The Wealth Report

[CamBiscuit]

Hi Guys - I thought this worth sharing. Some of you know I work for Knight Frank and the parent company in the UK prepare something called the Wealth Report each year. There's some interesting reading about global wealth trends.

Wine overtakes classic cars to top Knight Frank Luxury Investment Index http://bit.ly/2lYqR2j #KFWealthReport

The download for the full report is here - http://content.knightfrank.com/resea...-2017-4482.pdf

[Cairns888]

How does all of this work Cam? Obviously there are many bottles of wine exactly the same and that's easy to work out the price hike but there are no 2 cars the same.
How do they compare the car market?
Does it just go off the year and model only?
What happened if only concourse quality cars sold in one year of that model and year and the next year all average condition cars sold.

[CamBiscuit]

The short answer is its done by a team of researchers in the UK mate. To the best of my knowledge its based on their interpretation of market indexes rather than individual sales

[epilot]

maybe like the HAGI Index where they track a specific 'package' of cars ?

[Cairns888]

Their "Interpretation" hey. Now this is getting juicy.
That's why I stay away from shares and everything. I don't even like them playing my Super.

I suppose if you asked any of us we would say that the p-car market is off the boil and back onto a simmer.

So they are right for us anyway.

Too many smoke and mirrors for my liking. I think that is only because I don't understand it.

I am am off to Dan Murphy's to buy some wine. Cam said so ha ha

[Paul W]

Cam, having spent many years at CBRE and JLL, I think we both know how rigorous some of that research is.

[CamBiscuit]

You poor Bugger Paul !! I feel for you.

I'm not sure if you mean the research is good or not..?! Given the high end stuff that KF deal with in the UK and Europe and the Ultra High Net Worth individuals they deal with I suspect its pretty watertight. The release of the report was launched at Claridges no less ;-)

I just like looking through some of the publications we get sent for their high end property sales with castles, country estates and London apartments with multi, multi million pound price tags - Oh how the other half live!

[klasikcis]

Thanks for posting Cam. An interesting read. I spoke to the guy at The Healey Factory in Ringwood a couple of times last year and he was disappointed that most of the Porsche buyers he had been dealing with were buying purely as an investment and were not interested in driving their cars. In reflectionI can see that the market overheated and some ordinary cars were traded in the stampede to get a piece of the action.

[Merv]

I wonder how many Porsches are part of self-managed super funds? That way you definitely can't drive them. The wine market is boosted by Chinese buyers. I was amazed last year in Beijing and Shanghai. It was all about the prestige and not the drinking of course. Literally walls of wine as a decoration. Which for many people of Chinese origin may be a good thing as they can have a genetic variant that impairs production of an enzyme that helps metabolize alcohol in the liver, causing facial flushing and potential liver damage, even with limited intake.

[mrar]

No smsf pcars in my shed, All are driven and enjoyed.(except 2 unfinished project cars).

[Paul W]

You poor Bugger Paul !! I feel for you.

I'm not sure if you mean the research is good or not..?! Given the high end stuff that KF deal with in the UK and Europe and the Ultra High Net Worth individuals they deal with I suspect its pretty watertight. The release of the report was launched at Claridges no less ;-)

I just like looking through some of the publications we get sent for their high end property sales with castles, country estates and London apartments with multi, multi million pound price tags - Oh how the other half live!

Yup - better than 15 years, could have been worse nearly bought into a Val's practice...

Let's just say I wouldn't be making any buying decisions based on research originating out of an agency.

Remember one memorable incident at a firm I worked for which was producing some research with some very 'interesting' conclusions; an internal inquiry found that a key staff member had lied about their experience and even academic qualification at the time of their recruitment resulting in some creative methodology in data collection. Only took them a year to figure it out.

[ELSPORTO]

No smsf pcars in my shed, All are driven and enjoyed.(except 2 unfinished project cars).

No bottles of wine in my shed, all have been drunk and enjoyed ...

[timp]

There is an ability to utilise the smsf in acquiring and building a classic car asset base. You can take them to classic car events to show them. I will not go into detail, but investment in classic cars is a legitimate asset class.

[timp]

I'm not going to go into detail, but the HAGI index justifies investment.