Luxveria Summer 2009 : Page 76
Live Well and Prosper Alternative Investments For Your Financial Puzzle By Christina Macone-Greene Caught in an economic riptide, there’s never been a better time to introduce some enjoy- able alternative investments into your life than right now. Weaving unique ventures into your traditional portfolio can reveal the internal ex- pression of who you really are. A recipe of blending profit and fun is right at your fingertips. So why not try one of the fol- lowing investments on for size? And They’re Off! Known as the “Sport of Kings,” horse racing is an enter- prise many investors are being reined into. Watching your own thoroughbred gallop across the finish line and then gathering around the Winner’s Circle for a photograph is nothing short of exhilarating “It’s the biggest thrill in the world,” says Bob Sides of Sides Racing Stables in Fallbrook, California. “It’s just unbelievable.” Involved in the business for decades, Sides has some golden rule standards in finding the perfect horse. It begins with a face-to-face meeting with a reputable advisor who has a proven track record. 76 www.luxvería.com
Live Well And Prosper
Christina Macone Greene
Alternative Investments for Your Financial Puzzle
Caught in an economic riptide, there’s never been a better time to introduce some enjoyable alternative investments into your life than right now. Weaving unique ventures into your traditional portfolio can reveal the internal expression of who you really are.
A recipe of blending profit and fun is right at your fingertips. So why not try one of the following investments on for size?
And They’re Off!
Known as the “Sport of Kings,” horse racing is an enterprise many investors are being reined into. Watching your own thoroughbred gallop across the finish line and then gathering around the Winner’s Circle for a photograph is nothing short of exhilarating
“It’s the biggest thrill in the world,” says Bob Sides of Sides Racing Stables in Fallbrook, California. “It’s just unbelievable.”
Involved in the business for decades, Sides has some golden rule standards in finding the perfect horse. It begins with a face-to-face meeting with a reputable advisor who has a proven track record.
“My advice is to visit the racing office at the racetrack and ask to speak to the top trainer; trainers know many people who own great horses that are purchased overseas and brought here.
They also have access to top jockeys,” Sides explains.
The cost of a racehorse can span anywhere from several thousand dollars into the millions.
If taking on the full responsibility of owning a horse makes you somewhat uneasy, then what about joining a partnership? This opportunity offers the chance to invest in a horse with other multiple buyers. It also allows you the freedom to sprinkle your dollars onto more than one horse.
Mike Oliveto, managing partner of Hibiscus Stables based in New York and Southern California agrees. “Partnerships give the potential investor a more cost-effective way to get involved,” he explains. Hibiscus Stables offers thoroughbred partnerships which typically run from $10,000 to $15,000 for a 10% share.
Oliveto says that an investor who is unfamiliar or inexperienced in owning a racehorse can face challenges because of the complexity of the business. “A partnership can be beneficial because we are able to provide the experience and relationships with experts, such as trainers and jockeys.”
“Horse racing is a very exciting sport; you could be sitting on the next Kentucky Derby winner,” says Oliveto.
Remember, a racehorse isn’t impervious to sickness or injury. Like us, it may have an off day. It’s all part of the business.
Gold and Coin Treasures
Since the beginning of history one of the most sought after precious metals is gold. And today, is no exception.
“Gold is an extremely liquid and convenient mean of storing a large amount of wealth in times of economic uncertainty,” says Peter A. Grant, senior market analyst/broker of Centennial Precious Metals, Incorporated.
Having both bullion and gold coins, Centennial Precious Metals predominantly sells pre-1933 gold standard coins. Gold coins struck prior to 1933, Grant says, are viewed by the government as a collectible, not a monetary instrument.“A vast majority of our clients are adding gold to their portfolio to achieve some sort of diversification against the more traditional asset classes like stocks, bonds and real estate,” he said.
Other investors are accumulating ancient Greek, Roman and Byzantine coins for their collection.
Individuals investing in ancient coins range from professionals to hobbyists in both the United States and Europe. Now, the Far East is stepping into the market.
“Ancient coins have been a remarkably stable investment over the last quarter-century and tend to weather economic storms unscathed,” says Robert Freeman, owner and director of Freeman & Sear. Since 1995, quality ancient coins have increased nearly 10 percent per year.
