The Hobby

People who search for obsolete stock and bond certificates may be newcomers to the field of collecting, but their numbers are growing. What’s the attraction? The old stocks and bonds are a link to the past, not just a summary of a country’s financial history. A large part of scripophily is this area of financial history. Over the years there have been millions of companies which needed to raise money for their businesses. In the case of bonds it is governments raising funds for all areas of funding for government expenditure. In order to raise the funds, the companies issue securities.

Generally speaking, they either issue an equity security in the form of shares or a debt security in the form of a corporate bond. However, there are many varieties of equity and debt instruments. They can be common stock, preferred stock, warrants, cumulative preferred stocks, bonds, zero-coupon bonds, long term bonds (10 years, 15 years and over) and any combination thereof. Out of these securities a myriad of options and futures instruments are created and that is a story for another day. 

Each certificate is a piece of history of the company and its business. Some companies become major successes, while others were acquired, merge with others or just go out of business. Writing up a collection is part of the fascination of the hobby. All sorts of allied material can be used to pleasure - pictures of the men who signed the stocks and bonds, pictures of the Banks buildings themselves, autographed letters of the men behind the issues and so on. A well catalogued sets out to tell, in chronological order, the story of subject, illustrated with examples, in a way that a non-collector can appreciate and understand what it is all about. Too many collectors, unfortunately, overlook the fact that while they may know the story behind a note, others do not: and unless they record them interesting little anecdotes may be lost in future years. 

Because it is so important, most societies stage exhibitions of competitive displays, and award prizes. In the Philatelic world the award of a ‘gold’ medal at an international exhibition invariably adds financial value to the collection if the time comes when the owner wishes to sell. The new collector can get a lot of firsthand tips by going to such societies and studying the various exhibits and ways collectors – who more often than not are individuals – have treated the presentation of their subjects.

Remember too, that as a collection becomes ‘Comprehensive’ it takes on an added value, far greater than the sum total of the individual notes added together. This is because the stage is reached where money alone cannot create such a collection, which has been worked on like a jig-saw puzzle to build up a complete picture. Once achieved it is naturally much more desirable than just a hotch-potch of individual items and therefore commands a higher price.

Above all, the newcomers should trust to his own judgement in which items to collect. Collect what you like, not what others tell you you should like. If you like it chances are that others will like it too. If you do not like it there is a probability that others will not like it either. As an avid collector I will feel rewarded if just a few of the readers of this dissertation become collectors and enter this fascinating hobby which has given me so much pleasure over the years.

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Advice on Framing

A nicely done frame offers a wonderful means of displaying a portion of your collection. Many collectors often show a few of their prized pieces on their den or office wall. Framed historical items also make a fantastic and unusual gift for someone with even a casual interest in history. Whether it be an autograph or hand-coloured map, a great headlined newspaper or a stock certificate issued by a railroad that passed by a childhood home, a framed item stands apart as a highly cherished gift for many years to come.

While we offer only a limited number of framed items, please keep in mind that any item may be framed. We would be happy to assist you in having your item framed if you like. If you choose to have a local framer put something together, these quick tips should help ensure that your prized piece does not suffer the consequences of a poorly thought out framing job and placement.

For more valuable items it is recommended that you frame to museum quality standards. Use acid free matting and mounting materials. Do not use glues to mount your items to another board and do not do anything to the item that is not reversible. Use hinged Japanese tissue paper for the best mounting results. UF3 Plexiglas should be used to filter out damaging ultraviolet rays which will cause ink fading and other damage to your item.

Be careful not to place a framed item where it will receive high levels of direct sun or other light, nor in areas where it is likely to be subject to high levels of heat such as over a fireplace or radiator.