BANK NOTES
indulgence ber of pieces sold for record values, suggesting that an appetite for the finer things in life shows no signs of slowing,” he says. The luxury goods segment has consistently outperformed broad markets even during the downturn. The S&P Global Luxury Goods Index, which tracks a portfolio of 80 of the largest publicly-traded companies engaged in the production and distribution of luxury goods, is up 12.5% over a year (data as of February 18, 2013) as against a rise of 5.13% for the S&P Global Broad Markets (BMI) Index for the same Multi-year run The luxury goods segment is on a multi-year run and period. The latter is a comprehensive index comprised of S&P Developed BMI is worth dabbling in, according and S&P Emerging BMI. to David Russell, CEO, Guard“Pictet Premium Brands ian Wealth Management Qahas proved one of the besttar. “Whether it’s art, watches, performing funds over the classic cars or diamonds, cerpast three years, reporting a tain investments will never The S&P Global Luxury Goods whopping 82% rise. The Julius lose their allure. Luxury goods Index, which tracks a portfolio Baer Luxury Brands Fund rose continue to be a sparkling nearly 12% between Noveminvestment in times of turof 80 of the largest publicly ber 2011 and November 2012. bulence. For the first half of traded companies engaged in Now seems to be the oppor2012, auction house Christie’s tune moment for investors to worldwide sales rose 13% comthe production and get into the luxury goods acpared with the same period for distribution of luxury goods is tion,” says Russell. the previous year. It reported up 12.5% over a year Explaining the drivers for bids from 124 countries, with the unabated interest in luxury a 31% jump in the number of goods, Richard Rogers of DoAsian clients looking to buy in minion Funds Management, New York and London. Aucwho was in Doha recently to tioneer Sotheby’s said a numin luxury can leave you richer. Recession or not, the super-wealthy in the ever-growing emerging markets seem to have all the cash to snap up “the good things in life”. The list of goodies that the burgeoning billionaires and the wannabes are willing to spend on is on the rise. Powered by the strong appetite of ASEAN (the Association of Southeast Asian Nations) and the BRIC (Brazil, Russia, India and China) countries, the stocks of luxury goods makers are on a multi-year run.
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“For the first half of 2012, auction house Christie’s worldwide sales rose 13% compared to the same period for the previous year. It reported bids from 124 countries, with a 31% jump in the number of Asian clients looking to buy in New York and London.” David Russell, CEO, Guardian Wealth Management, Qatar
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