Freeman & Sear is a full-service dealership in the field of ancient numismatics and antiquities with inventory spanning 700 BC to 1453 AD.
An ancient coin portfolio, Freeman adds, takes time and patience. “Rome wasn’t built in a day and a great Roman coin collection isn’t built overnight,” he explains. “From an investment standpoint, the best returns are achieved by the
careful assembly of a cohesive collection over a number of years.”
A Classic Hum
If you can imagine yourself behind the wheel of a classic automobile, then car collecting may just be your speed. These vehicles are as distinct as the owners who drive them.
So where can one begin looking amid the numerous motor hums? From domestic to international, the sky is the limit.
“This is an investment that one can benefit from financially and it’s one that you can use, enjoy and drive,” said Brian Peters of Motoring Investments in San Diego. “You can’t do that with most financial instruments.”
Motoring Investments, regarded for its classic Mercedes and Porsche models, perform world-class restorations on classic, collector and vintage sports cars. It ships its classic inventory worldwide.
The Mercedes Pagoda Group from 1963 to 1971, Peters says, remains a popular design. “These are old cherished cars and everyone seems to love them.”
For Porsche 911 aficionados, the 1965 to 1973 models are the true attractions. And before the 911 was born, the Porsche 356 was the “road superstar.”
Peters recommends that serious car investors purchase the very best of any particular model. Low mileage and pristine condition can be the buffer against an economic downturn.
“In our financial life, after we’ve reached a certain level of security, it’s less about making money and more about surrounding ourselves with things we appreciate.”
Feasting your eyes on a piece of fine art can enliven the senses and strengthen your financial portfolio.
A recent study by Dr. Clare McAndrew of Arts Economics in Ireland unveiled new affluent global buyers. Joining art collectors in the United States and United Kingdom are now China, Russia, India and the Middle East. This new surge of interest is encompassing investment, prestige and fashion.
“Old Master” works appear to be a wise financial decision, as opposed to contemporary which is struggling.
So, who are the “Old Masters?” They’re European painters who brushed their creations before 1800. A brief list of this exclusive circle includes: Leonardo da Vinci, Michelangelo, Sandro Botticelli, El Greco, Peter Paul Rubens, Diego Velazquez and Francisco Goya.
Now, if you have your heart set on purchasing art after the “Old Masters” time period, professionals recommend buying works from famous ar tists, such as: Claude Monet,
Rembrandt, Pierre-Auguste Renoir, Pablo Picasso, Georgia O’Keeffe, Mary Cassatt and Paul Cezanne.
With so much artistic information floating around the globe, the arrival of MutualArt.com has met the expectations of the 21st century.
“I saw a need for bringing together all of the important art information online,” said Moti Shniberg, chairman of MutualArt.com. “MutualArt.com is a revolutionary personalized art information service for art enthusiasts, collectors and art professionals worldwide.”
The Antique Appeal
The idea of owning a piece of history holds great appeal for many collectors. Part of the joy of owning an antique is in its character and mystique (sometimes imagined). Its originality alone can have contagious side effects, leaving a collector searching for more.
Antique experts recommend purchasing pieces from the 18th and 19th centuries. Considered a “lost art,” this handmade era appreciates five percent annually.
Michael Sassoon, owner of the Arte Gallery in Beverly Hills, primarily deals with pieces from this time period. “We carry high-quality European antiques such as furniture, porcelain, paintings and sculptures,” Sassoon says.
Nestled inside Arte Gallery are furniture pieces by the great Parisian cabinetmaker, Francoise Linke. His late 19th and early 20th century work is a direct influence of high French fashion.
“The quality of Linke’s furniture with bronze castings is just extraordinary,” said Sassoon, adding that its prices vary from $10,000 to $2 million.
For porcelain collectors, Sassoon is a huge Sevres fan. Since the 1700s, Sevres was produced for French royalty. “Sevres created the large urns you would see in palaces and the porcelain mounted décor tables,” he notes.
Multi-generational collectors and new investors have one thing in common—they’re buying rare beauty. “The more difficult a piece is to locate, the more value it has,” Sassoon says. “And that’s the one to buy.”
Profiting From Pleasure
Alternate investments come in a variety of shapes and sizes and can bring you years of pleasure, enrichment and possibly riches. What more can you ask for from your financial portfolio?
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