more than 50 of the same sets?!

[tyclin]

I was recently interested in diagon valley set. Of course, I know it has retired. I still want to grab some at current price in secondary market because I do believe their value will increase over time if hold on to them longer. I just heard from one collector that he or she has more than 50 sets of this set. .....Is that how other collectors do or invest? I understand the concept of diversifying the investment. However, more than 50 sets?!

[dakotahorn]

I thought this type of quantity in one set was crazy too... until I started realizing how big some portfoilos are. When you start getting closer to the 15-20k+ rqnge I guess it would be hard NOT to have extreme multiples of sets.

[cflannagan]

I was recently interested in diagon valley set. Of course, I know it has retired. I still want to grab some at current price in secondary market because I do believe their value will increase over time if hold on to them longer. I just heard from one collector that he or she has more than 50 sets of this set. .....Is that how other collectors do or invest? I understand the concept of diversifying the investment. However, more than 50 sets?!

As far as diversification goes, having 50 sets of something would make perfect sense if one also have roughly that many in other sets as well.

For me, as an extremely small-time LEGO investor, my number is 1 or 2 of a set. Not too committed into spending much more per set until I start seeing actual returns (after doing some actual selling), which I expect to serve as a primary motivation factor for me. ;)

[peeiempee]

I still don't like this idea. Depends on your risk tolerance. 50 of a set is real risky. It's like that saying dont put all your eggs in one basket. The set tanks or lego keeps it is like the live star for 5 years plus it may be bad. If you are to do this make sure you get the hard to finds so you don't have to compete with heavily discounted sets. On the other hand, you might just get 50 green grocers. We would all be rich if we can predict the future

[peeiempee]

I would never buy 50 of a secondary priced set. The bubble of lego investing can happen with secondary market prices.

[cflannagan]

I still don't like this idea. Depends on your risk tolerance. 50 of a set is real risky. It's like that saying dont put all your eggs in one basket. The set tanks or lego keeps it is like the live star for 5 years plus it may be bad. If you are to do this make sure you get the hard to finds so you don't have to compete with heavily discounted sets. On the other hand, you might just get 50 green grocers. We would all be rich if we can predict the future

It's not putting all eggs into one basket if the investor also have roughly 50 of other sets too.. mathematically it isn't going to make any difference, except your multipler goes up.

Ie:

2 of Lego Set A that would yield me $20 profit each (total: $40)

2 of Lego Set B that would yield me $10 loss each (total loss: $20)

Overall total: profit of $20

If I had 20 of Lego Set A and B instead, my overall profit would be $200.

Yes, the profit or loss would be greater, but diversification is still there as long as the investor buys sufficient # of unique sets to make "diversification" work. The profit/loss would be in line with amount of "capital money" the investor has at hand to play with.

[kerrmando]

I normally don't condone purchases of more than fifty of one set, however anything harry potter I wish I had fifty of..

[Guest ph4tb0i]

it also depends on the type of set you have. I have 52 30201 Monster Fighters Ghost and Clock sets. Even if I don't sell all of them individually for a nice profit I can always bundle them with other sets during Halloween to give buyers more incentive to buy my listings rather than the competition. Sometimes throwing in a few extra dollars can land more profit since buyers might see more value buying from you than the next guy.

[peeiempee]

Like I said depends on your risk tolerance. Diagon alley 150 dollar set 163 after tax. Multiply 50 about 8000. If your budget is lets say 20,000. How many more 50 sets can you get? One more? If that's not putting all your eggs in one basket I don't know what is. Well if you have 200,000 then sure you are fine with 50 sets of a 163 set.

[peeiempee]

When I was saying idea, I was referring to 50 diagon alleys at secondary market prices.

[Pirate]

Like I said depends on your risk tolerance. Diagon alley 150 dollar set 163 after tax. Multiply 50 about 8000. If your budget is lets say 20,000. How many more 50 sets can you get? One more? If that's not putting all your eggs in one basket I don't know what is. Well if you have 200,000 then sure you are fine with 50 sets of a 163 set.

FWIW, I didn't pay more than $110 for any of my DA sets. For anyone who knows what they're doing to have paid more is silly.

Also, again, if you know what you're doing, buying 50 of a set, even on a limited budget is no big deal. Saavy, seasoned resellers/collectors know the winners from the losers, regardless of what others may say, and know how to protect themselves from any losses.

[redeemed763]

First of all, those who already knew how this game worked already knew that Diagon alley was going to be a HUGE moneymaker, that set is an amazing value and the king of all HP. Secondly, I don't think you realize how many people have large portfolios on here. Lets just think about the number of sets there are to choose from, right now there are.... 5 modulars haunted house unimog + 4x4 crawler + logging truck Arkham Asylum Cargo Train B Wing R2D2 SSD Live Star Tower Bridge I only listed the very large sets because those are pretty much all the big time investors get, they don't waste their time with stuff under$100 or $150 just because they have the capitol to throw at higher performing sets that will fetch them more per transaction and that is the name of the game when you are big. Thats a total of like 15 sets I think, not a ton there to choose from, if bought one of each, you'd be looking at roughly $3000 or so. Now for those who have been accumulating them for several years, they may have 100k invested in their portfolio right now, you would need roughly 33 of each of these to get there, they really add up. The people who accumulate these numbers often times come by windfalls, I know one member here (possibly the same one you are referring to) came by 50 green grocers for 50% off, diversification be d***ed, go ahead grab em if you know they will do well. Sometimes I think we like to over diversify here, I know have been. There are a lot of sets that I try to get when the price isn't where I need it to be just because I want more diversity. At the same time, I could be investing in higher quantities of sets that are more heavily discounted.

[sadowsk1]

It seems like a lot but that's probably because I'm pretty small time. I'll make payments on my house before I spend that much on Lego. If I had more money to spread around, maybe I would buy that many of a set, hard to say, I haven't felt that strongly about any Lego set I've bought to yield a return.

[arobert125]

I worry about the number of sets being available for sale...once the go EOL and everyone starts trying to "reap" the profits....

[Darth_Raichu]

I worry about the number of sets being available for sale...once the go EOL and everyone starts trying to "reap" the profits....

Just make sure to sell them all before the bubble bursts ;)

[Legodog]

I think the most of any 1 set that I have is about 20 Vampyre Castles (so far). But that is out of 550+ sets I own so I would consider myself very diversified.

[TheDarkness]

I don't see it as a big deal. For those people buying Lego and selling them like a share portfolio, 8k on shares isn't much. If the bubble bursts what happens? I have lots of Harry Potter figs to make MOCs with. 25 is about my maximum amount for sets but only due to storage issues. I haven't put most of my inventory into my portfolio yet, as I am still determing what I am flipping and what I am saving. Items I am saving have been shipped out of the house altogether to my parents or my in-laws. With Diagon Alley though I wish I had picked up 50 sets!

[dunkers97]

I was recently interested in diagon valley set. Of course, I know it has retired. I still want to grab some at current price in secondary market because I do believe their value will increase over time if hold on to them longer. I just heard from one collector that he or she has more than 50 sets of this set. .....Is that how other collectors do or invest? I understand the concept of diversifying the investment. However, more than 50 sets?!

After being on here... I've seen a lot of people with multiples.... lots!

[TheOrcKing]

It depends on the size of the set for me. If we're talking about polybags, Minifigures, or $30 below sets, then that's one thing. But big ones like the $400 Death Star, money maker or not, 50 is an awful lot of them to be carrying around. Anything that large the most I would even consider is 20 and that's still pushing it. But if you're alright with holding on to that many and willing to do the work then more power to you.