Stanley Gibbons Chief Executive, Mike Hall, explains why rare stamps and autographs could be the best investment you've never heard of: Why rare stamps and autographs are the perfect, safe, alternative asset with distinct tax planning advantages; returns you can expect in the short, medium and long term and how to find out more about ’the best investment you've never heard of’.
Also gain insight into a relatively immature market believed by Mike to be ripe for the picking by canny investors...
The best investment you’ve never heard of
Stanley Gibbons, stamp dealers and publishers since 1856, diversified into collectibles and memorabilia in 1990 with their acquisition of Fraser’s Autographs and began offering alternative investment portfolios in 2003. Chief Executive Mike Hall explains why rare stamps and autographs could be the best investment you’ve never heard of.
“Investors understand the importance of diversification. Evidence proves that the movement in the prices of rare stamps and autographs are uncorrelated with equity and property markets.
I would recommend investors allocate around 10% of their wealth into alternative assets which can help to produce more stable overall long term returns. Rare stamps and signatures provide the perfect mechanism to achieve this, being a tangible asset with a value embedded in history.
An investment in rare stamps and signatures should be considered as a medium to long term investment and we would recommend a minimum investment term of 5 years. Short term gains are possible depending on movements in the market for rare stamps as a result of 3rd party auction realisations.
We offer an option for investors looking to achieve short term returns in our Active Management Investment Portfolios whereby we seek to deliver investors a return of 5.5% over a 12 month period.
Our Guaranteed Minimum Return Investment Contracts offer investors a minimum guaranteed return of 4% per annum over the next 5 years and 5% per annum over the next 10 years. The rare stamp market however shows excellent growth potential.
Rare stamps have increased in value by an average annual compound growth rate of 10% in the past 50 years. Probably more compelling is that rare stamps have never gone down in value at any time during the past 50 years.
Also, an investment in rare stamps and signatures is an investment in a tangible asset and the profits represent a capital gain as a chattel. This provides distinct tax planning advantages.
My recommendation is to focus only on rare stamps in premium condition which historically have always achieved the best returns at auction. Condition is all important when considering investment merit.
Rare signatures also represent good value at this time due to the fact that it’s still a relatively immature market.”
Malcolm Forbes of Forbes Magazine highlighted the potential in autographs:
“None of my other investments give me the joy that autographs do, because they make me feel that I am holding a piece of history in my hands. In my view, they are the most undervalued of all areas of collecting, especially when you consider what people are paying for even second rate paintings.”
“I have built up a substantial investment/collection in rare stamps and signatures myself during my 10 years with Stanley Gibbons. I not only derive great pleasure from the collecting side but also appreciate the long term investment returns; Last year my investment in rare stamps and signatures was the only asset I own that went up in value.
Most IFA’s will not be aware of this product; it has been referred to in the past by one financial commentator as “the best investment you have never heard of.” So I would recommend that investors look at our website www.stanleygibbons.com/investment and other similar websites discussing rare stamps. Sign up for our free report www.stanleygibbons.com/freereport and weekly investment newsletter to get a feel for the various products we offer and perhaps contact one of our advisors for a free, no obligation personal consultation on 01481 708270.
Serious investors around the world trust the team of experts at Stanley Gibbons to take care of selecting appropriate material for their investment portfolios and are currently enjoying great returns. We also have a competition to win a £5000 rare stamp portfolio at www.stanleygibbons.com/competition
This is an opportunity for investors to achieve true wealth diversification in a safe asset class offering an exciting minimum return of 4%. What other investment do you know of that possess all of these attributes:
- Has risen in value every year for the last 50 years?
- Shows no correlation with any other asset class?
- Guarantees a minimum return of 4% per annum over the next 5 years?
- Offers you an unlimited upside?
- Is easy to get into, with no hidden costs?
- Historically performed well in recessionary periods?
- Provides a hedge against inflation? (in the last period of high inflation in the 1970s, rare stamps increased in value by 600% in the decade)
- Is backed by the biggest brand name in its field with a history spanning over 150 years?
- No “opportunity costs” against savings earning “nothing” in the bank?
- Protects against any devaluation in sterling as an internationally traded portable commodity?
- Represents an investment in a tangible asset with a value embedded in history?”
