The Watch Fund
From time to time I like to laugh at the seemingly ridiculous. Sometimes, however, investments which seem to be mere play investments turn out exorbitant returns. One such possible idea could be The Watch Fund.
Now, we have had some timeless debates on Wall Street watches but never had I actually heard of watches as an investment vehicle. The story is as old as time (pun intended). Your dad leaves you the watch his dad left his dad and over time the old ticker becomes a valued asset. Never, however, had I heard of an organized plan to hedge the time piece position.
What do you guys think? Is this a legitimate investment vehicle? Do luxury watch prices fluctuate enough for a market to even exist? Nevertheless, it's always fun to see the hedge fund elite find new ways to play with their dough. It gives all of us a chance to day dream with a little more creativity and fervor while going about our daily drone.
So let's have it fellas...is this game plan going to generate some actual alpha? Which other pieces of wrist candy would you add to the master list?
sounds like a fund targeted at the college sophomores who frequent this site. I think that art or timber reserves are better non-traditional "investments"
My guess is that it is plausible. Jewelry is totally overpriced and gets massive retail markups, but if they can score pieces with historical value, and stuff that the art world likes, there is no limit to how much money will be generated. Maybe not the Faberge eggs category, but more significant than the standard Tiffany's output.
How is this news, Midas? I figured my decision to set up a fund that invests in used hang glider equipment would be a lot more newsworthy.
In all seriousness, it's not a surprise that there are some funds for collectibles. In the 1990s, I think a mutual fund was investing in pre-1964 gold and silver US Coins.
I guess rich people are tired/turned off of betting on whether or not poor people will be able to stay in their homes. Now they're just finding arbitrary shit to gamble on...
Anyone remember Bowie bonds? Coupon rate based on the future cash flows of his songs?
I have small hands so I don't wear watches because it makes them look even smaller. Sucks 'cause I think Rolexes are kind of cool.
I think this is really interesting. I mean everyone's heard of funds that invest in 'exotic' products, such as wine but it's always good to see this type of thing.
if they use their money i'd agree with you walkio, but i fear it isnt. They're giving it a go because its something to do. Thing is their cashflows are very chunky, 10 sales is a huge deal for them. personally i'd like to see more money going into the markets at the moment, not coming out of them
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