Speaking of labels and such

[moondoggy]

is a CAC sticker really anything more than "another label"

 

Over the course of the last few months we have discussed all the various labels one can acquire for a particular coin. Although we have discussed this subject briefly in the distant past I thought I would open it up to see if new opinions have been formed or old ones changed. The subject I am talking about is the CAC sticker. Does it really add any value to a particular coin in the eyes of the grassroots collector ?

In my opinion I believe it is nothing more than a group trying to sell a bill of goods to the collecting populace, an idea. I could really care less whether a slab has a CAC sticker on it. NGC does fine by me with their (+) and (*) designations. Why would you want to pay an additional premium for another "label" that NGC already provides. According to NGC, (3) graders determine the grade of a coin. So along comes CAC and they want to put their two cents in and a label for additional money.

CAC states that a graded coin without their label doesn't mean the coin isn't within the guidelines for a particular grade but that it isn't on the upper end. (Not a direct quote from their website but along those lines) Well, that's what the plus and star from NGC designate, isn't it ?!

I really believe in another 5 years CAC won't even be around. It was a fad when it came out but as we all know, fads fade. Again, I feel CAC was/is trying to sell a bill of goods but I'm not buying.

Any thoughts ??

 

See more journals by moondoggy

[Dudley the 1st]

It's cheap insurance. With all the over-graded TPG encapsulated Coins, in the long run especially for higher end pieces it makes perfect sense to be able to broaden your re-sale market with CAC certified Coins as well it adds a comfort level for those who cannot view a coin in hand before committing to buy, like Internet Auctions.

[jayman1970]

With the term "subjective"being used so much in terms of grading whose to say that cac is any better at grading a coin than NGC or PCGS.And if they think they can do it any better, why not submit coins directly to cac for grading! Seems kind of insulting to" cac verify" a grade of the top two tpg companies.NGC and PCGS didnt get to be top tier graders for nothing.just my two cents!!!!

[Jeffrey Cardona]

Jayman nailed it exactly!

 

How much approval or peice of mind does somebody need to be satisfied with a grade, especially from the top tiered grading companies? All CAC is an additional grader confirming the grade. And they are doing it at a disadvantage. CAC are looking at a coin through plastic instead of actually having it in hand.

 

And as JAYMAN stated...why doesn't just CAC accept coins directly for grading?

 

I am going to start my own company called GCS. It standing for Grade Certifying Service. For a small fee I will verify all the grades that CAC has verified from other grading companies. This is what my sticker will look like (thumbs u

[J3_Dog]

I agree with the * and + TPG also. Probably not worth mentioning, but I wonder where some of the graders worked before grading for CAC.

I also "Do Not" believe in paying extra, for the green sticker.

Jim

[SPHansen]

Well, here's my take...

 

CAC graders are considered the best of the best. Yes, NGC and PCGS have super talent, but the CAC stickered coins get a premium in the market... that is fact. I don't think you would want to have 'normal' coins CAC'ed, but when you are talking about spending a gazillion dollars on a super rare coin, having that assurance is nice...

 

I think it is a valid service, one I would partake in if I had the GNP of a small country invested in a coin.

[Mokiechan]

I agree with SPH, the CAC sticker, for better or worse, has become an advantageous addition to your most valuable coins. If I owned a coin worth more than 10K, I would feel more secure in its potential value with the CAC bean.

 

Is there service relevent and valid? Yup, I think so because CACing a coin signifies that the grade is SOLID and not a borderline, could have been a 64 but made 65. This becomes more important the more valuable the coin.

 

Night Folks,

Malcolm

 

 

[moondoggy]

nice one Jeffrey, I like it, want a business partner ?? (thumbs u (thumbs u

[Chris1976]

Oh goody, I get a sticker by asking the opinion of someone elses opinion. It's a simple market maker plain and simple. Yes, CAC coins sell at a premium compared to the same coins without the CAC. If more people would become proficient in grading their chosen series of coins instead of assuming the grader's are always correct then they wouldn't need a sticker to make them sleep soundly. For example of the coin that cost over 10K, buyers at this price are either stupid and like to toss their money around because it means nothing, or they have studied that coin series in depth and have become very knowledgeable. A sticker should not determine a safety net as sooner or later, those too will be come counterfeited just as the top TPG's holders have been. And I know there are people saying "well you can check the cert numbers on cac's website", sure, you can, but remember in the mid 80's when sites were being redirected to places oversea's and they would charge your phone bill for as long as they wanted to? And you think this can't happen again? If so, I'm sure there are a lot of bridges for sale.

 

Think about this when you consider the premiums that CAC stickered coins get, CAC themselves bid on coins they have viewed in hand during evaluation. These bidders do so on a corporate account, one that's not lacking on funding. It would seem to me that they could very easily manipulate the market to drive the prices higher to create this "high demand". And just think, those who spend the funds to submit to CAC are really just paying them to view your coin, mark the ones they feel are worthy investments to watch for at auction (such as the gold bean coins) when if you really wanted a second opinion from yet another person or company, you could of taken it to any dealer that you trust to know how to grade coins for free.

 

But, to each their own. I don't buy into it, and thats my choice.

[BKW]

 

I think there are two separate issues here. First, does CAC provide a valuable service and second, what premium, if any, is that service worth?

 

With respect to the former, I think CAC does provide a valuable service. As Dudley mentioned it "adds a comfort level for those who cannot view a coin in hand before committing to buy." It also provides a comfort level for type collectors like me that don't have the time to become a grading expert in dozens upon dozens of different series. We rely on trusted friends and experienced dealers to help us out...CAC is similar, they just charge for it. Which leads to the second question...

 

CAC green stickers coins that are A and B coins; so you know you are getting a solid coin for the grade. Therefore, you should be paying what a solid coin would go for, regardless of whether it is stickered or not. The premium should be the cost of the CAC certification (perhaps a bit more depending on the coin). Paying hundreds or thousands of dollars more for a CAC coin is a waste of money in my opinion (just as paying an extraordinary premium for a toned coin is).