Alternative assets are those which cannot be categorized as stocks, bonds, or certificates. Some examples of alternative assets include certain real estate investments, private equity, commodities, pieces of art, jewelry, and collectibles such as sports cards.
Sports cards are often less accepted as mainstream investment vehicles, despite the fact that they represent a great store of value uncorrelated with broader public markets. Thousands of sports cards are sold every day and the industry has returned 392% compared to 160% for the S&P 500 from 2008-2020. The growth of the sports cards market has transitioned them from collectibles to a true and unique alternative asset class.
For decades stocks, bonds, and foreign exchange have been the predominant investment vehicles, largely because they have been the most transparent and liquid. Alternative assets (private equity, hedge funds, real estate, and venture capital) can offer high yields uncorrelated with the stock market, but aren’t as broadly accessible because they are both more opaque and illiquid. Sports cards are even less accepted as mainstream investment vehicles, despite the fact that they represent a great store of value uncorrelated with broader public markets. The sports card market returned 392% compared to 160% for the S&P 500 from 2008-2020. Additionally, if you are a sports fan, buying cards of a player is the closest you can get to buying stock in that player, as a player’s valuations are highly correlated with his or her accomplishments, good and bad.
Rookie card and is printed in the year the player makes their professional debut in the top leagues.
refers to the number printed on the card indicating how many copies of the same card were made. ie) a card with 10/100 stamped on it has a print run of 100. Cards with print runs are often referred to as ‘numbered’ cards.
or event worn means the jersey piece was worn at an event or photo shoot instead of a game- this is less desirable but roughly 90% of all jersey piece cards are player or event worn. This will be denoted on the back of the card.