PCGS Grading Standards

A New Era for the PCGS Rare Coin Market Report

By Joshua McMorrow-Hernandez

If you’ve arrived at this page in the current issue of the Rare Coin Market Report, you’ve certainly noticed a diff erence in the thickness and weight of the magazine. What’s going on? It’s a simple matter of the dynamic marketplace today. Market pricing is moving so quickly nowadays that, by the time printed prices get to you, many are at risk of being obsolete. As countless collectors and dealers involved in the marketplace today know, this rapid activity means it is no longer practical to provide printed pricing and ensure that it is up to date when it gets to you.

Our price guide team has been realizing for some time that the market, being as it may, could eventually arrive at a point where it would be moving more quickly than a bimonthly printed price guide could accurately refl ect. And, as many know, this isn’t the fi rst time this has happened. Th ose who remember the volatile markets of 1978-1981 and 1987-1990 can easily recall this eff ect – prevailing prices on the ground were often 10%, 20%, and even higher than printed price guides of those times were reporting. However, there is a big diff erence between the world of the 1970s and 1980s versus today. Now, we have the internet, an incredible resource that in those days simply did not exist in the form that it does now.

In recent weeks, we who bring you the Rare Coin Market Report met on the matter and have come to the conclusion that the best way to ensure our readers and all the numismatic public has the most accurate pricing information for PCGS-graded coins is to eliminate pricing from the magazine altogether and continue publishing all prices online, a platform that ensures accurate up-to-the-moment pricing data.

We understand there may be a few people who have preferred receiving pricing information printed on paper. However, the reality is that we were coming to a point in the market where some pricing information could eff ectively be out of date by the time it reached your hands. At PCGS, our mission is to provide the most accurate and up-to-date information in numismatics, and we have determined that we can best deliver that to you by exclusively serving you pricing information online.

Th is was not a decision made in the vacuum of a boardroom. Our team attends coin shows of all sizes and manners – even those where we are not exhibiting, grading, or publicly interfacing with the crowds. In recent years our team has noted a seismic shift in the way collectors and dealers obtain their pricing information. While some people still use paper price guides, an ever-increasing majority of those we observe are relying on apps and other digital media for pricing. Th is is a trend surely to continue.

So how do you obtain PCGS Price Guide information? It’s simple! You can click on www.pcgs.com/prices or download the free PCGS CoinFacts app on your smartphone via www.pcgs.com/apps. Th ese innovative and comprehensive resources give you the power of the PCGS Price Guide right at your fi ngertips, wherever and whenever you need the latest and most accurate pricing for PCGS-graded coins. While the PCGS Price Guide is now accessible in its fullest capacity online, the Rare Coin Market Report will continue serving up the latest in marketplace trends and all the other information you need to be an informed, knowledgeable, and connected collector or dealer.

Joshua McMorrow-Hernandez has won multiple awards from the NLG and ANA for his work as a numismatic journalist and editor. He has been a coin collector since 1992 and enjoys all areas of United States coinage and U.S. minting history.

GRADING STANDARDS

A Guide to PCGS Grades & Designations

Th ere are 30 grades used by PCGS to grade coins, 1 being the lowest grade and 70 being the highest grade.

For a description of all the grades and designations used in the RCMR, refer to the PCGS Grading Standards listed in this issue. Space does not permit us to show a comprehensive photographic grading guide here, but those interested in a detailed look at virtually all U.S. coins in all grades are referred to PCGS’s Photograde section, found at www.PCGS.com/photograde.

