Quote:
Originally Posted by Paul Ehlers
IMO; Unless a gun is in extremely high condition or has a unique provenance you shouldn't be looking at it as an investment in the current market with the aging baby boomers.
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I've heard that argument before and I think it's basically true in the short term (1-5 years) but I wonder if in the long term (10+ years), as the younger shooters get older, if they might have an interest in classic hand fitted wood and metal guns. There is also normal economic inflation to consider. The Fed has pumped enormous amounts of money into the system through monetary easing over the past 10 years. Stocks have been in one of the longest bull markets in history, yet inflation otherwise has remained low. That can change overnight and hard assets like collectible guns can be an excellent store of value when the stock market turns bearish.
I actually think good collectible guns can be an excellent way to diversify a portfolio -- it's what we call in the investment world a "non-correlating asset." So I'm not ready to throw up my hands and say, "I don't care if my guns go up in value, I just want to enjoy them for what they are." I want both -- I want an appreciating asset, or at least one that doesn't depreciate, and I want to enjoy my investment.
Think about it, you get close to zero percent interest in the bank, the only enjoyment you get is looking at the account statement, and the little you make is taxed! Buy a gun, enjoy using it, and hopefully when and if you sell it you make a little money. And, by the way, you get a very favorable tax treatment on the profit.
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