Buying A Rolex IS NOT an Investment
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- Опубліковано 29 чер 2024
- Advisor Secrets Newsletter: josholfert.ck.page/2fad371c0a
Today we look at Rolexs an luxury watches and whether or not they should be considered an investment. Are watches better than the stock market?
Instagram: / josh_olfert
Twitter: / josholfert
Haven Wealth Management: www.havenwealthmgmt.com/
Josh Olfert is a professional CFP financial advisor and the Founder of Haven Wealth Management investment fund based out of Winnipeg Canada. Through this channel Josh shares his knowledge of wealth accumulation and personal investing to the world, in an effort to improve financial literacy and help everyone achieve their financial goals.
All numbers and figures discussed in this video are purely for illustrative purposes and are not to be taken as financial advice.
If you don’t wanna hear it from me you can hear it from the GOAT:
ua-cam.com/video/_UZuGGDYwzI/v-deo.html
The sub example is not correct. The watch is only worth retail
I wasn't financial free until my 40’s and I’m still in my 40’s, bought my third house already, earn on a monthly through passive income, and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future! Investing in the financial market is a grand choice I made. Great video! Thanks for sharing!
Very inspiring! I love this.
I understand that tomorrow isn't promised to anyone, but investing today is hard for me now because I have no idea of how and where to invest in. I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.?
@@harrisonmichael5047 I invest across the top markets but not by myself though. I follow the guidelines of *PRISCILLA DIANE AIVAZIAN* . you might have heard of her. I can correctly say she's worth her salt as an investment advisor as her diversification skills is top-notch, I say this because I see that in her results as my portfolio grows by averages of 20 to 3O% every month, unlike I can say for my IRA which has just been trudging along. my portfolio just mirrors what she places and not just on some particular industries of my choosing. she gave me that financial freedom I needed
@@georgerobinson2021 That’s great, your investment advisor must be really good, I have seen testimonies of people using the help of investment advisors in making them more financially stable. Do you mind sharing more info on this person?
@@harrisonmichael5047 look her up on the internet with her name. she's quite popular for her services as she was recently featured on
CNN. She can work with anyone irrespective of where you're located
@@georgerobinson2021 I just looked up this person out of curiosity; surprisingly, she seems proficient. I thought this was just some overrated BS, I appreciate this.
The sooner you get to the point and stop waffling will be greatly appreciated.
Thanks Dad. Working on it 😅
@@JoshOlfertCFP time is money.
Right hate it
Only buy watches you like and don't expect them to go up in value. If a rolex keeps pace with inflation you are doing just fine.
Great approach. If you beat inflation wearing something you love thats a win.
Hey Josh, I am a 17 year old high schooler looking to go into finance while in college. Your content has really given me a lot of knowledge about the field and I can’t wait to learn even more. Keep up the good work!
Hey Nate! That’s fantastic! Thanks for supporting the channel.
If I could tell my 17 year old self one thing it would be that the time you will spend trying to reach success *faster* will eat up twice as much time as it would have normally taken. Being in a rush only delays things.
Work with urgency from day to day and patience from year to year. It takes a decade to build success in anything. If you think you can do it in less it will take you two.
@@JoshOlfertCFP Thanks for the advice Josh! I will definitely take this into consideration! I cannot wait to see what the future holds!!
@@JoshOlfertCFP that's deep. Put the work in and know it it'll be there. The Universe/Construct will reciprocate.
It should also be noted that he’s right - you’ve got a 1/1,000 chance to pick the right one that wins. Same thing with sports cards. Some people picked Mahomes but much more bought Wentz, trubisky, Dak, Watson, Darnold etc.
With that being said everything collectible is skyrocketing right now. Shoes, cards, watches, comics, even beanie babies. I would predict it goes down around March 2023 - in the recent stimulus plan it was changed that anybody buying and selling collectibles over $600 for the year (it was $20,000 and 200 transactions prior). Now every person in this game will be having to pay taxes - and selling off their collectibles to pay their 1099. Savvy people will write off their purchases, but it’s going to be so widespread we should see a dip
Awesome video! Thank you for this.
Soooo. If I were to buy my 15yr old let's say, a rolex costing $7K. When he turns 30yrs old, it should be worth allot by then. Thanks to ongoing inflation
In my opinion, it all falls down to knowing your stuff. No matter the product, if you can understand a market's s/d as well as the timing the market is in, then you're able to make very good gains. Look at crypto investors, watch investors, hell even sneaker resellers. If you know your stuff you know your stuff
You know what, I completely agree with that.
