The frail economy and the economic crisis has made many investor doubt traditional channels and made alternative sources of investment popular again. In the world of stocks, real estate, gold and other commodities, collectibles are resurging as potential sources of investment. Stamps, trading cards have been joined again by comic books as investment opportunities. But are comic books worth it?
In the 1990s, an industry boom was fuelled mainly by an investor craze into comic books. Based on the rarity of successes from the 1980s like Mirage Comics’ Teenage Mutant Ninja Turtles and renewed interest into early comic books, comic book publishers jumped on the bandwagon, producing alternate covers and many first issues of new special must buy comic book series. Preserving the mint aspect of a comic book became a new mantra, forcing comic book collectors to buy acid-free bags made of Mylar and cardboard backings that would not damage the physical integrity of comic books.
An entire industry based on the preservation and the exchange of comic books suddenly rose up and expanded its importance in the minds of the average comic book readers. The speculation helped promote Valiant Comics, propelled the early careers of Image Comics’ founders, created a new generation of X-Men properties and encouraged DC Comics to write a story about the death of Superman.
The ranks of the comic book readers were no longer composed of collectors, kids and readers. Instead, speculators joined their rank and helped generate the largest sales for comic books since the 1940s. Along the way, something went wrong and more comic books were produced for this speculator market than could be absorbed. Investors, young and old soon figured out that a lot of other investors had purchased similar copies of comic books and hence, their investment had no values.
The flooding of the market with comic books, the plethora of comic book publishers starting new super hero universes, financial problems with Marvel Comics, one of the largest publisher in the industry, and the chronic lateness of many comic books published by a new class of self aware self publishers helped make the comic book market retract all at once and sales went south.
Those that remained behind worked hard to deliver a quality product again that would matter to the real comic book enthusiasts that had remained loyal. Experiments such as Marvel Knights were attempted to reboot floundering comic book properties. It was a smaller industry but one that was back to sustaining basic premises, be relevant for readers. It was with happiness that this writer and many pundits saw the speculators exit.
Yet, the market for older comic books, from the Golden Age (1930-1950), the Silver Age (1950-1970), and the Bronze age (1970-1984) still have some value that products published after that still do not have. They are rarer, often available in less than optimal physical conditions and have remained for many experts good investments.
While knowledgeable experts can make money off older comic books, it is my understanding that the pool of collectors knowledgeable and willing to pursue rare comic books is limited. New investors trying to enter the trade would only go after wares for which collectors that really want them already have a good idea of the collectibles they seek. Chances are these collectors are holding on to whatever prize possessions they have and only secondary goods of interests are available. Hence, investors who have no real interest in anything but the resale value of the comic books they invest in are probably just exchanging hands with other speculators. This type of trading is highly artificial and less safe than traditional investment avenues where anyone can understand the value of an asset immediately. Unless a speculator can find a willing genuine collector to resell a comic book to, that speculator is wasting his time. Genuine collectors are few and already possess what they truly seek. The value of the genuine collector, to the investor may be more important than the actual value of the comic book they seek to resell.
Learning about Web sites that sell monthly membership in exchange for “up to date” data on the price of comic books, I asked myself if there truly were idiots who would fall for this. There is a principle that says that people who get swindled often think they are the one that are going to be pulling a fast one on their target. I extremely doubt “official” value databases and price guides on comic books. The only value a comic book has is the one the collector is willing to pay to obtain a specific comic book. No number of speculative price guides verified by armies of experts can beat the value the genuine collector is willing to pay or not pay for a comic book.
In the past, that value was based on the rarity of the object, thus its availability. Collectors, especially those going through mid-life crises can readily find whole books at very affordable price reprinting the early adventures of Spider-man, Batman and Superman printed on very good stock paper and re-coloured digitally and cleaned up. They no longer have to worry about leaving their fingerprints on “mint” comic books or bother with Mylar bags and backing boards. Especially in the age of the digital comic book, what become increasingly important are the contents, not the format it was distributed in. As collecting current Web comics for investment becomes an oxymoron, how will speculators and their ilk sustain the need for new stocks needed to remain relevant, when the pool of genuine collectors interested in genuine artifacts keeps shrinking? Based on these predicaments, I can only conclude that investing in comic books like one invests in real estate or the stock market is a ridiculous proposition.
As the National Post, quoted this writer a few weeks ago in an article on comic books as investments, only buy comic books you like and ignore the calls for buying into a dream that will never bear any fruits.
