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I read this article in today's papers and thought I'll just share it here .. 
MONEY WELL SPENT
With watches and jewellery becoming popular forms of investment here, Karen Tee finds out what the big spenders invest in
When Singapore's ultra-rich want to invest in luxury items, many of them are drawn to small and shiny items such as watches and jewellery.
In the recent 2011 Asia-Pacific Wealth Report released by Merrill Lynch Global Wealth Management and business consultancy Capgemini, Singapore's millionaires invested the most money in jewellery, gems and watches.
Forty-one per cent of their total investment in luxury goods was spent on these items last year. Art came in a distant second, making up 26 per cent of their expenditure. It is not just the fabulouly wealthy who have the magpie instinct.
A MasterCard study released on Tuesday found that Singaporeans are keen to spend their money on watches and jewellery despite the economic uncertainty.
The study, which was conducted in April, polled 191 consumers here who own at least one luxury item worth at least US$1,000 (S$1,266). The poll limited luxury items to personal products such as clothing, bags, watches and jewellery.
Of those polled, 68 per cent said they did not intend to cut back on luxury items in the coming months. Thirty per cent of the respondents wanted a watch and 24 per cent wanted jewellery. Designer clothes and leather goods came in third at 22 per cent.
The report attributed this to a pragmatic Singaporean mindset, where people "appreciate goods with a higher intrinsic worth and understand that the value of these goods increase over time".
Expert watch collector Dr Bernard Cheong agrees. "Unlike cars, good watches can last forever without much care. Most good high-end watches in the resale market will not depreciate much."
Watch brands that are coveted in the resale market include ROLEX, Panerai and Patek Philippe, due to the limited quantities of their designs.
When it comes to jewellery, Ms Brenda Kang, a senior specialist at the jewellery department of British auction house Christie's, says most diamonds and precious stones hold their value over time, which is why some collectors consider them worthwhile investments. However, those looking for investment-worthy baubles should pick stones that are above five carats as these are rarer, she adds. It is not just the size of the stone that matters though.
Mr Jonathan King, the South-east Asia general manager of French fine jewellery house Van Cleef & Arpels, says there is also an "integrated value" in a piece of jewellery that comes from the story behind its creation.
"For example, the item could be handmade by a craftsman using an unique technique," he says.
"A stone of exceptional character is also made more valulable when it is in an exceptional setting."
Some jewellery brands that tend to fetch higher value at jewellery auctions include Bulgari, Cartier, Lalique and Van Cleef & Arpels, as these are trusted brands with a long history of craftsmanship.
However, all the experts whom Urban spoke to were quick to point out that when it comes to buying watches or jewellery, the most important thing is to buy a piece that you love and will wear.
"This isn't like picking stocks or commodities," says Ms Kang. "These items really should be considered things to be worn, enjoyed and cherished."
Urban finds out what timepieces and baubles the uber-rich splurge on.
( As this is a watch forum, I'll just highlight the watches mentioned. See next .. )
MONEY WELL SPENT
With watches and jewellery becoming popular forms of investment here, Karen Tee finds out what the big spenders invest in
When Singapore's ultra-rich want to invest in luxury items, many of them are drawn to small and shiny items such as watches and jewellery.
In the recent 2011 Asia-Pacific Wealth Report released by Merrill Lynch Global Wealth Management and business consultancy Capgemini, Singapore's millionaires invested the most money in jewellery, gems and watches.
Forty-one per cent of their total investment in luxury goods was spent on these items last year. Art came in a distant second, making up 26 per cent of their expenditure. It is not just the fabulouly wealthy who have the magpie instinct.
A MasterCard study released on Tuesday found that Singaporeans are keen to spend their money on watches and jewellery despite the economic uncertainty.
The study, which was conducted in April, polled 191 consumers here who own at least one luxury item worth at least US$1,000 (S$1,266). The poll limited luxury items to personal products such as clothing, bags, watches and jewellery.
Of those polled, 68 per cent said they did not intend to cut back on luxury items in the coming months. Thirty per cent of the respondents wanted a watch and 24 per cent wanted jewellery. Designer clothes and leather goods came in third at 22 per cent.
The report attributed this to a pragmatic Singaporean mindset, where people "appreciate goods with a higher intrinsic worth and understand that the value of these goods increase over time".
Expert watch collector Dr Bernard Cheong agrees. "Unlike cars, good watches can last forever without much care. Most good high-end watches in the resale market will not depreciate much."
Watch brands that are coveted in the resale market include ROLEX, Panerai and Patek Philippe, due to the limited quantities of their designs.
When it comes to jewellery, Ms Brenda Kang, a senior specialist at the jewellery department of British auction house Christie's, says most diamonds and precious stones hold their value over time, which is why some collectors consider them worthwhile investments. However, those looking for investment-worthy baubles should pick stones that are above five carats as these are rarer, she adds. It is not just the size of the stone that matters though.
Mr Jonathan King, the South-east Asia general manager of French fine jewellery house Van Cleef & Arpels, says there is also an "integrated value" in a piece of jewellery that comes from the story behind its creation.
"For example, the item could be handmade by a craftsman using an unique technique," he says.
"A stone of exceptional character is also made more valulable when it is in an exceptional setting."
Some jewellery brands that tend to fetch higher value at jewellery auctions include Bulgari, Cartier, Lalique and Van Cleef & Arpels, as these are trusted brands with a long history of craftsmanship.
However, all the experts whom Urban spoke to were quick to point out that when it comes to buying watches or jewellery, the most important thing is to buy a piece that you love and will wear.
"This isn't like picking stocks or commodities," says Ms Kang. "These items really should be considered things to be worn, enjoyed and cherished."
Urban finds out what timepieces and baubles the uber-rich splurge on.
( As this is a watch forum, I'll just highlight the watches mentioned. See next .. )
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