08-21-2005, 10:50 PM
I'd be careful with making such investments.
First, the prices on Soviet awards are at all time high. One reason medals are so scarce is that many collectors as well as investors accumulated multiple items in hope that price would go up. Prices have been raising due to limited demand, but guess what will happen if several folks decide to dump Suvorov 3rd cl for example? Yes, dealers list Suvorov 3rd around $5000, but with multiple offers around - is that $5K price sustainable?
Second, Russia plays major role in price acceleration. Russian cash rich wealth is fueled by oil prices only, but what if oil prices decide to head south? With oil revenues shrinking and Russian economy in decline - how many folks in Russia will care about Soviet awards? Even worth, what if they decide to sell their collections?
Third, market for Soviet awards is already very limited outside of Russia.
It's up to you, but I'd think twice.
William
First, the prices on Soviet awards are at all time high. One reason medals are so scarce is that many collectors as well as investors accumulated multiple items in hope that price would go up. Prices have been raising due to limited demand, but guess what will happen if several folks decide to dump Suvorov 3rd cl for example? Yes, dealers list Suvorov 3rd around $5000, but with multiple offers around - is that $5K price sustainable?
Second, Russia plays major role in price acceleration. Russian cash rich wealth is fueled by oil prices only, but what if oil prices decide to head south? With oil revenues shrinking and Russian economy in decline - how many folks in Russia will care about Soviet awards? Even worth, what if they decide to sell their collections?
Third, market for Soviet awards is already very limited outside of Russia.
It's up to you, but I'd think twice.
William
