Why should I worry about the CAC?

[Zoins]

The only way to learn how to grade coins is to physically inspect LOTS of coins---reading books and internet posts aren't enough.

If that's the case, I think there is value for the CAC. I'm sure there are collectors out there with big pocketbooks that want to collect coins for the fun of it. Although some might feel differently, not all of these collectors may want collecting to feel like a job where one has to become an expert grader to avoid coins that aren't solid for the grade.

 

Say what you want about collectors like that but different people have fun different ways with collecting.

[Arizonadesertrat]

The only way to learn how to grade coins is to physically inspect LOTS of coins---reading books and internet posts aren't enough.

If that's the case, I think there is value for the CAC. I'm sure there are collectors out there with big pocketbooks that want to collect coins for the fun of it. Although some might feel differently, not all of these collectors may want collecting to feel like a job where one has to become an expert grader to avoid coins that aren't solid for the grade.

 

Say what you want about collectors like that but different people have fun different ways with collecting.

 

I don't disagree with your comment----there are collectors who, for financial reasons and/or concern about grading, choose what they consider 'safer' collecting emphases that still enable them to enjoy the hobby.

 

For some people who what additional, informed opinions about their slabbed coins, CAC might become a useful evaluation tool. For most collectors who don't purchase slabbed coins (e.g., advanced early copper collectors) or who don't purchase coins over a few hundred apiece, then CAC won't really be relevant.

 

There are people, who post on this forum and the one across the street, who have repeatedly asserted that there is no grade inflation and/or that a big variance (mostly due to quality control issues, I think) in grade assignment isn't really a problem. I was a collector as a child/young adult 25-40 years ago (and only returned to the hobby last January), before the advent of TPG's. Things, from the collector's point of view are better now, but that isn't saying a lot. TPG's do a good job regarding counterfeit detection, but there isn't enough grading consistency to make their grade assignments really trustworthy. So CAC might provide comfort to some collectors who are interested in the lure of coins and the hobby's ties to history and other aspects of American life, but aren't interested in spending the time needed to become proficient graders. This is not an approach to the hobby that I consider wise, but I understand. Let's face it, 99+% of today's coin collectors operate at a huge disadvantage, relative to dealers, where grading is concerned. This is particularly acute in the case of type coin collectors---how are they expected to become proficient in grading nearly everything that issues from the U.S. mints? And the root of this disadvantage boils down to fewer opportunities to physically inspect coins (most collectors have non-numismatic jobs and must work to earn a living). I'm all for anything that will help to level this unequal playing field, including quality-conscious TPG's and even CAC. Suppose CAC works as planned, what percentage of NGC/PCGS-graded coins will NOT get a sticker because they are considered overgraded or extremely low end? My guess is 5-15%. Big deal. There will almost certainly be a large variation in quality within a CAC-approved grade, and CAC approval does not mean the price is right or that a CAC-approved coin is a good investment.

 

Some collectors of older coinage are fearful that CAC will precipitate a run-up in prices (e.g., BillJones), and I sympathize. No collector relishes having to pay more, but the current coin market is already evolving toward a differential price structure anyway---just look at auction results for the last couple of years, and good luck trying to get PQ coins from knowledgeable dealers without paying more. At this point, I see no reason to view CAC as a malevolent force in the coin business (some with certain TPG ties will no doubt disagree). In fact, I am not convinced that CAC will exert any fundamental change in the coin business (either grading or pricing), its marketing hype notwithstanding. It looks like it will be more of a secondary, 'tweaking' force.

 

I'm tempted to call this thread "much ado about nothing".

[mommam17]

As far as classic commems, I saw first hand how they judge coins that they give stickers to. They are tough and that`s very good. If I`m looking for a coin and it is stickered, it will get my attention. A coin has to be very nice to be stickered.