RallyRd - that old idea about partial ownership of comics is a reality ($400K in 2020 so far)
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Possible positive: People can stop "investing" in comic books by hoarding copies that others are interested in actually owning!

They can "invest" in these ones they'll never look at!

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As a casual observer, they appear to sell out for most listings very quickly (within minutes/hours).  I have $500 worth of a Honus Wagner card on there (I think it's 1/1000th ownership).  I wish they'd open up the "trading windows" more often though.  You can buy in, but you have to wait until trading is available again (several months later) to cash out (or buy more).  If it was open 24/7, or at least during weekdays, that would be much cooler.  But it's still a great idea IMO.

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9 minutes ago, vheflin said:

Where are the assets kept?

"The assets are securely stored in our purpose-built, climate-controlled east coast facility. They are monitored by trained local staff and are kept under 24/7 video surveillance."

440-Storage-022.thumb.jpg.93950fef69211ed657274f20eb1411ee.jpg

1200x849.thumb.jpg.59674bfcd9ac5919c122484f2639957d.jpg

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yeah they have a fancy showroom, I don't understand how they make money

according to FAQ there are no fees/commissions whatsoever

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32 minutes ago, theCapraAegagrus said:

Possible positive: People can stop "investing" in comic books by hoarding copies that others are interested in actually owning!

They can "invest" in these ones they'll never look at!

Between a CGC 6.5 Amazing Spider-Man #1 and a CGC 9.8 Amazing Spider-Man #667 Dell'Otto variant, I'd say the insane people are the ones spending $20,000+ for a modern variant when they could just put $100 to $1,000 into an actual Spider-Man key.

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What sort of commission are they taking.  Some of those prices look pretty strong.  Do they buy the book for X and then sell shares in it at X plus a decent mark-up?

 I think I would be a seller not a buyer at each of those prices.  

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Posted (edited)
6 minutes ago, vheflin said:

yeah they have a fancy showroom, I don't understand how they make money

according to FAQ there are no fees/commissions whatsoever

They probably own 51% (or more) of every item.  Imagine getting other people to chip in so you could keep buying bigger keys for about half-price. Then, as the price per share (comic value) rises, they make a profit.  Fees are normally what? 1%? 2%? Set them to zero.  They're making 20% on share trade price increases, since they own the majority of shares.

Edited by valiantman

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2 minutes ago, valiantman said:

Between a CGC 6.5 Amazing Spider-Man #1 and a CGC 9.8 Amazing Spider-Man #667 Dell'Otto variant, I'd say the insane people are the ones spending $20,000+ for a modern variant when they could just put $100 to $1,000 into an actual Spider-Man key.

Completely agree.

Current thought: What happens if the asset is stolen or destroyed, though?

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Posted (edited)
4 minutes ago, theCapraAegagrus said:

Current thought: What happens if the asset is stolen or destroyed, though?

Insurance settlements are paid to registered owners of the asset: Shareholders.

rallyrd.com/faq/

Edited by valiantman

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Posted (edited)

Selling shares in a book is basically the same idea as having co-owners.  You are spreading your risk around and expanding your capital base to buy more books. 

Are they paying the prices the books are listed at?  Or is it the same as venture capitalist bringing a IPO to market where they are setting the value of the book?  Hulk #1 8.0 $89000?  Star Wars #1 9.0 35 cent variant $12K,  last sale was $9600.  DD #1 $11,500,  last sale was $9900.

If they are setting the "comic IPO" price they are a bit in the high range so for buyers of these shares they are already underwater.

Bob

 

Edited by blazingbob

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15 minutes ago, WayDownLow said:
34 minutes ago, vheflin said:

what could go wrong?

Ask these guys, they tried this like 10 years ago:

http://gotcgc.com/

They didn't try it with SEC filings, FINRA & SIPC brokers, official LLC documented ownership.

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Posted (edited)
8 minutes ago, blazingbob said:

Selling shares in a book is basically the same idea as having co-owners.  You are spreading your risk around and expanding your capital base to buy more books. 

Are they paying the prices the books are listed at?  Or is it the same as a IPO where they are setting the value of the book?  Hulk #1 8.0 $89000?  Star Wars #1 9.0 35 cent variant $12K,  last sale was $9600.  DD #1 $11,500,  last sale was $9900.

If they are setting the "comic IPO" price they are a bit in the high range so for buyers of these shares they are already underwater.

Bob

 

Agreed. They're building in a premium for the service they provide and the lower entry point.  Since few can afford $70,000 to $80,000 comics, they offer an $89 buy in for 1/1000th.  The premium is for the convenience, paperwork, and lower entry point... not for the comic itself.

 

By all means, pay $9,900 for a $9,900 comic... but if you can only afford $11.50, get 1/1000th of a $9,900 comic or a $11.50 comic.  The choice seems obvious to me, if the $9.9K comic is a true key. 

 

What keys cost $11.50? 

Edited by valiantman

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5 minutes ago, valiantman said:

Agreed. They're building in a premium for the service they provide and the lower entry fee.  Since few can afford $70,000 to $80,000 comics, they offer an $89 buy in for 1/1000th.  The premium is for the convenience, paperwork, and lower entry point... not for the comic itself.

 

By all means, pay $9,000 for a $9,000 comic... but if you can only afford $11.50, get 1/1000th of a $9,000 comic or a $11.50 comic.  The choice seems obvious to me, if the $9K comic is a key. 

 

What keys cost $11.50? 

If I'm going to "invest" in shares of a comic I'll never see and have little control over when I can sell (or buy more shares), I'm going with traditional ETFs or index funds that are far more liquid.

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Just now, Gatsby77 said:

If I'm going to "invest" in shares of a comic I'll never see and have little control over when I can sell (or buy more shares), I'm going with traditional ETFs or index funds that are far more liquid.

There are ETFs for comics?  If you specifically want to invest in key issue comics (not stocks or other assets) and can't afford true keys, what are your options?

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