P C G S C O I N G R A D I N G S T A N D A R D S

Regular Strikes

For regular strikes, the primary attribute for circulated grades, i.e. Poor (PO01) to About Uncirculated (AU58), is the amount of wear or the amount of the original design detail that is still evident. Other attributes contributing to the grade for circulated regular strikes are surface preservation and eye appeal, either of which can be positive, negative, or neutral and which aff ect the grade accordingly. For regular strikes in Uncirculated condition (MS60 to MS70), there are four primary attributes that determine grade: marks, strike, luster, and eye appeal. A PCGS MS70 is a modern coin in "as struck by Mint" condition. Minor mintmade imperfections may be present. No damage or imperfections caused after minting. Not known in vintage coins. A PCGS MS69 will show only one or two miniscule imperfections. Must be fully struck and have full original luster and eye appeal. A PCGS MS68 will have some extremely minor imperfections. Must be sharply struck, have full original luster, and good eye appeal. A PCGS MS67 will have some minor imperfections (marks, abrasions, etc). Must be well struck and have good luster and eye appeal. A PCGS MS66 will have a few marks and/or abrasions. Th e strike, luster, and eye appeal must be good. A PCGS MS65 will have some marks and/or abrasions, but they will be minor. Th e strike must be above average, and

C o m p o n e n t s Components o f of M i ntMint S t a t e State G r a d i ngGrading

Strike

Th e completeness/incompleteness of a coin’s intended detail when originally struck.

Luster

Th e strength and pattern of light refl ected off a coin.

Surface Preservation

Th e condition of the surface of a coin, notably marks and/or scratches.

Eye Appeal

Th e element that “grabs” the viewer. Th e overall look of a coin. Often manifested as “toning.”

luster and eye appeal must be good. A PCGS MS64 will have some marks and/or abrasions, and they may be signifi cant. Th e strike and eye appeal should be average or above and must not be negative. Luster may be somewhat subdued. A PCGS MS63 will have marks and abrasions that are moderate in number and/or size. Strike may not be full and eye appeal can be slightly negative. Luster may be somewhat dull. A PCGS MS62 will have no wear on high points. Th ere may be considerable marks and abrasions and some may be severe. Strike may not be full and eye appeal may be negative. Luster may be dull. A PCGS MS61 will have no wear on the high points. Th ere may be multiple heavy marks and abrasions. Strike may not be full, luster may be dull, and/or eye appeal may be negative. A PCGS MS60 will have no wear on the high points. Th ere may be many heavy marks and abrasions. Strike may not be full, luster may be very dull, and/or eye appeal may be quite negative. A PCGS AU58 will show full detail with minor friction on only the highest points. A PCGS AU55 will show full detail with friction on less than 1/2 of the surface, mainly on the high points. A PCGS AU53 will show full detail with friction on 1/2 or more of the surface. Th ere may be a very slight fl atness on high points. A PCGS AU50 will show full detail with friction over most of the surface and slight fl atness on high points. XF45 Detail is complete with most high points slightly fl at. XF40 Detail is complete with some high points fl at. VF35 Detail is 80 to 85% complete. VF30 Detail is 70 to 80% complete.

V F25 Detail is 60 to 70% complete. V F20 Detail is 50 to 60% complete. F15 Detail is full in recessed areas. All lettering is sharp. F12 Detail is evident in deeply recessed areas. Lettering is mostly sharp. VG10 Design is worn with some detail evident. VG08 Design is worn with only slight detail evident. G06 Detail is fl at, but rims are complete. Peripheral lettering is full. G04 Detail is fl at. Rims slightly worn. Peripheral lettering nearly full. AG03 Rims are worn but most lettering is readable though worn. FR02 Mostly worn, but some design details are visible. PO01 Barely identifi able as to date and type.

