RallyRd - that old idea about partial ownership of comics is a reality (updated July 21, 2021) 6 6

[GM8]

3 minutes ago, Hollywood1892 said:

I agree

But I can see it happening because people are too hopeful for $$$. People don't actually own a piece of the comic, they own a piece of paper that tells them they own a piece of a comic.

If I own stocks in oil can I trade them in for actual oil?

What if, you were able to amass all or most of the shares for a particular comic? If you had all, would they then surrender the book to you?  If you had most would they allow you to contact the other owners and ask if they would sell the remainder of their shares?

[Hollywood1892]

Just now, blazingbob said:

No in oil you would trade the futures and yes you can take physical delivery

I know absolutely nothing about investing except I want to invest in tech and clean energy...

I'm actually saving up for an AF 15. I'm about 9k in and I want to turn to proper investing to allow my money to work for me...I plan on buying the book in about 3 years....

I don't really agree with the procedure of buying a piece of a comic via stocks, but its definitely interesting and enticing for those who wouldn't otherwise be able to afford something like this

[Hollywood1892]

1 minute ago, GM8 said:

What if, you were able to amass all or most of the shares for a particular comic? If you had all, would they then surrender the book to you?  If you had most would they allow you to contact the other owners and ask if they would sell the remainder of their shares?

That's really hard to say

I would assume if you were able to secure all the shares then you would be able to get the book...I would assume they would be able to determine the value of the shares by other sales of the same book in the same grade...or shareholders selling off their shares

[G.A.tor]

16 minutes ago, GM8 said:

What if, you were able to amass all or most of the shares for a particular comic? If you had all, would they then surrender the book to you?  If you had most would they allow you to contact the other owners and ask if they would sell the remainder of their shares?

It would be cheaper by 20%+ to just buy a similar copy 

[WolverineX]

Like all scams in this world, this is just taking money from the naive.

[blazingbob]

6 minutes ago, Wolverinex said:

Like all scams in this world, this is just taking money from the naive.

I wouldn't go so far as to call it a scam.  There is an underlying asset that does have value assuming the "holding company" doesn't go belly up.  If the shares are trading less then it's current asset value then you are basically value investing.  Problem is you are not the one controlling when the asset is sold.  

[oldmilwaukee6er]

What about zero!?

[Poekaymon]

32 minutes ago, Wolverinex said:

Like all scams in this world, this is just taking money from the naive.

I personally collect for fun and the value of reminiscing, so I try to keep it to amounts I wouldn't mind if the value all went to zero.  In which case I'd just crack open the slabs and go on with my life.

That having been said, I don't see anything wrong with this.  And the concept really isn't different or strange. There are already various investment vehicles for getting "slices" of something expensive other than a publicly traded company--and I've worked on some of them.  They are legitimate, though they often don't make money.  It's just slightly more fun, for people who have an interest in whatever the item is, then more traditional investments.  I hadn't heard of rallyrd, but I'm sure they have a honey of a disclaimer, and maybe even some sort of income/assert requirement, as other services do to keep it purely to disposable income.

    

[D84]

This whole thing reminds me of...

 

[Gatsby77]

3 hours ago, blazingbob said:

If Rallyrd wants investor's to buy more shares in their new acquisitions they need to show that their investor's made money on the previous share acquisitions. e".   

This, hence my "ponzi scheme" analogy.

For this business model to be sustainable, two things need to happen.

1) The bulk of the underlying assets (comics acquired) need to continue to increase in value.

2) There needs to be a steady stream of "investors" willing to consistently over-pay by ~20% for shares in those books.

Neither of those things are assured - even the market prior to the mortgage (another "asset-backed security") crisis of 2008-2009 required only the first condition to be true, not both.

[bc]

Make sure to read their somewhat lengthy Disclaimer:

https://rallyrd.com/disclaimer/

IF there is an actual profit for these Asset Interests, what would the tax requirements resemble and what kind of tax paperwork will be supplied by Rally?

-bc

 

[D84]

3 minutes ago, bc said:

Make sure to read their somewhat lengthy Disclaimer:

https://rallyrd.com/disclaimer/

IF there is an actual profit for these Asset Interests, what would the tax requirements resemble and what kind of tax paperwork will be supplied by Rally?

