Here is a way for you to invest money now and I guarantee that it’ll go up in value in 2021 by 12%. Want to know what it is? Find out more
1st Class Stamps
Stamps are going up in value as of the 1st of January and will now cost quite a lot of money for what can be done for free by email. The hike is actually quite a bit, 12% for 1st class stamps up from 76p to 85p. 2nd class is only by 2% – but with CPI inflation sitting at 0.7% and this being the second rise this year, it’s 2% too many!
- 1st-class stamp for a standard letter will go up by 9p (12%) from 76p to 85p.
- 2nd-class stamp for a standard letter will go up by 1p (2%) from 65p to 66p.
- 1st-class stamp for a large letter will go up by 14p (12%) from £1.15 to £1.29.
- 2ns-class stamp for a large letter will go by 8p (9%) from 88p to 96p.
If you are reading this on the 30th of December – a 12% gain in just 3 days is much almost as good as my other blog post that is worth a read. Still 12% in a few days is great! Remember that the prices go up on New Year’s Day and you don’t want to wake up with a hangover and regret – so buy the stamps and spend you gains on a classy hangover.
Why so much?
Royal Mail PLC didn’t exactly say that with Brexit and the long queue of trucks at Calais and other ports has increased the cost of champagne for the shareholders annual general meeting – but that must be part of it.
So what should I do, GFF?
Simple really, go and buy lots of stamps to save yourself some money. I did it and I’m totally FIRE now – Filately Independent, Rest Easy. I don’t use that many stamps but thought I would stock up and bought a few books today. You want to see the proof? I’ve got the proof. And I’m going to get more before the end of the year. With prices only going up, it’s a great time to get investing in stamps!
Are Stamps a Good Investment?
Mke at 7 Circles has done a good review (albeit a few years old) about stamps that is well worth a read. Find the Link Here. My view is that unless you take a particular interest in the subject then you should not bother investing in collectibles. It seems like what makes a really good investment, be it coins, stamps, cars, Star Wars dolls or Pokemon cars is how stupid the price that
stupid people are willing to pay for them.
In my case, I really like whisky and could consider buying some for an investment but I don’t see the point in starting up a collection of ready bottled malts, hoping that they go up in value.
Is Royal Mail a Good Investment?
I bought shares when they floated back in the day and sold for about a £1500 profit. Could have been more but I sold late. They are now worth about the same as the float price and your money would have been better spent on stamps. Poor show!
What about stamp collecting?
Well, Stanley Gibbons has been a rubbish investment. As you can see from the graph.
My Dad collected stamps and now that he is dead, nobody is doing anything with them. They might be worth a fortune but I suspect that they are not – and worse, their value will only fall as the number of stamp collectors decreases due to death and their prized collections hit the market.
Collectibles are a funny thing – I don’t really understand why things like Pokemon Cards can be worth hundreds of thousands of pounds. There’s loads of bloggers out there but I still don’t get it.
I think that I’ll keep sticking to collecting either money or productive assets. I might be wrong and speculation is the way to riches but there is a strong chance that it’ll all end up losing you money. In the mean time, I still have my stamps and guaranteed increase in value for 2021.
Note: I don’t own shares in Royal Mail (anymore) or Stanley Gibbons (Thank F**K). I do own some stamps and a barrel of whisky – but it’s for personal use only (all 225 litres!)