4 ADVANTAGES OF INVESTING IN ART AND COLLECTABLES

When thinking of alternative investment schemes to place your savings into, one often forgotten form of investment is that of fine art, antiques, and collectables. Whilst it can seem daunting to forego traditional methods of investment, there can be notable benefits to going off the beaten track and trying your hand at investing in an exciting and unique way.

When compared with other forms of investment, trying your hand at art investment has the chance of providing high upside potential. There are plenty of stories of people finding old items in their attic and receiving a whopping figure for their collectables. Whilst this situation may be rare, there are still plenty of other benefits to investing in the art industry. As such, here are just a few reasons you should consider art and collectable investment.

1) Beat the inflation rate

Many forms of investment struggle to keep up with the rate of inflation, let alone surpass it. However, fine art and antiques are a method by which you can potentially gain value on your investments above the rate of inflation.

2) Potential tax benefit

Whilst it may seem strange to think you could possibly gain a tax benefit from alternative investment sources, there is the potential to do so depending on which tax bracket you fall into. The maximum tax rate an individual pays on the sale of art, antiques or collectables is 28%, and therefore, if you fall into a tax bracket that is above 28%, you have the potential to gain a tax benefit.

3) Avoid interest rate fluctuations

Almost all other forms of investment are subject to the interest rate. As such, when interest rates are low, as they have been for the last few years, traditional forms of investment become less appealing. However, investments in art and collectables are not directly affected by the interest rate, and can provide an attractive alternative for your investment portfolio.

4) Investments you can enjoy

Investments in fine art and antiques provide a unique opportunity compared to other forms of investment; you can use and enjoy your money whilst it’s still tied up. Hanging a painting on the wall can act not only as an investment but an investment that you can use and enjoy on a daily basis.

3 AWESOME TIPS FOR INVESTING IN SPORTS MEMORABILIA

When it comes to new investments, you may not want to choose the stock markets or other purely financial options. Alternatively, you may be wanting to simply diversify your existing portfolio. Whatever your reason, memorabilia has become increasingly popular for many investors. Investment in sports memorabilia, in particular, can prove lucrative when done correctly. From famous football shirts to historic boxing gloves, these types of investment can greatly pay off with the right approach.

Here are some fabulous tips for investing in sports memorabilia like a pro.

Think classic

When investing in something like sporting items, you may be tempted to go for more unusual or unique items from lesser known names. However, for beginners especially, it is better to stick to the classic names as they will always hold value over the years and also rise depending on what happens in the market after you invest. When starting out, go for big stars like Pele, Mike Tyson, Ayrton Senna, Usain Bolt, Lionel Messi etc.

Do your research

Of course, it is also necessary to research exactly which classic names are worth targeting specifically. This is especially true if they are a current player. If they are rumoured to be retiring soon, for example, it could make any memorabilia more valuable in the coming years. Double check what kind of amounts their sporting memorabilia usually sells for too so you pay the right price.

Get provenance

As with many kinds of investing, provenance is vital with this type of asset class. Ideally, you need a photograph of the sporting name wearing the memorabilia or a photo of it being passed onto who you are buying it from. You also need a genuine certificate of authenticity. Naturally, an authentic signature is also desirable on the memorabilia itself to get the best return on your investment when you sell.

Invest the smart way

If you would like more help with finding the best investments for you, contact us today. We offer a highly personal service that is dedicated to providing tailored investment solutions for our clients. The opportunities we can highlight will be aligned purely to your own specific objectives for maximum relevance. Get in touch today to find out more.

5 GREAT WAYS TO INVEST YOUR TAX RETURN

Your tax refund is often one of the most significant chunks of money you’ll get each year. Using it the right way is one of the most effective ways to get a great financial start. Try some of these suggestions to help you make more financially responsible moves.
1. Pay down debt
Do you have an outstanding loan that you’ve been struggling to meet the payments for every month? Are your credit cards becoming a problem? Using your tax return to pay down debt can help save you money in the long run.

2. Invest it

Take your tax return and, instead of using it to splurge, turn it into future funds that can help you with retirement, sending a child to university, or other significant expenses. You could consider bonds, shares, gold, renewable energy, and many other options. Try investing your funds to see how much they can grow in the coming years.

 

3. Save at least a portion of it

Each year, decide how much of your tax return you’re going to commit to putting into savings and then stick to it! Funnel that money into another account, whether a savings account or an investment account. The sooner you get it into a different account, the better the odds are you won’t simply spend it instead!

 

4. Get ahead on your bills

Whether it’s your rent, mortgage or your other monthly bills, getting a month ahead will make it easier for you to handle emergencies that might crop up along the way. Go ahead and pay a month ahead, then make sure that you stick with making the payments a month in advance. This will give you a grace period if, at some point, things don’t go according to plan.

5. Add it to your retirement account

Your tax refund is a great way to build up your pension. The younger you are, the more those funds will grow in the years between now and retirement, which will make life much easier once you leave the working world behind.

 

Need more investment tips or information on how to handle your tax refund with skill? Contact us today to learn more about how we can help.