You are always looking for the finer things in life, good wine, rare art, beautiful houses, and undoubtedly luxury watches. Whether or not you are considering spending your money (often thousands of dollars) on a luxury watch as an investment, consider the following.

NOTE TO INVESTOR: Any investment should be made with money you can afford to lose, never invest your rent or grocery money waiting for a big payday; Invest with your head, not your emotions.

If you are a beginning collector, take the time to study the market, learn all you can, and develop a demanding eye. When you can learn to look at the brand, see the quality (or lack) of studying the mechanisms, exhausts, dials, bands and bezels, you will begin to have a true collector’s eye.

Depending on your budget (and taste), many collectors advise buying a smaller number of more expensive and exclusive pieces, rather than a quantity of the less valuable and aesthetic ones.

VALUE: Most watches (like fine cars) lose value once they leave the front door of the store. A collector (particularly one with an investment view) will look for models that will retain (or increase) in value over time.

TIP: When you decide to invest money in watches, choose old or rare pieces.

Like the stock market, the world of watches can also be speculative and often volatile. Between 2004 and 2008, vintage clocks skyrocketed and it seemed like anyone could come back quickly. That bubble burst (most of them eventually do) and many high-priced pieces fell as much as 50% or more. It’s all a matter of time (as is most financial stuff) and world-famous auction house Christie’s reports that the mood is picking up, with many wealthy customers pouring their money into watches, rather than the market.

SUCCESS STORY: A 1942 Patek Phillipe sold for $ 2.77 million at auction, nearly doubling its purchase price.

Enter in the market

Any investment, be it in the stock market, real estate or watches, requires discretionary funds, however that does not mean that only the rich can invest, there are opportunities for lower prices for those with a good eye.

PROVEN WINNERS:

Pateks from the 1940s and 1950s (known for attention to detail and unusual design

Limited edition Audemars Piguet, Breguet, A. Lange & Sohne, Vacheron Constantin

Independents like FP Journe, Greubel and Richard Mille

The end of days

Riding on the coattails of fame, Audemars Piguet’s “The End of Days,” produced in conjunction with the Arnold Schwarzenegger-starring “End of Days,” retailed for approximately $ 14,000 in 1999; one recently sold for $ 85,000

Assuming you find a luxury of value, how long should you wait until you sell it? While times and the market fluctuate, a good rule of thumb is 20 years. During that time, you can (if you wish) use your investment or keep it safe in a safe deposit box.

When you buy a luxury watch, you are buying something beautiful, handcrafted, and historic. Certainly the piece will always have the intrinsic value of its gold, silver or jewels, but it is the sum total of these elements, the watch itself that advances in the sand of time that gives it true value. It is certainly a time piece, but it is also a treasure that is timeless.

The Swiss Watchmaking Institute has two watchmaking schools, one based in the US and one based in Hong Kong, which offer training courses for students who wish to become a certified Swiss watchmaker or cabinetmaker technician. . If you are interested in fine watches and want to consider a career as a certified Swiss watchmaker, this is the preferred location, due to the passing of your courses as part of WOSTEP.