My collecting guideline has always been "collecting for fun not profit" and if I happen to get something that I like that ends up being worth something then I consider that a perk to being a comic book reader. Great essay.
Good review. I sometimes have trouble buying collections from uninformed owners as they want top dollar, 100% guide price when they "discover" how much a book is allegedly worth. It's annoying as they look at me as a rip off artist when all I want to do is read and enjoy them -- rather than collecting mold in their basement!
Seeing how they are the main offender of alternate covers and instant collectible schemes like "Obama covers" these days, it is interesting that you seem to push Marvel's efforts as some attempt to move the industry away from the excess of the 90's. If anyone is still stuck in the failed ideas of those gimmicks, it is that publisher.
Sometimes one just can't win. For a lot of readers, every time one mentions Marvel, DC or anything mainstream in any positive light, it's seen as some kind of betrayal to some purist vision of comics.
Johnny, in the late 1990s, Marvel Comics did experiment with new comics to save their asses. It was a success and part of what they had to do. Whether one likes it or not, we can't objectively ignore their accomplishments when they are due.
That they are reverting to old tactics and tricks today, is only a symptom of the speculating times that seem to be upon us, again.
Yeah, the "indie" comics and publishers are great and wonderful and all that jazz...but so many purists seem to forget that before Superman was plastered all over everything and anything that can be sold he was an "indie" hero who's adventures were loaded with social commentary on the times of his earliest adventures. The fact that Marvel and DC both have several big storylines running currently or that ran recently that comment on the current state of world politics and social issues such as the recent Sinestro Corps War, Civil War and the current storyline of Unknown Soldier currently speak volumes to their relevance even though they are "big" publishers.
when a person invests in real estate or gold, they expect it will still be there in a couple of hundred years. this is not so for people who "invest" in old comic books. a cheaply-constructed comic book of yesterday will last 100 years maybe (if you take really, really good care of it). in that way, nobody invests in them like they would stocks or gold or land. it's comparing apples to oranges.
it could be that a vast conspiracy of speculators and unscrupulous dealers are frantically at work making old comics unattainably expensive for all i know. but i say there are probably two reasons for the high price: supply and demand.
i agree that a big part of the demand in any market of collectibles is speculator- and dealer-driven, but there are other reasons too. in the case of comics, well, folks just want to read them, don't they? any comic - just for fun, like the author said - but also because it's an art-form and also a piece of history. there will always will be some small demand for any comic book. demand is also steady in comics because every day more fans enter the market and want to read and/or own the back issues involving their favorite characters (regardless of what medium first exposed them to that character, be it film, video games, tv, etc). as long as Marvel and DC continue to write stories with characters that have long histories, that phenomena will probably continue.
but i think the main reason prices are so high is really the supply. comics have a finite life-span and any expert will tell you they are corroding away into dust at a relatively rapid rate (especially old comics). they are a scarce resource getting ever scarcer.
perhaps it's true that when Marvel and DC reprint a bunch of their old stuff, the "supply" of the printed story effectively doubles or triples and that tends to drop the price for the first run, but it's not always true. if the first run has a lot of historic value to collectors, it may have no effect on price. a reprinting can even, paradoxically, fuel demand for an under-appreciated classic. perhaps that's because there is generally some debate about whether any reprint can ever be superior to its associated first run, particularly to those who collect for historic value.
however, regardless of the medium, there are many stories that will never be reprinted or re-told. if you're just a regular Joe who enjoys reading comic books and you want to read a rare, over-priced book, you'll probably have to buy it, as overpriced as it is. if it becomes one of your favorite books and you take care for it for a while, there will probably be fewer copies around when you sell it. you'll make a little profit from the increased demand on the book.
and that is apparently how you become a evil speculator.
I have to disagree. Ebay. Yes..it is bigger then ever and comics are international!
I do believe that books after 1979 will not hold value beyond it's cover price(With some exceptions)But these books last longer then you can imagine...depending on how they are handled..thats another reason why the rarity will continue to rise!
Understanding Academic Research and the Comic Book
Before the formalist school of the comic book could even propagate and be discussed and enhanced, there were calls to introduce a balance to comic book studies
Copyrights 101 - Why You Must Care About This
Copyrights laws are changing and although most people don't care about this arcane stuff, they have to. It affects their daily lives too much. It even affects how they can access this site.
