Trading Cards: A New Asset Class for Investors
In recent years, investors have increasingly turned to trading cards as a diversified investment strategy. According to Gemrate, over 20 million cards were graded by leading authenticators in 2024, a 16% increase from 2023.
Authenticity and Grading: Ensuring Value
Trading cards are authenticated and graded by companies like Professional Sports Authenticator (PSA), ensuring their authenticity and rarity. Using AI and human expertise, PSA assigns grades that determine the value of each card. Higher grades indicate increased rarity and value, enhancing liquidity in marketplaces like eBay.
The Pandemic Boom and Growing Market
The pandemic fueled a surge in the trading card market, with PSA handling a massive backlog of 13 million cards. As the market matured, buying and selling services emerged.
Investment Options
Investors can store cards in vaults, integrated with eBay, for seamless selling as market values fluctuate. This allows for timely sales and profit maximization.
Rookie Players and NBA License
Hoge recommends focusing on rookie players in basketball, particularly with Fanatics acquiring the trading card license for the NBA. Investors can speculate on the potential success of rookies to drive card value.
Expert Advice
Sports Report with Joe Pompliano provides insights into the latest sports business news, including industry trends and investment strategies.