Club representative know. In every case, he will personally select every coin you receive. Additionally, all coins purchased as a Paramount Investors Club Member carry a SIX-MONTH money back guarantee. This unique return privilege applies only to members of the Paramount Investors Club for coins which have not been mishandled or damaged after leaving Paramount.
May I withdraw from the program at any time?
Yes. If you no longer wish to receive monthly or quarterly selections, just let us know in writing. There are no contracts obligating you to continue in the program. You pay only for the coins you wish to keep.
Am I protected from receiving counterfeit coins?
Definitely! All coins we sell have been authenticated by Paramount’s expert staff, the most knowledgeable professionals in the field. How¬ ever, if at any point in the future any item we have sent you proves to be a counterfeit, we will replace it or give you a full refund.
How are rare coin profits taxed?
The profits from rare coin investments are taxed in much the same way the sale of stocks are taxed. If you hold your coins as an investment for the designated length of time, as prescribed by law, your profits are taxed at the favorable capital gains rate.
How do I sell my coins in the future?
There are major coin dealers located throughout the country who are in the business of buying and selling rare coins. Naturally, we hope you will consider selling your coins back to us. The choice of where to sell, however, remains entirely yours.
What about selling my coins in a numismatic auction?
Consigning rare coins to a major auction is one of the most popular ways of selling. Buyers gather at these sales and actively bid for coins they want. Paramount conducts frequent rare coin auctions which are well attended. As a member of the Club, you will be entitled to sell your coins in one of our auctions at a special, reduced rate.
Where should I store my rare coin investments?
Like any valuable you own, rare coins should be stored in the safest possible place. We suggest a bank’s safe-deposit vault. A small box can easily accommodate several hundred coins and the cost is minimal. Additionally, you may be able to deduct the cost of your safe-deposit box from your Income Taxes. Be sure to discuss this point with your accountant or lawyer.
PARAMOUNT. . .
An Established, Full Service Company that you can trust for all your Numismatic and Philatelic needs.
World Headquarters, Englewood, Ohio
Paramount, a multimillion dollar corporation, was established by Michael V. DiSalle, the former Governor of Ohio; Max J. Humbert, current President; and the late James F. Kelly, renowned numismatist.
In addition to being the largest company of its kind in the world, Paramount has wholly-owned subsidiaries in four foreign countries; Canada, Germany, England, and the Bahamas.
Appointed by Over 20 Foreign Countries
We have been appointed by over 20 foreign countries, including Great Britain, France, India, Canada and Panama to distribute their modern Proof Coins which are struck by such famous mints as the Royal Canadian Mint, the Royal Mint of London and the U.S. Mint.
We have also been appointed the exclusive worldwide agent for the distribution of collectors’ stamps issued by the Soviet Union for the 1980 Olympic Games. In 1976, we represented Canada
as the exclusive United States distributor of Canadian Olympic Proof Coins.
Unparalled Rare Coin Department
Our Rare Coin Department has an expert numismatic staff and an inventory unequalled by any other company. A few years ago, we made national headlines when we sold the unique pat¬ tern 1907 Indian Head $20 gold piece which was part of a large collection of extremely rare gold patterns. In 1976, Paramount acquired the largest portion of high quality coins from the famous LaVere Redfield Collection of silver dollars.
Our rare coin and auction departments were the first (1968) to utilize the quantitative grading system for all coins. This numerical grading system originally devised only for U.S. Large Cents, is now the standard of the industry.
It would be difficult indeed to find a serious coin collector who is not familiar with our reputation for reliability and fair dealing, and our pre¬ eminence in the numismatic field.
PARAMOUNT INTERNATIONAL COIN CORPORATION
One Paramount Plaza • Englewood, Ohio 45322 • Telephone: 513-836-8641
PARAMOUNT
INTERNATIONAL COIN CORPORATION
ONE PARAMOUNT PLAZA ENGLEWOOD, OHIO 45322 TELEPHONE 513-836 8641