That’s the million dollar dilemma !!
What do you mean? Being able to read a market? How does one learn to do that? Over different products and platforms.
@@themeatspot5020 experience.
Yeah is pretty clear the crypto investors that knew their stuff…. Hahahah didn’t work out so well June 2022.
A few brands have shown good results most don’t. Certain Rolex, Patek and most F.P. Journe have proven to be great investments. The nice thing is that you can wear and enjoy your investment while it’s appreciating. Of course diversifying into some income producing properties and the stock market is a good plan.
Great point. I guess that’s the big sell! Its nice to have a piece of your portfolio you can wear, feel proud of and use to strike up conversations with people that have similar interests.
So wrong. The return on an investment of a watch, is also the condition. Wear your watch daily and beat it up, you’ll get much less.
The profits of watches are reserved for safe queens.
@@Niro_Hero Any Steel Daytona, Batman, Pepsi or other desirable Rolex purchased at retail is worth much more even in average condition. In addition most collectors rotate their collection so no one watch gets all the wear.
@@mr.thinkpositive9962
If you get a Daytona which is bad condition, don’t expect to get the premium you want.
Also, prices you see on chrono 24 are markers.
They don’t really reflect the prices being payed.
no you don't wear the watch wtf.
I had the same luck with my Hulk. Can't believe how much its worth now. Never getting rid of this watch.
how much did you pay if you dont mind?
@@patpat6719 I bought it pre owned for 11k back in April of 2019. I thought I was over paying back then....... boy was I wrong haha
Sell while the market is hot, then invest into another nicer watch?
Really great video. The watch market has changed a bit since this video, but the value is still there for what you're saying. Asset prices have dropped out of the sky over the last year, but that means it's a great time to get into the things you're looking at for the long term!
Thanks for watch-ing
I deserve to be shredded for that.
I first saw a demo of Microsoft software in 1984 and had I bought shares back then, the return would be just shy of 2,500x or 23.5 compound interest rate. U can buy as many Rolexes as u want with that kind of return. My point is one can buy a luxury watch at any market price with capital gains from a proper investment. One does not buy a watch hoping to one day convert it into shares of a blue chip company.
Great video!! Thanks for sharing!!!
Thanks for watching DJ!
Excellent video very informative thank you!
👊🏽
Sadly one may argue that future returns won't be as great as that old geezers watch, as nowadays much more watches are preserved in mint grade as investment, which creates a little speculative bubble now and devalues any worn watches that don't represent the top 2-5% in the future.
I own automatic watches, but I’ve never fully grasped the sentiment that “automatics are cool because they are mechanical and have a rich history.” Quartz watches have a history too! It begins with the discovery of the piezoelectric properties of quartz and extends to the creation of quartz watches by companies like Seiko and Longines. The history of quartz and digital watches is equally fascinating, and quartz watches can be just as captivating! I don’t understand the specific fascination with mechanical and automatic watches. Especially when you consider that they are not everlasting as some people insinuate. They are similar to your car in that they require regular maintenance.
I've never invested in anything in my life and I know ZERO about the stock market. Can't really afford to invest in the real estate, so investing in luxury watches seems like a good, safe option for me.
Your entire thought process is flawed you can flip a watch as soon as you buy it for an immediate profit you don’t even need to speculate at all… just make relationships with authorized dealers. I’ve never had to buy anything undesirable in order to be offered hot watches. Aside from that, you can also make money from the watches by renting them out and getting recurring revenue off of those investments. Alternatively, stocks don’t need to be insured and they don’t require any maintenance or care. Hot watches are absolutely investments.
Well said mate!
What about an all diamond Rolex? I know they depreciate but couldn’t you still sell it
@@amorousdorus7483 if it's factory placed diamonds, then yes, it will retain value. However, if diamonds are added afterwards from a third party, the value drops like crazy.
Man .!.! Rolex is it self a walking Money asset
You can sell it any time and can get at least 5000$ if I am not wrong so it’s definitely worth it
David Kaplan, i completely agree
I understand where you’re going in this video and I appreciate you trying to stray people away from flipping watches. There are far better long term options to making money.
If you can buy at list price they're not bad/
Hey Josh. I would like to buy a Rolex watch but I would like one that doesn’t lose much value. To me it always seemed that Rolex should be in gold, but I don’t know, people seem fine with steel also. My budget is ~$10k-15k, what do you recommend?
