I have been thinking about how profitable it is to invest in Singapore stamps.
Here are a few reasons why I think collecting Singapore stamps might be a worthwhile investment. (Do note however that this posting does not constitute any recommendation to the reader to buy Singapore stamps for the sake of investment purposes.)
Reason #1 - Singapore's Small Population
Singapore has a really small population of around 5 million. The small population means that there is an equally small amount of stamp collectors around. In fact, speak to any Singaporean below the age of 30 and you will find that most of them do not collect stamps at all.
Because of this, you can expect that the number of mint stamps that are being collected are actually very little compared to other countries which have a larger population.
Reason #2 - Singapore's GDP growth
When a country grows, its people become more affluent and are able to afford high prices for worthy collections. While there is no trend that affluent Singaporeans are turning to stamp collecting as a hobby, there is still a likelihood that this could be the case in the future.
When a country's population is rich, they will be more willing to pay a good price for rare items like error stamps and the like.
Reason #3 - The number of Stamps Being issued
Due to the lack of demand, the number of stamps that are being issued are very little. Singapore Post however issues stamps quite frequently and this results in poor collectors (like me) being unable to afford purchasing every single stamp that is being issued. With the high frequency of stamps being issued and the low number of stamps that are printed, you can safely expect that there will be less and less stamps that are being collected by the general public.
Invest in Singapore Stamps
Singapore stamps are perhaps a good investment. With a small stamp collecting population, rising GDP and the small number of stamps being issued, mint stamps from Singapore will probably be very hard to find 50 or 60 years down the road.