Ahh…luxury goods, the glitz, the glamor, the prestige… and high-price points. While you may hesitate to purchase them because you assume they will probably gather dust in the corner of your wardrobe, you might be surprised at how they could bring in even more monetary value in the future.
The key here is to know which luxury products are worth the investment and will appreciate in value as time passes. Some products and brands you could consider are…..
HANDBAGS
Handbags possess dominance when it comes to luxury investments. Why? Because they are pretty? Well there is definitely that element to it but so much more. The intricacy taken to create one single piece is absolutely remarkable, and it is this intricacy that makes these bags so durable, rest assured your designer handbag will remain standing even if the human race goes extinct.
If you want an investment handbag, it is better to surrender to the major players within the market. Brands with heritage and story like: Hermes, Chanel or Prada. A classic handbag from them will last you decades and could potentially even rise in value over time, which means you could sell a bag you bought 20 years ago for almost twice the price. If you really want to hit a home run, purchase limited edition pieces, you might just start a bidding war at Sothebys a few years from now.
Take the Hermes Himalayan Birkin bag with gold and diamond detailing, it sold for $372,600 and other bags from the brand have also faced a tremendous increase in value.
WATCHES
All great CEOs understand that time is of essence. What better way to make sure they are not wasting any than by investing in watches they know will never let them down, even by a millisecond. Watches can retail for up to millions of dollars, which is why you tend to see people store them in special display cases, name plaque and all. Because they know that in a few years time they could potentially sell them for 10x its original price.
Watches are also greatly favored among celebrities, and as we all know, anything a celebrity is seen wearing could enhance its credibility by ten fold. You should probably pay attention to the types of watches the Kardashians like to wear, and imagine as though you are starring on reality tv while you are at it…simply for fun and a “totally” optional suggestion.
Jokes aside, some watch brands you might want to keep an eye out for are: Rolex, Patek Phillipe and Piguet.
SNEAKERS
We are certain you have heard the terminology “sneakerhead”. When it comes to sneakers, the obsession gets real, they are viewed as collectible items that people actually create separate rooms for, yes, entire rooms dedicated for their sneakers. At one point, sneakers increased in value more than gold did, well have you left for the mall yet? Because there might be a long queue for a new drop that you do not want to miss out on.
Sneakers are so much more than footwear. They communicate culture, values and being a part of a community. It is the beauty of making eye contact and a subtle “you get it bro” head nod when you see someone across the street wearing the same Air Jordans as you are.
JEWELLERY
Like watches, jewellery is another investment piece you want to keep your eyes out for. Fine jewellery never loses its value even as the value of cash fluctuates, so obviously it's worth looking into right? Its value also rises as time progresses, especially jewellery pieces with gold and diamonds involved.
When purchasing jewellery, pieces ornamented in diamonds and thicker gold may seem daunting at first and unnecessary, “who will even be brave enough to wear this out?” may be a recurring thought. But again, in the long run this will work wonders for you. Look out for pieces with rare gemstone and intricate design, find exclusive/limited edition pieces which will turn heads of socialites who strut down SoHo street. So much so, they might start a bidding war among themselves for it.
VINTAGE WINE
Wine oh wine, an investment you might want to use as an excuse to travel to the vineyards in Italy (for work purposes…surely). With wine the prices of investment vary and that's what makes it so great, there is definitely something for everyone, even for those of you who can only tolerate the taste of dessert wine.
When investing in wine, it is important that you do your research. Essentially, what you are looking for is a bottle with a unique history. The greater its history, the higher its price of auction. Wines from Napa Valley, Italy and Bordeaux, France is where you can expect to get investment-grade bottles.
Wine is definitely a worthy investment, but it is one that requires patience, you can anticipate a return only 20-30 years from now! But without a doubt, once you see that money in the bank, you will be glad you waited. As the Italians like to say “Amici e vini sono meglio vecchi”, which translates to “Old wine and friends improve with age”
We hope that this article has inspired you to rethink your $5 morning coffee and save instead, so you can make better long-term decisions!
REFERENCES
Loupe, T., 2022. IS BUYING JEWELRY A GOOD INVESTMENT?. [online] The Facet. Available at: <https://www.truefacet.com/guide/is-buying-jewelry-a-good-investment/#:~:text=Jewelry%20is%20always%20a%20good,you%20have%20to%20resell%20it.> [Accessed 15 September 2022].
Spirits, 2022. Wine & Spirits Investment - Asset Guide | Vincent. [online] Vincent. Available at: <https://www.withvincent.com/guides/wine-spirits> [Accessed 15 September 2022].
Italy, S., 2022. Top Italian Proverbs About Wine - It's All About Italy. [online] It's All About Italy. Available at: <https://selectitaly.com/blog/all-you-can-italy/italian-proverbs/> [Accessed 15 September 2022].
Vincent, 2022. 5 Luxury Goods To Invest In, Watches, Wine & More | Vincent. [online] Vincent. Available at: <https://www.withvincent.com/articles/best-luxury-goods-investments> [Accessed 15 September 2022].
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