Collecting is a waste. There, I said it. In a nutshell, if you don’t intend on cornering the market with your collection and make a living from doing it, then your time and money is being washed away.

Every collector that reads The Zen Capitalist instantly close their window browser and scream profanities at the computer screen as they clutch their vintage 12” Darth Vader or Bratz doll to their bosom.

I can write about this because I used to own a 12” Darth Vader doll, MIB (Mint in Box) for that matter.  In fact, I owned 30 other 12″ dolls.  I was a huge collector when I was younger.  I collected everything from rocks to baseball cards and comic books to girls numbers.  The biggest problem of them all was my sick obsession with Star Wars.  Let me describe the craziness with pictures.

That was a small portion of my collection before I sold it all on EBAY.

When I started, I was literally caught up in all the hype that was Star Wars. They were re-releasing the reedited versions of the movie, a new generation of geeks began to unmask themselves (points at self), and there were rumors that the prequels were in production. It was hard NOT to be excited because the Star Wars saga pwned.  I bought anything and everything Star Wars.  Secretly, I hoped that the story was true and someday I’d be able to join the rebellion.  Haha.

After three Toys’R’Us midnight madness events, countless of shoving matches with rude Hot Wheels scalpers at Walmart, 48 Star Wars insider magazines, one too many “You’re a loser” looks from my girlfriend at the time, and 238 eBay auctions, I was able to amass close to 1200 unique Star Wars items.  This was a huge feat!

and then I grew up...

Halfway through the ordeal, my genuine enthusiasm for Star Wars collecting turned into one of monetary means.  I rationalized that I WAS COLLECTING FOR MY FUTURE, and my horde was an investment.  Sadly, I believe this is what happens to most collectors. We hope that somewhere in our stash of items, we will find a Mickey Mantle or Babe Ruth.  Diamonds in the rough.  Heck, maybe the entire collection alone in 20 to 40 years down the line will be able to pay for our kid’s college education or down payment on our first home.  Either way, that means we would have to store the items in a way that will help them withstand the sands of time.  Not to mention, the collection still has to appreciate in value (something we have no control over).

the decision maker

Once you reach that point when collecting stops being FUN and you transform your thoughts towards it being an investment, it’s time to sell the collection.  Simply put, there are better ways to invest your time and money.  There’s no sense in keeping your collection because all it does is take up space and resources for upkeep.  But Zen, what about all of my fond memories?  I say, think of it as baggage.  Cut it loose and you’ll be lighter on your feet.  If it makes you feel better, save the first collection item that you have received and ditch the rest.

As a rough calculation, lets see how much money I put towards my “investment” collection.

If I took that same money and put it to work via savings, money market funds, or other investment vehicles over 20 to 40 years at the annual return of 3%, 5%, and 10% I get:

That’s a whole lot of chedda’.  Too bad the FORCE was not with me, it would have guided me to stop buying Star Wars crap. Did or do you currently collect anything?  How has it served you? Post your experiences to the comments.

See you all soon,

Disclaimer: As long as there is passion in your collection, it’s definitely worth your while.  My parents collect orchids and they will continue to do so until they can’t walk.  If you know yourself enough and believe that your passion to collect will die over time, don’t even start.  I also feel there are some things worth collecting regardless of what I just wrote above, these are: books, art, and things that are free.

Photo Credit: The Zen Capitalist

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