The London Coins Collection is a stock of coins held and being traded, which the shareholders own.
The Collection comprises high grade and choice CGS third party graded coins owned by shareholders and managed by London Coins LTD.
The strategy is to use London Coins central position in the market to source high grade CGS graded coins, if possible finest known CGS types, at prices lower than the list price, then offer them through our extensive outlets, web site, shows, private clients and auction at list prices. All profits generated will be used to source new coins and build the value of the collection. In addition to profits generated by these trading activities it is anticipated that high grade CGS coins will increase in value as new collectors enter this market, attracted by the quality of the product and the MY Page support facilities.
The coins in the Collection stay with us, we continue to trade them selling items to collectors at retail price levels on an on going basis, and reinvesting the profits. See it as an actively managed coin stock we are trading for growth.
With the shareholders funds and sales proceeds we will purchase coins that in our experience seem keenly priced or discounted below usual collector price levels for whatever reason which could be a sudden over supply of a certain coin series which may temporarily overwhelm available collector funds, or a lull in interest in a given series causing certain coins to be offered in the market at unusually generous discounts. Later when the market for these changes, usually as new collectors enter the field, our strategy is to resell at a profit thus generating growth.
We of course also have an eye on general market trends and endeavour to ensure our collection of coins comprise choice and rare items which have a historical trend of price increase.
The London Coins Collection was started in 2010, then the price of the shares were £1.00. Since then this share price has risen to £1.92 as shown in the following graph.
London Coins Collection Share Price History 2010 — 2016
In It Together
We take no commission for dealing with your holdings and no transaction fees. When you decide to terminate which you can do at any time we will take as little as 20% of any profit generated so we will only take a profit if you do. As it helps us to manage The Collection if longer term investment occurs there is a financial incentive to stay with us for a longer period.
For shareholders who have been with us for 5 years or more the full 80% of profits generated is receivable. An example can illustrate this; during September 2014 the share price was £1.65, an investor who had joined us in January 2010 when the share price was £1.00 and had purchased 10,000 shares for £10,000 would have shares valued at £16,500 in September 2014 a profit of £6,500. If this shareholder cashed out then he would receive £15,200 (a profit of £5,200 which is 80% of £6,500) London Coins would receive £1,300.
For shareholders who decide to cash out before five years has elapsed a reduced share of any profits generated is receivable based on the following table (1)
Less than 1 year 20% of the profits receivable by the investor
Less than 2 years 35% of the profits receivable
Less than 3 years 50% of the profits receivable
Less than 4 years 60% of the profits receivable
Less than 5 years 70% of the profits receivable
An online valuation "tracker" is available which allows you to monitor your holding at all times. Access is private and password protected and provides each shareholder with the key information; the current share price along with the relevant calculation of the shareholders investment value, all coins held in The London Coins Collection, and a history of all sales and purchases of coins.
If a shareholder informs us of a change of ownership (we have had occasions in the past for example from father to son) this does not constitute a cashing out of the shareholders holding so know charges or fees would be payable to London Coins. The profit share payable to London Coins described above in In It Together only applies if the shares are sold back to us. It is the responsibility of shareholders who pass on their shares (in whatever private arrangement they see fit) to inform the new holders of all the relevant terms and conditions of the London Coins Collection especially the 80% : 20% final profit split.