The Knight Frank Luxury Investment Index (KFLII), which tracks the performance of a theoretical basket of selected collectable asset classes using existing third-party indexes, reported that the value of the world’s most collectible vehicles increased 17% on-year.
Indeed, had you purchased a rare, sage-coloured Aston martin DB4 Zagato for £500,000 back in 1996 (only 19 such cars were made), you might be able to sell it for US$14.3 million today, which is what one of these cars fetched at a Sotheby’s New York auction earlier this year.
Enrique Liberman, a partner at Bowles Liberman & Newman, is a transactional attorney who specialises in luxury asset investment funds. “Ten years ago, classic cars were looked at as collectibles, but now people are recognising them as an asset class,” he said in a recent CNBC article.
The value of wine increased by 5% over the year 2015, according to the KFLII published in 2016. “After a bumpy period when the Chinese bubble for fine French wines burst spectacularly, the market for top-quality wine has now found its feet again and is performing strongly and going head to head with classic cars in terms of performance,” reported Andrew Shirley, editor of The Wealth Report and head of rural research at Knight Frank.
Luxury Daily also indicated that many digital tools are emerging to help wine investors maintain their collections and make smart purchasing decisions. The Vincast by Auction Forecast platform, for example, tracks data points such as auction prices, collectability scores, market indices and return-on-investment forecasts.
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