With inflation soaring in the UK and throughout the western world (and beyond), well-heeled investors are increasingly turning towards classic vehicles as a ‘safe’ choice during these uncertain times. That’s the view of Silverstone Auctions, taking its findings from the latest Knight Frank Wealth Report, which suggests that classic cars are outperforming many other forms of investment.
As an alternative to traditional investment options like gold, gem stones, fine art and even rare wines, high-end classics are in particular demand at present, a trend that’s set to continue according to a statement by Silverstone Auctions.
The auction house suggests that a headline inflation figure of around 10 per cent will “motivate investors to look at alternatives”. Stocks and shares are seen as risky by many due to current global political issues, artwork is too long-term a strategy for some investors, and there are suggestions that the property market is due a correction: “So, it has to be classic cars and classic bikes, with the additional pleasure that you can ride and drive them.”
The 2022 Knight Frank Wealth Report takes a slightly more cautious approach, quoting market expert Dietrich Hatlapa of Historic Automobile Group International (HAGI). Hatlapa suggests that his company’s main index – the HAGI Top – rose by three per cent in 2021, a figure that was “well below the long-term annual average”. He reported, however, that some sectors pe
