Luxury Collection Investment Is A Hot Spot, Whether Hedge Or Not Is Critical.
Xiaohui, a luxury goods lover in Guangzhou, likes to collect luxury goods. Recently, she went to Cartire store in Paris, France to buy the latest edition of limited edition jewelry. According to her introduction, the brand jewelry will increase every year, and the limited edition will be more potential for appreciation in the market because of its scarcity. It is reported that investors such as Xiaohui invest in luxury goods are increasing in China. Reporters learned yesterday that many banks and investment institutions in China often invite professionals to set up luxury investment seminars for their VIP customers to help domestic investors appreciate and invest. At the auction site, some luxury goods are emerging in the art investment market, not only the overall price of the auction has been rising steadily, but also increasing the enthusiasm of people to invest and collect as the scale of the auction increases and the total volume of the business is enlarged.
Investing in luxury goods
At the end of May this year, Paris auctioneers Artcurial auctioned the Hermes classic Birkin bag, creating an astonishing record of the highest price: a crocodile skin Birkin bag produced in 2006, rare red, orange and pink, and finally traded at Euro 63800. In December 2011, the auctioneer of the United States auctioned off a red crocodile skin Birkin bag at the highest price of 203150 dollars in December 2011. In April this year, a palladium gold Hermes Birkin bag was also sold for $86500. In May 29th last year, Hongkong's Christie's "magnificent jewelry and jade jewelry" spring auction, a thick pink round diamond The Martian Pink, finally shot HK $135 million, which was purchased from Harry Winston in 1976.
In recent years, there are many famous auction houses at home and abroad. Luxury brand The number of watches, jewelry, leather goods, and red wine has taken considerable figures, stimulating domestic investors' new upsurge in Luxury Collection and investment.
At the same time, luxury brands are attracting more and more new entries every year. Hermes group recently announced in its semi annual report that it plans to raise its prices next year. In February of this year, Louis Weedon, LV, once announced the price adjustment in the mainland and Macao. Recently, LV announced again that it would adjust its price globally. In addition, Dior leather goods, GUCCI, Cartier, Celine and other brands have also been pricing in this year. Cartire officials said the company's jewellery would raise its price two times a year.
The rising retail prices and the amazing auction price from time to time in the auction market have prompted consumers to continuously improve their motives of collecting, preserving and increasing luxury goods. A few days ago, Zhou Ting, President of the Institute of wealth and quality research, said in an interview with reporters that according to the latest survey of the luxury consumption behavior of the Institute, the most popular luxury item among consumers in 2013 was the wrist watch. 32% of consumers thought the wrist watch was the most protected value; second were jewellery, accounting for 24%; art accounted for 11%, leather goods 9%, and red wine 3%. "Our survey shows that in the luxury investment crowd, the Billionaires will think that luxury houses, watches and jewellery are the most valuable and value-added space; 50 million -1 billion consumers think watches, jewellery and luxury cars; 10 million -5000 consumers, they think jewelry, watches and luxury houses are the most protected and value-added space; 10 million below, they think that the value of the watches is watches, leather goods and jewelry."
It is reported that in March this year, the British real estate consultancy company Lai Fang also released a report showing that in the past 10 years, the luxury investment index of 9 major collection markets has increased by 175%, of which the classic car is 395%. The report also shows that works of art are still the most widely collected objects of the world's rich, and the surveyed world millionaires plan to increase their collections of art collections by 13% this year. Second the most popular collection is watches, mainly Asian collectors. Followed by wine, jewelry and cars.
Which luxury goods are worth increasing?
Limited edition, celebrity collection, Gu Dongbiao
"Only a small amount of luxury goods can be preserved, but more than 95% of the luxury goods can not be preserved." Ge Hu is a professional who has been engaged in luxury industry for more than 10 years. She believes that only a small amount of luxury goods can achieve the value preservation function. "For example, the burking package of love Marx, some mechanical watches with complex functions in the watch category, and some diamonds in jewelry can only be preserved in limited time and space."
