Classic Cars as Investments

Classic Cars as Investments

Classic cars as investments often out perform the usual stock market categories so are a great way to diversify your investment portfolio.  Becoming a member of époque helps further as the club invests and you get given shares in a growing curated collection of classics.

 

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Are classic vehicles a worthwhile investment?

In today's ever-evolving economic and geopolitical landscape, investors constantly seek to expand their portfolios beyond the conventional financial markets. 

This involves exploring alternative avenues for potential growth, such as art, fine wine, and classic cars. While these options may not be readily available to the average investor due to factors like cost and liquidity, classic car classes have always been a sought-after investment among both collectors and enthusiasts.  As with any form of investment, there are advantages and disadvantages associated with them; with époque, we invest with our experience and know-how in great classics so you can enjoy the benefits of any profits from those sales based on your number of shares.

For most people, there can be barriers to investing in classic cars.  These include a high initial cost, valuation considerations, and expenses for maintenance and storage. The acquisition of classic cars typically requires a significant upfront investment, as good models can fetch high five, six or seven-figure prices, making them unattainable for all but the wealthiest individuals.  

Even more attainable options from brands like BMW, Ford, and Jaguar can still come with a hefty price tag of tens of thousands of pounds. This makes investing in classic cars much less accessible compared to other markets such as stocks or bonds, where investors can start with smaller amounts of capital.   The club has the benefit for you as members that you only need to pay a simple membership fee and then the club does the hard work on your behalf.   

Maintaining classic cars involves regular expenses for upkeep and storage. The process of restoring and preserving these vehicles can be quite costly, requiring specific expertise and abilities. Additionally, it can be challenging to find the necessary parts and components for restoration and repairs, especially if the model has not been in production for decades. Thankfully our team has years of experience and our reach of experts in the industry is vast and growing to help ensure we can grow and maintain a desirable collection of classic cars that, as members, you can enjoy and benefit from.

Owning a classic car comes with obvious financial benefits due to its rarity, popularity, and resulting perceived value. These sought-after models, no longer in production for the most part and often scarce, tend to not only maintain their value but also appreciate over time. Take, for instance, the Jaguar E-Type - launched in 1961 with an average value of £45,000 in 2000 and now reaching the £140,000 range by 2023 - a remarkable appreciation of over 200%. Comparatively, during the same period, the FTSE 100 rose only by 24%. 

While this return is certainly eye watering and exciting, it is worth noting that rarer cars have the potential for even higher returns.  Although not an exceptional case, it exemplifies the impressive returns that classic cars can offer and époque can help you as a member to benefit from its own investments and experience.  

Purchasing classic cars can bring great satisfaction for both hobbyists and investors and each month you'll be able to benefit from that feeling with the unveiling of each 'Car of the Month' where you'll then be allocated your shares and, as a founding member, your signed print!

 

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Benefits of the club as the investor 

The great thing is with classic cars and joining époque, you don't need to be a sophisticated investor or have high volumes of money at risk.  The club does the investments and you simply benefit from any  sale of the cars based on your shareholding in each car at that time.   Your shares in each car is based on your level of membership allocations and any shares you've acquired through trading with fellow members.

To ensure you get the best experience, enjoyment and potential financial benefits when the club sells its cars, we source and handpick only the best classic cars for the club, unusual and iconic cars from the market place, some of which have been held in private collections for decades, others from dealers and auctions who we know and trust.    Everyone is picked based on its potential to appreciate and deliver great potential return on investment.

At époque club, we handle all aspects of storage, maintenance, and insurance so that you can fully enjoy the advantages of shared ownership without making large investments. These costs are already factored into the share price. Plus, our organised member events make it easy for you to access any of our cars

The most significant and potentially most lucrative gains can be found in the moderately-priced classics (around £15,000-£85,000), which époque is actively exploring. With a growing selection of cars in this range, there are excellent opportunities to acquire vehicles that may need some restoration or are already in pristine condition. These treasures are precisely what our team is seeking to expand our carefully curated collection of classic cars.

Savvy Investors diversify

Incorporating classic cars into an investment portfolio can offer diversification for your investment strategy.  By devoting some funds to tangible assets like these classics through your membership in époque, you can mitigate the impact of market fluctuations in other conventional asset categories such as the stock market. 

The huge opportunity now is that your membership can be from as little as £39 per month up to £999 per month.  These modest amounts can offer you the chance to benefit from the clubs investments in a growing curated classic car collection with our free allocation of shares in each 'Car of the Month'.  When the club sells one of the collection, you'll receive your share of the sale based on your shares held in each car.

In addition to the financial perks and diversification advantages, investing in classic cars also provides non-monetary benefits to you as members of the club. Since these vehicles are tangible assets, they can bring you enjoyment through driving as well as growing knowledge from our webinars which you'll be able to take part in as a member of the club.  Even better, this is for all of the cars the club owns, not just one!.  

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If you've any questions about the club and becoming a member or would like to offer your advice or support to the sign up, please get in touch.

 

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