Quote:
Originally Posted by aigel
Of course a classic car is not an investment. Most TANGIBLE assets are not good investments in terms of return, but a good portfolio will always have tangibles. Real estate, gold, cars, guns - they all don't make you money, but they are solid, tangible and often enjoyable.
G
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This is pretty much an on the money assessment. I have always seen the Tangibles as being a store house of value, maybe you win, lose or draw but they always have value. Over the years I have whacked the check book hard over some of this stuff, where as for depreciating assets you would be loath to get a dime outa me.
Collecting things only came into vogue after WW2 when Americans had money in their pockets to burn.* From that point forward collectables have been a rising priced asset as it matched or surpassed inflation. Many times the higher than inflation ROI was due to that particular asset becoming a desirable flavor. However now we are not in a period of inflation but deflation, here certain Tangible asset classes have become a desirable place to park money or should one say value. It seems that people now would rather have the Tangible asset
than currency. Here we see the prices of certain Tangibles remaining ever strong and increasing. While others are languishing.
* Before the Great Depression of the 1930's certain Tangibles had cache, but rarity and quality always does have value. Mostly people wanted new as the quality was equal to or better than the old stuff and what happened yesterday wasn't regarded with being anything special.