The Surprising Investment Success
The rise of collectible toys as investments is not a recent phenomenon. In fact, the market has proven that owning certain toys can be a legitimate way to diversify an investment portfolio. For example, a study conducted by Victoria Dobrynskaya, an associate professor of finance at Moscow’s HSE University, found that LEGO sets have returned an impressive 11% per year since 1987. The study compared the returns on LEGO sets to other investment options such as stocks, bonds, gold, and collectibles. The study concluded that investing in LEGO sets can provide better returns than these traditional investment options.
The Rarity Factor
Collectibles, including toys, have proven to be viable assets for building portfolios and securing retirement funds. Tin toys that sold for pennies a century ago can now fetch thousands of dollars. One of the key factors contributing to the value of collectible toys is their rarity. Over time, toys naturally become scarcer as they are often played with, damaged, or lost. This scarcity drives demand among collectors, who are willing to pay a premium for rare and well-preserved items. Collectible toys come in several forms, each with its own potential for investment returns.
Comic Books
Comic books have long been a popular collectible, with certain issues reaching astronomical values. For example, a 1938 first edition of Action Comics, which featured the debut of Superman, sold for more than $3.05 million in 2014. Similarly, a 1939 copy of Detective #27, which introduced Batman, fetched a staggering $1.07 million in 2010. These examples demonstrate the immense value that rare and iconic comic books can have.
Toy Cars
Miniature toy cars, such as Hot Wheels, have become highly collectible. Certain rare models, especially those from the 1960s and 1970s, can command high prices. For example, the ten most valuable Hot Wheels cars ever made, including a rare hot pink 1969 VW camper, can collectively fetch over $100,000. The appreciation of these toy cars demonstrates the potential for significant returns in the collectibles market.
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Dolls and Teddy Bears
Dolls and teddy bears that are well-preserved and in mint condition can also be lucrative investments. An original 1959 Barbie doll, still in its black and white swimsuit, sold at auction in 2006 for an impressive $27,450, a significant increase from its original price of $3. Limited edition dolls, such as the 2013 Marie Antoinette Barbie, can also yield significant returns. In addition, rare Teddy Bears, such as the Black Titanic Mourning Bear issued to commemorate the 1912 tragedy, have fetched impressive prices at auction.
Collectors’ Cards
Collectible trading cards, such as Pokémon cards, have gained popularity among collectors and investors. Rare cards from the early years of popular trading card games can be worth significant amounts of money. For example, a 1999 Series One “Charizard” holocard recently sold for a whopping $420,000. The Pikachu Illustrator card, considered the holy grail of Pokemon cards, has been known to fetch over $56,032.
