Gold, S&P 500, or Hermes Birkin

fashion Hermes

What will you do with the money if you win the Powerball tonight? Perhaps you want to know what to do with that end-of-year bonus and tax refund. Purse aficionados considering stashing assets in gold or the S&P 500 might want to think again. It turns out the “safest and least volatile” investment of those three may be in the bag…the Hermes Birkin bag.

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As reported in racked.com, the Baghunter compared investment returns on gold, the S&P 500, and the Birkin over the last 35 years, and the Birkin was the clear winner.  In that time, the Birkin increased in value more than 500% and has never decreased even in times of recession and economic difficulty. Baghunter says the Birkin averaged annual value increases of 14.2%, significantly higher than either gold or S&P 500.

Baghunter founder Evelyn Fox told luxurydaily.com “As a whole, the study findings show how stable the ultra-luxury industry has been over the past 35 years when compared to more traditional investment opportunities.”  According to Fox, “There is a difference between luxury and ultra-luxury. While the luxury market suffers during worse economic times the ultra-luxury market is impervious to economic factors that can affect other industries such as high-street retail and stock markets.”

Fox expects this trend to continue in 2016, pointing to the Birkin’s high retail prices and limited availability along with a strong secondary market from resellers.

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Diamond Exotic Birkin, Hermes Paris

Do you consider your Birkins (or other bags) investments?

Tag: Hermès Birkin

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