Proofs

For proof strikings, the primary attributes of grade are hairlines and/ or marks (or lack of ), refl ectivity (for brilliant proofs), and eye appeal. Note that nearly all proofs are fully struck, thus strike is usually not a factor. Strike only comes into play when a proof shows a partial strike, resulting in a downward adjustment of grade. Note that for toned brilliant proofs, the refl ectivity is as perceived under toning. A PCGS PR70 shows no imperfections under fi ve-power magnifi cation. Brilliant proofs must be 100% fully refl ective. A PCGS PR69 will show only one or two miniscule imperfections. Brilliant proofs must be 100% fully refl ective. A PCGS PR68 will have some extremely minor imperfections. Eye appeal must be outstanding. Brilliant proofs will be fully refl ective. A PCGS PR67 will have some minor imperfections (hairlines or perhaps an extremely minor mark or two). Eye appeal must be very good. Brilliant proofs must be fully refl ective or virtually so. A PCGS PR66 will have a few hairlines and/or very minor marks. Eye appeal must be very good. Brilliant proofs must be fully refl ective or nearly so. A PCGS PR65 will have minor hairlines and or minor marks. Eye appeal must be positive. Brilliant proofs must show good refl ectivity. A PCGS PR64 will have noticeable hairlines and/or small marks. Eye appeal must not be negative. Brilliant proofs may have subdued refl ectivity. A PCGS PR63 will have obvious hairlines and/or marks. Eye appeal may be somewhat negative. Brilliant proofs may be dull. A PCGS PR62 will have numerous hairlines and/or marks. Eye appeal may be quite negative. Brilliant proofs may be dull. A PCGS PR61 will have lots of hairlines and/or marks. Eye appeal is negative. Brilliant proofs may not be refl ective. A PCGS PR60 will have no wear on the high points, but will be very hairlined and/or marked. Eye appeal is negative.

Brilliant proofs may not be refl ective. Proofs below PR60 For proof strikings grading below PR60, the grading is based on the amount of wear and the standards are the same as for regular strikes.

In addition to grade, certain coins have characteristics that collectors recognize as important and PCGS designates these characteristics using the standards that follow.

P C G S C O I N D E S I G N A T I O N S

Color for Copper Coins (MS60 or better)

Brown (BN) PCGS designates Brown for copper coins that have less than 5% of their original mint-red color. Red Brown (RB) PCGS designates Red and Brown for copper coins that grade MS60 or better and show between 5% and 95% of their original mint-red color. Red (RD) PCGS designates Red for copper coins that grade MS60 or better and show 95% or more of their original mint-red color.

Full Steps for Jeff erson Nickels

Full Steps (FS) PCGS designates Full Steps for Jeff erson Nickels that grade MS60 or better and show a full fi ve or six steps in the portrait of Monticello (Th omas Jeff erson’s home) on the reverse. To qualify for this designation, a coin must also have nomajor disturbances, including cuts and marks, to the separation of the steps. Full Bands for Mercur y Dimes

Full Bands (FB) PCGS designates Full Bands for Mercury Dimes that grade MS60 or better and show full separation of the central crossbands on the crossbands on the reverse. To qualify for this designation, a coin must also have no major disturbances, including cuts and marks, of the separation of the crossbands. Full Bands for Roosevelt Dimes

Full Bands (FB) PCGS designates Full Bands for Roosevelt Dimes that grade MS60 or better and show full separation of the upper and lower horizontal bands of the torch on the reverse. To qualify for this designation, a coin must also show no signifi cant cuts or marks across the horizontal bands. Full Head for Standing Liberty Quarters

Full Head (FH) PCGS designates Full Head for Standing Liberty Quarters that grade AU50 or better and show full detail of Miss Liberty’s hair (on Type Ones) or helmet (on Type Twos); Type Ones (1916-1917) must show a distinct separation between the hair cords and the cap. Type Twos (1917-1930) must show three complete and distinct leaves to the helmet, a complete outline to the bottom of the helmet, and a distinct ear hole. Note that on the ultra-rare 1918/7-S, PCGS will designate Full Head on coins that grade XF40 or better and that meet the Full Head criteria. Full Bell Lines for Franklin Half Dollars

Full Bell Lines (FBL) PCGS designates Full Bell Lines for Franklin Half Dollars that grade MS60 or better and show full separation of the lines on the bottom of the Liberty Bell on the reverse. To qualify for this designation, a coin must also show no major disturbances, including cuts and marks, of the separation of the bell lines. Prooflike Surfaces

Prooflike (PL) PCGS designates Proofl ike for coins that grade MS60 or better and show clear refl ectivity, i.e. mirrored surfaces at a distance of two to four inches. If the cartwheel eff ect or striations cause an area to lose clarity, the designation will not apply.