-bc

 

I can sum it up in two words. 

BEND OVER 

[Hollywood1892]

1 hour ago, blazingbob said:

I wouldn't go so far as to call it a scam.  There is an underlying asset that does have value assuming the "holding company" doesn't go belly up.  If the shares are trading less then it's current asset value then you are basically value investing.  Problem is you are not the one controlling when the asset is sold.  

Thing is with companies with an IPO they are actually the creators of the company and or the product, for example google or apple, whereas this company is not, so how are they making money to keep the company afloat?

Edited July 25, 2020 by Hollywood1892

[blazingbob]

2 minutes ago, Hollywood1892 said:

Thing is with companies with an IPO they are actually the creators of the company and or the product, for example google or apple, whereas this company is not, so how are they making money to keep the company afloat?

They are buying the asset and pricing the offering higher then what they paid (15-20% higher).  Basically they are the venture capitalist and they are selling the asset IPO to the investors.  

[Mercury Man]

Isn't the old adage -  If you can't touch it, you don't own it -  

[Hollywood1892]

Just now, Mercury Man said:

Isn't the old adage -  If you can't touch it, you don't own it -  

This is how I felt...but it's broken down pretty good...I'm just not sold on it yet

[Gatsby77]

10 hours ago, valiantman said:

  People aren't going to pay for something based on a picture from someone they'll never meet and just hope the item shows up.  You think I'm going to drive over to the Post Office, trade cash for money orders, and send them away in the mail to some random address on the other side of the country and cross my fingers hoping I get something cool two weeks later?  What kind of fool do you think I am?

This statement makes me wonder when you started collecting comic books, Greg.

eBay didn't invent mail-order. I was ordering back issues by mail via classified ads in the Comics Buyer's Guide back in 1990. Hell - you could do the same via MileHigh, which had their ads every month in comics (and the classic "Fine/Mint" grade).

Also, did you never experience the rush of running to the mailbox to see if your special "mail-order-only" limited edition Return of the Jedi action figure had arrived (The Emperor, Anakin Skywalker), just "4-6 weeks" after you'd sent in 5 proofs of purchase from other Star Wars figures you'd bought? I was eight years-old, but it was *awesome*!

[FlyingDonut]

Mrs. Donut and I are not serious big-money investors by any measure, but we do have money put away in investment vehicles, and one of them is a REIT that invests in healthcare properties. I'm not sure I see the difference between that and RallyRd, outside of what the investment vehicle is. I don't get to own a senior citizen's home, but I have a piece of it.

[blazingbob]

1 minute ago, FlyingDonut said:

Mrs. Donut and I are not serious big-money investors by any measure, but we do have money put away in investment vehicles, and one of them is a REIT that invests in healthcare properties. I'm not sure I see the difference between that and RallyRd, outside of what the investment vehicle is. I don't get to own a senior citizen's home, but I have a piece of it.

I own stock in Public Storage which is the company I rent my storage units from.  They are a REIT also.  Difference is I trust Public Storage and see them all over the country.  I don't know RallyRd and their financials at all.

[Gatsby77]

20 minutes ago, Hollywood1892 said:

Thing is with companies with an IPO they are actually the creators of the company and or the product, for example google or apple, whereas this company is not, so how are they making money to keep the company afloat?

Yeah - it's an ETF - no different than buying shares in a "real estate investment trust" whereby your stock supposedly represents some share of ownership in some apt. building in NYC or GLD, where your stock owns some share of one of the mining companies backed by actual gold bars that you never see or touch.

How are they making the money to keep the company afloat?

Banking on a continual stream of suckers willing to overpay by 20-30%.

Again - over-paying by 20% is the same whether I pay $12 for something worth $10, or if I pay $120,000 for something worth $100,000.

If you're going to pay $12,000 for a comic worth $10,000 why wouldn't you just put it on your credit card and pay via 15-16 months of time payments? Same thing, but you'd own 100% of it at the end.

Edited July 25, 2020 by Gatsby77