The 12th annual World Wealth Report was released this past Tuesday – June 24th by Merill Lynch. Despite grim news about sliding economy’s, recessions and rising living costs, the World’s High Net worth Individuals spent enormous amounts of their wealth on luxury items, last year, quite aptly referred to as “Investments of Passion.” The luxury items include dazzling jewelry, luxury cars, private jets, dog sledding trips beyond the
Arctic Circle and luxury watches. The emerging markets such as , China , India and the Russia Middle East are fast becoming big contributors to the global luxury marketplace.
The type of luxury item bought differs from mature to emerging markets, and from region to region. On a global scale 16.2% invested in private jets, luxury cars and yachts, 15.9% fine art and 13.5% on luxury watches and jewelry; travel ranked 4th with 13.5%.
Although luxury watches ranked 3rd on the global scale, luxury watches ranked 1st among the Worlds High Net worth Individuals and Ultra – Worlds High Net worth Individuals in the
Middle East and Asia. Asia and the Middle East preferred to spend their wealth on luxury watches, jewelry and gems.
It is not hard to imagine why luxury watches have ranked so lofty in the Global Luxury Marketplace. The mystical revolutions of Jaeger Lecoultre’s Gyrotourbillon or Romaine Jerome’s watches, made in part from the very steel salvaged from the Titanic, among others, are truly “Investments of Passion.”