Some people say that investing in watches is only a waste of money, but they don’t know about The Law of Supply and Demand. It says that when an item is limited or rare, and many people want it, the price of the item will rise.
Let’s have Rolex to illustrate this phenomenon. It is not a secret that Rolex controls its supply which makes the product hard to find. Rarity of Rolex timepieces plays a big role in the selling, despite the fact that Rolex watches have high quality. It makes people crave for a Rolex even though it costs an arm and leg. Once it is sold on the official shop, the wristwatch would price much higher on the secondary market, especially when the wristwatch is as old as the hills and, of course, come with original parts.
Watches are collector items, yet they are great for investment. Watch investment is not restricted to luxury brands, because the best watches to invest in are the ones that you love. Meaning you can go from a high end watch to a value-for-money type of watch. Well, if you want to start investing in watches, do it now. I’ll tell you why.
Investing in watches: Why you should do it
If you are still in doubt about investing in watches, don’t be. Watch investment is more than just making big bucks ⎯ which it does⎯ it carries history, elevates your look and captures moments. You won’t regret it.
A profitable hobby
The truth is watch investment is different from other investments, but somehow this activity is profitable. Perhaps, some watch collectors do not agree about the idea of watch investment and making money from watches. On the other side, there is also a group of watch collectors that allocate their money towards worthy assets (red. watches), and that’s okay. It does not make one of them less of a watch enthusiast. They do love watches, but they have different objectives.
If you are the second type of watch collector, you probably have known for a long time that watch collecting is a profitable hobby. You buy it for $1 and you can sell it when you need money for $4 after only 1-2 years of wearing it around. This is because the demand of the market for timepieces goes beyond expectations than the production rate which relates to the process of the production.
For instance, a single Patek Philippe takes up to nine months to craft its basic component while an exclusive one with the finest materials needs approximately eight years from the start to the final execution. Because of this, most Patek Philippe watches are extremely rare and expensive. If you have one of the rare series, meaning you already have built a nice nest egg for yourself.
To mark the milestone
Every milestone in your life should be celebrated with an edge. And, you will retell those stories through the watches you own. My college friend celebrates his graduation with a prestigious Ball Engineer timepiece while my parents mark their silver marriage through a matching set of luxury watches. It does not just tell you the time, but also to remind you of significant moments. Moreover, having your best watch is a milestone in itself.
To invest your style
Kobe Bryant, a basketball player, once said, “Everyone looks at your watch and it represents who you are, your values and your personal style.” It’s totally true. A watch defines who truly you are. And, an ideal timepiece can highly affect your style and personality. For instance, a sports watch explains your active lifestyle, an aviation watch shows that you are a traveler, a dive watch tells you that you’re interested in water activities, and so on. Everyone’s sense of art can be traced through a watch they are toting in their wrist.
To leave historical legacies
A watch is more than just a watch. It contains history, memories, philosophy, and stories behind its craftsmanship. For centuries, timepieces made their evolution from pocket watches to wristwatches, from mechanical to quartz watches. And once they’re gone, your watches do speak the histories.
How to invest in watches: Everything you need to know
When I first joined this circle, I made some rookie mistakes. I thought I had to buy the expensive one to make a good investment. It was not wrong, though. Certain timepieces with high prices are not easy to make because they offer you real quality, so it is worth buying. But, it is a mistake when you buy watches you do not like. Here is what I would like to suggest to you, a beginner in watch investment.
#1 How to invest in watches: Purchase what you love
There’s always risk in every investment, watch investment not exempt. Whether your watch is not hyping anymore or no one wants to buy your watch. Those risks won’t feel like a loss if you purchase the one that you like. You won’t be bothered by thoughts of how much money this watch can make in the next 10 years. Instead, you want to keep them and pass on to the next generation. It is more than investment, it is family heritage.
#2 How to invest in watches: Take a look at the risks
Investing in watches and in government bonds is a different case. That’s.because a watch doesn’t guarantee you a return. Nobody knows what the future will look like—the trend may be down, the trend may be up.
This 2021’s watch trend is often introduced in basic and minimalist looks with a large dial. However, it doesn’t promise you that the trend will continue in the next decade. Therefore, don’t waste your money on a watch you can’t afford to lose.
Which brands are the best watches to invest in?
I can’t tell you which ones are the best watches to invest in. Will the queen of today be the queen of tomorrow? Maybe yes, maybe no. But for me, it never hurts to have a Rolex or Patek Philippe for investment, especially if you’ve got deep pockets. Suppose you seek more affordable timepieces with similar quality, a collection from Seiko such as Grand Seiko would be the best choice. Once again, it all depends on you. If you have another preference brand, then go for it.
To help you choose the best watches to invest in, you may want to take a look at the watch history and watch materials. The more historical it is, the bigger value it carries. The better the materials, the longer it will last.