Steel models are actually more in demand than the gold ones
Also, the sp500 normally only does 10% over the long term.
Also, there is no CGT on watches, that is not the case on the stock market.
I understand your evaluation of what an investment actually is. I own a number of Rolex sports watches that are more or less double the value of what I paid at retail. Two of my watches were double retail price immediately when I purchased them. Its a nice feeling that most Rolex tool watches don't loose value, and are highly likely to gain in value especially when Rolex discontinue the model. For me my collection will be passed down to my children and grandchildren so they can enjoy them as much as I do. Of course if they require a financial boost, they could hopefully sell for a considerable sum. Grate video mate, and enjoy your Rolex.
This was a great comment. Thanks Laton!
The funny thing is that since you are rich enough to have a Rolex Collection your child won't need to sell them
Bought my Rolex hulk in 2011 when I completed my plumbing apprenticeship as a reward with the money I’ve saved up throughout the years of being an apprentice
How did you know which Rolex to buy? Did you buy the hulk for any particular reason or did you buy it as a fluke
@@kaashee I’ve always loved steel Rolex watches since I was a kid feel like silver is to shiny and gold is way to shiny/flashy and I don’t know why but something about the green dial mixed with the stainless steel made me love it on first sight didn’t know or even think it would be discontinued and go up in value
@@Jeromez lucky buy then 😆 combined with good taste
@@kaashee for sure and thank you !
I bought a Rolex Polar Explorer II in 2003 for $2000.I bought a Rolex Two Tone Submariner in 2012 for $5000.I bought a Rolex Two tone Turnograph for $4000 and a Milgauss for $8,000 in 2017.Now they are all worth more than I paid for them.I still own them.Aussie $ Subscribed.
How will u sell and to who?
yes i wanted to invest in a asset which the government cannot access so i decided on luxury watches and invested 7 figures into high end watches which was most of my net worth and i am so glad i did i was able to 3x my net worth within 2 years so yeah watches are great!
Like numer 1000 eheheh! Great video!
Hey really enjoyed the video. I’ve been looking at buying a Rolex but find that retail prices seem absurd. Should I be looking to go through a private broker ? Any better suggestions ?
Retail is cheaper, private brokers mark the watch up more than retail
It may not have guaranteed resale value, but it is a good way to acquire something portable that has value.
It all comes down to what you enjoy in life. No one should ever tell you what is worth it and what is not. $1000 bottle of wine or a $20 bottle depends on what you enjoy. So i disagree with his point i had a business opportunity with a gentleman who recognized my Rolex with that conversation opened the chance to do business...
I never thought I’d watch a video today that said propagate. And I would have put my house on the line that it wouldn’t be said twice.
This is fascinating though. There’s so many parallels to the sports card market.
Hahahaha. Thank you Kerry! I appreciate you taking the time to watch.
Came to disagree but you made some good points, great video
Just made EUR 1700 profit from a watch I bought earlier and sold this year....so I would say it is an investment if you buy and sell the correct model!
Only a vintage rolex or any other high end watch, 1980 and before even 90s are a good investment
I was lucky enough to be able to buy a Rolex Daytona Panda at retail. I was offered £22,000 for this. That's 230% in a few months. It's in my safe and I think I'll keep it tucked away for a few years. Not as good as the vintage watches, but for a modern era watch, it's pretty good performance.
I was on the fence between a 98 two toned day date I’m leaning towards a new 31mm now even know the 1998 was a sought after year from what I gather
Good video. More watch content please
Thanks! I’ve got a few ideas.
The right models are an investment
It can be a place to store his money right as inflation decreases out buying power it may not be the best investment. Dnt you think a year down the road it’s may cost more to purchase a Rolex.
10000 will be less in 10 years but what about a gold/stainless still Rolex?
Absolutely! I do think that over time Rolex watches will beat inflation and be higher than where they are now. The whole point of the video is an attention grabbing way of saying: "just because something is expected to go up in value doesn't mean its an investment"
I just got a date just 41 18k diamonds spent about 17K, it’s a good watch but when I tried to get it sold they offered me 13K 🤣🤣 anyways i love the watch not gonna sell it for less than what I paid for
I brought a rose gold baguette dial 41mm 2015 model in 2018 for 30k today’s it’s increase and being sold for 38-43k in the space 3 years ide call that an investment
Wrong an investment does need to be generating cash flow.
