Global Courant
South Africa is currently facing a weak rand against the dollar, high levels of inflation and rising interest rates, putting increasing pressure on returns on traditional investments.
However, luxury items are proving to be a low-risk, high-reward option for investors.
“Investors can benefit from strong demand for luxury items locally and globally, as evidenced by the double-digit growth of the likes of Richemont and LVMH Moët Hennessy Louis Vuitton in the past fiscal year,” said Michael Zahariev of Luxity, a pre-owned luxury reseller.
“Assuming the 75% increase in used luxury sales locally, the market is ripe for investment among South Africans looking for tangible value, long-term growth potential and a hedge against market volatility.”
“The low risk and high return of luxury investments can not only help secure their financial future, it could also provide them with a safety net to navigate the current economic climate.”
Luxury growth