"There are very few luxuries that are really worth keeping. The value and value added of luxury goods are usually achieved in a certain investment section." Ge Jie, for example, for example, in previous years, diamonds have a good appreciation every year, with a 10% increase. But in the past two years, the trend of international diamonds has been downward. In 2011, the four dimensions of a carat South Africa naked drill, color, cleanliness, cutting and weight, all met the requirements. The price in the market was 180 thousand yuan, and now it has dropped to more than 160 thousand.
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Those who believe that, like some special luxury goods, such as limited edition, or have been collected by celebrities, or lack of adjustment in a major market trend, short range growth can occur.
Zhou Ting, President of the Institute of quality and wealth, also believes that luxury, antique and limited grade luxury goods are worth investment and value preservation. "For example, special materials, special styles, special commemorative significance."
"Compared with investment value, antique watches are often used. Such watches are limited in quantity and have ceased production, so they are scarce resources in the market." Ouyang Kun, the chief representative of the China Representative Office of the World Luxury Association, said that other new products, even limited money, are often the products of the marketing policies of the manufacturers and are not too valuable for investment.
Collection of names It has the highest awareness of luxury investment and collection. According to the introduction, among many brand names, Patek Philippe, Vacheron Constantin, Baoji, Cartire, Audemars Pigeut and Rolex are among the most sought after brands. Data show that in the past two years, famous brands of auction houses, Patek Philippe accounted for 50%, other top brands accounted for 30%, rare represented 10%, and other brands accounted for 10%. Huang Minghui, general manager of the jewelry department of China's garde watch, deputy director and senior expert Chen Kaijia of Hongkong's Sotheby's watch department, told the media that "sky high prices often appear in antique watches or special limited edition, which is irrelevant to the conventional modern watches." Chen Kaijia said, "only with certain cultural and historical accounts can we have the potential and space for appreciation."
Expert advice
Narrow channel of professional high liquidity
Luxury investment is risky.
Luxury goods have risen year by year, or even two a year. In the eyes of experts, it is only a marketing tool for businesses to maintain the high-end image and strengthen the classic "value preservation" and "value-added" role.
"90% of luxuries are consumables." Zhou Ting, President of the quality and wealth Research Institute, said luxury brands have been emphasizing that they increase their prices every year, in order to maintain their brand image, maintain brand bargaining space and maintain the highest profit. "Luxury covers a very wide range of clothing and apparel, large to yachts, including jewelry watches, but in general, for some expendable luxury goods, its preservation and value increase is a gimmick."
Ge thinks that the price rise of new products is different from that after buying. She pointed out that, for example, Rolex is raising its price every year. The price of Birkin packages and Chanel's packages is increasing every year, but this does not mean that they can rise in the market. Even if the market is going up, it can not be worth the price that it originally sold. Because its attribute is a consumer product. Most people have misunderstood one thing, which equates luxury investment with the purchase of luxury goods. This is totally different.
domestic luxury goods market Immature investment channels of luxury goods are not smooth. "If you have a name list in your hand, how many people do you want to find, and how to sell it? At present, domestic realisation is either pawn shop or auction, with few channels and no prosperity on the market, and your investment will be greatly reduced." According to industry insiders, the collection of luxury goods in China is still rising in a small environment. The value added of some commodities is coming from "beating drum and spreading flowers". For example, I bought a bottle of three thousand bottles of Lafayette wine this year, and I sold it for five thousand yuan next year, but this does not mean that it has a truly mature market.
At the same time, Ge also pointed out that many domestic investors do not have the experience of luxury maintenance, and that 95% luxury goods can not achieve their investment attributes. For example, it is necessary to maintain and maintain the name list when it is insured. "Wearing the name list is bound to cause damage, which will affect the accuracy of its travel time. 95% Chinese investors do not know that the name list should be sent back to the Swiss factory regularly for repair or maintenance. Due to the lack of maintenance and maintenance, the list should be traded in the market, and its value preservation rate will be greatly reduced. "
Zhou Ting suggested that for consumers who want to enter the field of luxury investment and collection, one must be rational, consult professional agencies and professional advisors; two, learn, understand, learn and familiarise the relevant knowledge in the investment industry. Three, we should pay attention to the economic situation and market trend.
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