It needs to have the potential to produce cash flow at some point in the future. In this context it doesn’t change anything but it is an important point.
That's a great point. Probably glossed over this in the moment in pursuit of making my point.
As a private fund manager we use 3-4% of our capital in alternative investments - mainly watches. We have never lost money on a watch. It may be different up in Canada but in the US - if you buy it right you will make money. Are they better than the stock market? No. Why? When you manage a large portfolio diversification is key. Not to mention the security and storage of thousands of watches.
What should I buy, I have around £50.000.00, to invest in watches
I purchased a Submariner in 1977 for $319.00 ($1,560.00 in today's money) brand new from an European Rolex shop. It happened to have the Submariner logo in RED. Today it is known as a Red Submariner and they go today for between $27,000 to over $60,000. I wish I had bought 10 of those. Talk about an investment. 🤑Just saying.
I’ve my 1st rolex this year is a brand new date just 41 blue dial .august 2022 the new movement 3235 but not for investment.😊
The watch market exploded in the past 5yrs. If you can get your hands on a Rolex sport at retail, its instant profit. But if you get a Sub at 15k market calue today, its not gonna appreciate like the pass few years
I'll stick with gold. If I take a hammer to a piece of gold, it's more of less worth the same amount especially if it was originally bullion. If I convert the raw material to something with utility I see a nice margin. If I buy a watch and smash it with a hammer, what is the value of that watch now?
Gold is also salient, but watches? Maybe if the economy is good.
That might be the worst argument I’ve ever heard
Why would anyone hit gold or a watch with a hammer
Interesting point. But rich people want rolexes and rich people pay.
Weird argument about the hitting anything with a hammer… like why
Rolex went with the ferrari model where you need to be someone to buy one and the only one you can buy if you're not someone is after market.
I made the mistake looking at my Coke GMT Master II as a functional tool watch back in 2003 that I paid $2,000 for. Had it serviced, then...sold it!!!!! If I had seen it for what it was, a potential investment, well, try to find one today under $10,000.
2k for that in 03? Lol
Are these increases really cashable... I mean if I can buy new why would I buy an old one
Great point. Most owners I know just like having them on the balance sheet and don't plan to sell. The only problem with your argument above is that you cant* buy new. That's why the resale values have exploded! You can walk into any Rolex store on the planet right now and they won't sell you anything other than undesirable base models. Most stores have multi-year waiting lists for the models that people care for. The uber wealthy are willing to pay 2x to have the watch they want now rather than in 2 years from now.
With capital gains tax and brokerage fees the stock index investment would be much lower unless you factored that in? Whereas the watch you keep all the money gains.
They both have their pros and cons as “investments”. But buying an index is almost completely free. Usually no commissions and a 0.10% fee. Also extremely tax efficient.
The Rolex, sure. You probably don’t pay many fees (that you can see). But if you’re buying an inflated Rolex at secondary market prices the case that it will beat the stock market gets very weak.
If you see a watch as an investment I have a tulip for you.
Now that there are smart watches..This market has taken a big dive..All my expensive watched are just sitting there while I wear a 500 dollar watch.
Im on a 2 year waiting list for the rolex oyster perpetual submariner date
Not buying it as an investment as such but if ot goes up happy days i suppose
Its crazy just how hard they are to get hey? You’re going to love it.
@@JoshOlfertCFP ye looks very nice, gonna be my firtst rolex never new how hard they were to get
@@fngey10 did you get yours? Btw how old are you?
Mine has appreciated 8 thousand dollars since I bought it in 2020.... but what do I know 🤷♂️
Yeah Chrono24 has mine at $40K in my local currency. I bought it for $11K .... this is just silly.
Buying any watch is never an investment .
The watch is durable and high quality for purchase and the quality is very strong and it looks useful and durable in all respects.
This video is taking the asking price in the secondary market as the selling price which is not accurate. There usually a 20% reduction from asking to selling prices. I am not disputing that most Rolex sport models will b a good “investment” except for yacht master.... Rolex most common model is datejust not black sub. And any size of datejust (other than 41mm) is not going to make the owner much (if any) on secondary market... in fact after fees and discounts on average owners have to take 25% loss on unworn datejust smaller than 41
Your hulk is now touching $40k with box and papers. You might reconsider what an investment is now a days. Keep in mind when you have real estate you also have maintenance and other fees when trying to bring cash flow. Which doesn’t always work out short term. There are no other cost when keeping a mechanical watch maintained within 10 years.
