We are all familiar with the wealthy in America, The Rockefellers, Vanderbilts, Hiltons, Fords, Forbes, Du Ponts, and many others. These families all had one thing in common, their wealth was created generations ago. The amazing thing is, even though their wealth was created long ago, the families are still benefiting from it.
Today we realize that the accumulation of wealth is only the first part. Another challenge is how to retain your riches and create Generational or Legacy Wealth.
So let's examine what their Grandfathers did with their wealth to make it last so long.
Malcolm S. Forbe
In 2004, the Forbes family auctioned off a piece of their family’s wealth in the form of Faberge eggs that Malcolm S. Forbes acquired from the 1960's until his death in 1990. Although no information is available on how much he spent to acquire these eggs, experts believe that it was a small fraction of the $110,000,000 that the sale brought to the Forbes family.
There are 50 Imperial Easter Eggs in the world, including the nine owned by the Forbes family.
For the past 14 years, since his death, this wonderful Collection has been shared with the public in the Forbes Galleries and in shows around the world. As Malcolm said in his book,
'I've often told my children I hope if they decide to be done with one of the collections, they will put it back on the auction block so that other people can have the same vast fun and excitement that we did in amassing it.'
Malcolm Forbes died in 1990 and 14 years after his death his assets are still generating wealth for his family!
So How Did He Do It?
Malcolm, like Steve in our example certified vs. bullion, understood the value of History, Condition, & Supply. What was also understood was the value of TIME. It took Malcolm 30 years to acquire this unique collection and an additional 14 years to bring the $110,000,000 to his family
So why is TIME so important!
It is easy to understand the value of something that is a100 or more years old. The real question becomes "How do you know an item will be rare in the future?' Quite simply, Supply.
SUPPLY
"An Item is rare or common the day it is produced."
In the case of the Faberge eggs there are only 50 in the world! The very day they were created, they were rare. Now, 200 years later they are Extremely Rare.
History plus Time
"Age can make any item historical; however some items can be historical the day of creation."
The first Coca-Cola bottles were created around 1900. Even though these bottles were a very common item in their time, today they are considered RARE. This is the Value of time. A Common or high supply item can become rare after 100 years. These Rare bottles can sell for $100's of dollars without coca-cola in them!
In the time it takes a common item to become rare (100 or more years), a rare item can become priceless.
In America, no one wants to wait 100 years or more to become wealthy! Great wealth takes time and the longer you wait to start, the longer it will take. Take a look at a modern day example that can truly change your financial position.
In 1999, the United States Mint produced 1,505,026 one ounce Gold Eagles.
In 2001, the United States Mint produced 143,605 one once Gold Eagles.
The year 1999 was very exciting because we were alive during the millennium change. This year will always be important as time marches on. So you might think that if you own a one ounce Gold Eagle from 1999 you have something that is special. However, when you realize that the Government produced 1,505,026 of them, you realize you will have to wait 100 or more years before the item will reach rarity status.
In that same amount of time, the 2001 one ounce coin could become priceless! Here's why.
First, go back and look at the supply of the coin; only 143,605 verses 1,505,026. In the entire history of the Gold Eagle program (20 years) this 2001 is the lowest minted coin to date! This coin will be more valuable than any of the other dates.
To prove this point, let's go back and look at older coins with similar mintage figures. 100 years ago in 1907 the United States Government produced 1,451,786 one ounce Liberty head coins. Knowing that your Grandparents could have secured this coin for only $20, it is exciting to know that today you can acquire this same coin for $800. That means the value of that coin has increased 4,000%. That's not bad. Your grandparents produced a 40 times return on her investment of time and money. So, if your grandmother had saved $10,000 in one ounce gold Liberty coins, you would have $400,000 today.
Now in 1915, the United States Government produced 152,000 one ounce coins. Again your grandmother could have purchased this coin for $20. Today you are looking at a minimum of $2,500. That's an incredible return on her money of 12,500% or a 125 times return on her investment. So putting $10,000 in one ounce RARE Gold Liberty coins would have turned into $1,250,000 today.
Do you want to be Rich or Wealthy?
The previous example shows how a Rare item can rise 300% more than a common item and in less time. So if this was your family, could this example help you today?
Let's talk about Condition
You can decrease the value of a RARE Item by damaging the item and lowering its condition. If you owned the rare 1915 one ounce coin and damaged it, you would not get $2,500 for it. Depending on how bad it was damaged, you could reduce its value down to $800. So, if you have a rare item you want to keep, protect it from harm. By preserving the condition of your rare item, you are increasing its future value.
The Key:
History, Low Supply, Best Condition... plus TIME! Is a GUARANTEED formula for the Creation of Wealth!
Start Building your Wealth Today!
You can Start with $10,000 or $1,000,000
Contact us today at 1800-775-3504 to start your Legacy Account
United States Gold Bureau is a private distributor of United States Gold, Silver & Platinum coins and is not affiliated with the U.S. Government. Information on this web site is intended for educational purpose only and is not to be used as investment advice or a recommendation to buy sell or trade any asset that requires a licensed broker. As with all investments there is risk and the past performance of a particular asset class does not guarantee any future performance. United States Gold Bureau, principals and representatives DO NOT guarantee a profit or guarantee that losses may not be incurred as a result of following its coin collecting recommendations, or upon liquidation of coins bought from USGB.