Thanks for the comment Samuel. Good to know lol! I kind of stopped watching the price.
Although its semantic, my experience prevents me from classifying anything that doesn't produce cash now or in the future in the "investment" category. An asset, sure! An appreciating asset, absolutely. But the wording is important to me and I don't want to skew the line. (Plus I just got quoted $1,000 to service it lol. I've put it through the ringer)
@@JoshOlfertCFP I totally understand your view but i see no difference in stocks. And stocks are classified as investments. Not all stocks will bring cash flow. If you enjoy your watch and not have it as a safe queen then a $1k service in 10 years is a bargain. I think the key is to diversify real estate, Luxury goods, stocks, and crypto. Thanks for your content love watching videos like these because it educates this generation on looking at how to be financially set.
Thanks for the support! I appreciate you taking the time to watch.
You're totally right. I'll never complain about how lucky I got on the watch. And its fun to have. Complete agree also on diversification. Just because I wouldn't classify something as an investment doesn't mean I wouldn't own it (Commodities, crypto, precious metals). These things don't produce cash now or in the future but they DO provide uncorrelated returns. This is why I find them useful -- they're tools that can be used to benefit the risk/reward (sharpe, sortino, etc) of your portfolio.
Cheers!
The different between stock market and watches you make money the stock market need to pay tax to government but watches no need to that’s the major difference
Hey Jeff! Thanks for watching. Its important to note that collectibles like watches are indeed subject to capital gains taxes. These can't be held in a tax-advantaged account either like a portfolio of stocks could.
I just bought the hulk I’m planning on buying more
The Rolex GMT Master, Green submariner and the Daytona are solid investments. Buy them, lock em up, never sell them and you'll do alright in a few years.
All such beautiful watches! Would you go GMT or Daytona if you could only pick one?
@@JoshOlfertCFP I own all 3. I also own vintage watches that have always gone up in value. Over the dozen or so watches purchased and sold over the past decade, I have never lost money. Not once.
Let that sink in for a bit. While its getting harder to find value given the influencer hype, an experienced eye can easily earn between 30-125% on their watches.
I'm not a dealer. Just a watch enthusiast and overall investor.
@@JoshOlfertCFP Submariner, i thinking about 1. cant swing the GMTs. The Submariner timeless, classy, and elegant.
@@singlendhot8628 how do you know a good price on these watches? Im interested in them just dont know where to begin learning about the market on them.
I think it's the limited design, and craftsmanship. My opinion to this is no middle to average income earner will buy Rolex as an "investment" maybe they rather put up a business.
Commodities can be an investment, so ita non only about cash flow
So shall I get myself a 126610LV (new Kermit) or stick to a 126710BLNR (Batman)? I have an opportunity to get one of them from retail.
Get a batman
Of course Rolex CAN BE an investment. Many things CAN be an investment, anything that will keep for a long time without "going off". Property, cars, art, a magazine, a stamp, a coin, a knife, a watch, jewellry, a chair, precious metals, diamonds, etc etc.
Im 17 and have made around 10 000$ and currently have around 15k. Instead of keeping them in my Swedish acc in Swedish currency and let inflation eat it, I've thought about make some big investment. Stocks are a no for me so started thinking about Watches. I've thought of Rolex Submariner. Any tips?
Dont need to make a big profit, but dont want to loose money.
Late reply but, the rolex submariner is really popular and I would highly suggest you to buy it. But take a look at the market and be patient! Patience is key when buying jewelry. The comment above is bs, IF you weren't to use it. it would actually increase in price as the band of the watch would show less wear (scratches, the band of the watch stretching, etc). To make the most of the watch, you want everything to be original (no replaced parts of the watch). I'm also not saying to not use it, but its something to have in mind. ALSO make sure to buy the watch with papers (adds more to the value)
Thanks for watching…and thanks for watching.
Gain doesn’t matter, what matter is the value of yoir return compare to rising inflation. If your Rolex worth 10 k in %2 inflation the same watch maybe is up %17 but also inflation to %7 . When you cash your money you will notice your buying power doesn’t go up as you thought. The same goes with crypto gain. 20 k Bitcoin was much better than waiting for 100k .
Beautiful 💎 Wow
👊🏽
The title is ‘Buying a Rolex is not an investment’ and then he goes on to say that his green Rolex sub is appreciating quicker than the S&P500. The man is a clown.
For anyone besides my boy Michael who has an open mind to what I’m trying to say, it’s this: “Just because something can go up on value doesn’t mean it’s an investment. The best investors in the world made a key distinction between investing and speculating. Investing requires some sort of value production (sales, profits, rental income, etc) so that you can logically model potential upside and downside. Speculating is buying an asset hoping for a price change - and where the only possible gain comes from price change.
Anybody that spends 1000% markup on coffee I’m not taking financial advice from
Anyone who allows the possibility of another’s gain to cloud their joy shouldn’t engage with me anyway.
*Sent from coffee shop, sipping $6 Americano*
@@JoshOlfertCFP Probly sipping out of a sippy cup, or no that would be reusable, you find gain out of sipping and tossing in the trash for someone else to worry about.
Sent from my office with a coffee maker brewed just the way I like it, drinking out of a porcelain mug. No starbuck status symbol required
@@JoshOlfertCFP and I wear a G-SHOCK haha so there’s that you can look down on me for
which one would you suggest to get as an investment for a longer period of time ?
Any steel, sport, men model. Any Sub, Daytona, gmt. The trick is to buy them retail (if you can) or pre-owned, don’t pay for hyped watches. Don’t worry if you’re not getting the latest sub. Any Rolex will go up over time
@@joaovilarinho1362 I see that you can’t buy some rolexes unless you already own one for a few. Usually there’s a wait time for it, long list of people that are waiting to buy one. Is it possible to walk into a store and actually be able to buy one for retail without a wait time at all?
Rolex watches doesnt take one year to make, thats a myth... also, rolex is mostly machine made... but many other brands does more hand finishing..
Watches are also Jewelry and collectors respect the quality and perfektion, not only the status..
Yes because when you selling it all cash no body know how much you sold
This title aged well…
Don’t agree with your investment def. Gold IS investment but doest not produce cashflow.
I wish you the best of luck with that!
@@JoshOlfertCFP you can not argue with him
Bro, Rolex is not made by hand
But if you buy an accumulative ETF or actively managed Fund you also only receive the profit after you sell it...so what is the difference to a watch that you buy at retail or not on the peak then?
I don’t want to argue on here - but the difference is the measurable production of value. A business, farm or rental property creates an income stream. If something can produce an income steam it can be an investment, if not, its speculation. You’re guessing at prices and timing.
To say something that does not provide cash flow while you own it is not an investment is bogus. Land investments, gold, Bitcoin, stocks that don’t pay dividends? All of these are not investments? Speculative assets are investments.
Fair point! I could’ve said it better. “Assets that don’t provide recurring utility” shouldn’t be thought of as investments.
@@JoshOlfertCFP You mean capital assets. If you can accurately evaluate the price of that item and sell it for higher then it's an investment, but you can do the same thing with a can of beans.
Too much money sloshing around in the economy and the Chinese trying to find a way to turn their currency into assets is responsible. Up to 2017-18 we had a NORMAL market then the Chinese started scouring the globe for every Rolex they could find and simultaneously a bunch of people decided they wanted to be watch flippers (gray mkt) and here we are. Any time there is an opportunity to make a buck people will try it - now they get to see what happens when you have $1000000 worth of inventory thats worth 2/3 to 1/2, from a pissed off collectors perspective I'm not crying over their loss.
A Rolex is a fantastic investment, I purchased an oyster perpetual 39mm grape dial in 2016 for £7800 brand new and they are now going on Chrono24 for over 12k, you would never get that return with a bank, you just need to be careful about which models you buy
It is
What is Lugsury?
I bought a submariner four years ago for £5000 and it's now selling second hand for £11000 so tell me that's not an investment
It doesn't produce income.
@@JoshOlfertCFP It produces more capital than having your money in a saving plan
@@JoshOlfertCFP what rubbish, the definition of an investment is not that it needs to create income. An investment is anything you put your money into with the potential to generate profit at a later date. It can be stocks, property, watches, whatever.
Got my blnr for retail now it's worth double in 3 years isn't that classed as an Investment ? 🤔
Nice buy! Those are beautiful.
You’ve obviously done well! My Hulk (currency adjusted) effectively *tripled* over 4 years. I still consider neither of these an investment because investment means: “Spending now to produce more later”
Watches, gold, birkin bags, Pokémon cards - none of these produce cash flow. None of them produce income. So in my mind, they might have treated us well but they’re not to be confused with investments
It is once you sell it. Realized gains vs unrealized gains.
@@JoshOlfertCFP never plan to sell mine as got a sub to flip too 😂
Not great investment but a best gift to anyone you want 😍
Which one is better pure 24 carats gold or Rolex watch?
I think that you took the long way around to explain that a Rolex is an investment. If cattle are an investment that generate income whenever you sell them, then so are the watches that you buy, and sell later on. An investment is anything that generates more money whenever you sell it. You also don't need to keep a Rolex for 40+ years in order to sell it for a profit. Take a green dial Daytona for instance. Had you purchased one from an authorized Rolex Dealer last year for $39,000, you could sell it same day for $89,000+. That's a $50,000 ROI for one day of ownership. The same can be said about many Rolex models, and models from other brands.
These are safe, and predictable investments that you can do within a day if you had the opportunity to buy the model.
I think that watches should be worn, and enjoyed. I don't believe in buying, and flipping watches. This practice makes it so that people like me can't buy a watch that we want from Rolex ADs. But they are investments that are relatively unmatched by anything in the stock market at the time. This is because there is no risk with investing in certain Rolex models. There is nothing that you can invest in on the stock market on any given day for $40k that will immediately yield you $89k for a $50k+ profit.
Glad you know the difference between investment and speculation
aha sure do! Would love to collab on a video in the future if you’re interested!
Then what is a speculative investment?
It’s not an investment because you can’t buy it from the AD at list price
Great video, however, I disagree in one point:
The definition of an investment is not that it has to produce cashflow.
Growth stocks don‘t produce cashflow, but they are still investments.
Nevertheless, really good video, new sub right here. 🔥👍
Yes! I oversimplified but you’re totally right. The reality is that growth stocks are investments because they’re expected to produce massive amounts of cash in the future. Because the amount of cash are so much higher people are willing to pay for it with faith. Great point!
I don't think "telling the time" with a Rolex Submariner is worth $10,000, (I had one and sold it) and I have $500 watches that are excellent quality, have more features and look better than Rolex - I don't see the value, and I'll "invest" my money more wisely. I can have 20 quality watches for the price of one Rolex, and I don't need to "impress" anybody by brandishing an overpriced "icon". There are really high priced products which ARE worth the price - Rolex is not one of them.
Dude.. gold is not an investment??? Did you even go to school?😂😂😂
60s coke gmt is a pretty bad example bro lmfao
So, we do know that not all investments create cash flow/income.... right? Or is this just another 24 yr old trying to make money on the internet talk to people about investments with a networth of 64K?
This intro is awkward, this guy is too much into himself.
It's concerning that you are telling people that a Rolex takes a year to make by hand. They retail for $5,000 to $10,000 for a steel version. Once you factor in distribution, retailer markup, materials, tooling, R&D, and so on. You would at most $1000 to $2000 in pure manufacturing labor costs, which you still need to take benefits and tax out of. On the low end that would be 30%, but it's probably much higher. There is no one assembling watches for $700 a year. What I'm saying is a quick review of the math should have told you your statement was wrong.
Another way to look at it is Rolex makes about 1,000,000 watches a year, and they employ about 30,000 people. That is about 33 watches per year per employee. Probably less then half of those people are in the business of making watches, and the rest are janitors, manager, HR, marketing, and so on. These would indicate that on the low end a Rolex watch maker is producing about 67 watches a year.
Another way to attack this is by looking at the average pay at Rolex which is about $47,000, multiplied by 30k employees, divided by 1 million watches. This gives you an average labor cost per watch of $1,410, but again probably only half of those people or less actually touch the watches being made. This brings us back brings us back to $705 in labor being spent on each watch. This indicates that each Rolex receives about 30 hours of individual attention. My guess is that it's actually a lot less, and even Rolex marketing material shows their cases being built by robots.
I'm not bashing Rolex, it's a nice product. People just need to stop repeating nonsense that a single Rolex takes a person a year to make. Even the most simple review of the math will tell you that almost two orders of magnitude. If you want a watch that takes a skilled person a year to produce, you will be looking at paying some where around $500,000.
Exactly! Hahaha
Biased opinion based if you’re a stock guy or a watch guy
But if you invested in any of the FAANG stocks 5,10,15 years ago you would have made much much more.
Ahhhhh the pleasure of hindsight bias