Only registred members can create thier own customized alerts.
The popularity of investing in rare stamps continues to grow
“4 times profit. It’s better than the stock market.” - Bill Gross, New York Times, 2007
My name is Mike Hall. I’m the Chief Executive of Stanley Gibbons plc and I want to share a unique investment opportunity with you... one that, amongst others, billionaire fund manager Bill Gross has used successfully to diversify and grow his wealth...
Have you ever looked for an investment opportunity that will guarantee your capital for the term of your investment* to remove your risk?
That also:
· Shows a strong and stable track record of performance?
· Historically, has not been impacted by the vagaries of the economy?
· Provides diversification, preferably into a safe tangible asset?
· Provides a strong potential hedge against inflation (that has
actually performed best in times of high inflation)?
· Can be internationally traded to avoid exchange rate risks?
If so, I can offer you an investment opportunity that addressees all of those points and more. It is a tangible asset – issued by the British government – with a value embedded in history. It is an asset which delivered average 13% compound annual growth rates over the last 10 years† – and we expect it to continue in this vein.
It has been used by a select group of the ultra-rich to grow and protect their wealth for decades. And now, there’s a way for you to enter into this historically profitable market, whilst making sure your capital is 100% guaranteed.
This investment was first issued by the British Government under Queen Victoria in 1840.
Since then, it has been used as legal tender at various times in countries around the world, including France, the United States, and Russia.
This investment is steeped in history, but can it make you money today?
Well, it certainly did for Bill Gross, perhaps the most successful bond investor of his generation. He runs the £280 billion Pimco Fund investment group, which has over half of America’s 100 largest corporations as clients.
He has also written publicly about how this investment is one of his favourite assets. In fact, the New York Times wrote an article recently detailing how he has one of the largest portfolios of this asset in the entire world.
American billionaire Bill Gross sold £5m worth of this asset at an auction in New York recently.
“It’s beyond my expectations, it’s four times profit. It’s better than the stock market.”
Why are important investors interested in owning this asset?
Well, for one, the returns it has provided in the past have been phenomenal in many cases. The index tracking this investment increased by 38.6% in 2008 amidst a global credit crunch and the compound 10-year return of the index since 31 December 1998 is 245.2%. This equates to an average annual compound return of 13.2% over a 10-year period.
The New York Times reported that this class of investment “yields a higher return when the stock market does poorly.”
The International Herald Tribune, Investors Chronicle and Barron’s have also featured it.
So what is this asset – and how can you take advantage of it right now?
As you probably suspect, this is quite an unusual asset class. It has nothing to do with stocks, bonds, mutual funds, gold, silver, commodities, or any other regular investment vehicle. It’s not widely advertised or written about either.
Behind this extraordinary opportunity is a man named Edward Stanley Gibbons. In short, Stanley Gibbons started a business back in 1856 selling one of the most prized classes of collectibles:
Rare stamps
Located in the heart of London at 399 Strand, Stanley Gibbons houses a collection of more than 3 million precious stamps. It’s no wonder that we’re known the world over as the number one brand name in stamp collecting – and have been for over 150 years.
As the market leader, we are able to acquire and invest in the finest grade stamps on behalf of more than 200,000 clients around the world.
The reason we’ve been so successful? Our steadfast adherence to quality and integrity.
All our stamps and consequently, our investments, come with a full lifetime guarantee of authenticity.
Let me show you why stamps could possibly make you considerable gains over the next few years...
Over the last few decades, many investors seeking alternatives to high-risk stocks and the cyclical property market have looked to rare stamps.
The popularity of investing in rare stamps continues to grow, with IFA and financial journalist Nigel Bolitho commenting: “Since it was launched, I have sold more Great Britain rare stamp portfolios to my clients than equity sum capital growth ISAs.”
Rare stamps are rated among the top-performing investments of the 20th century, ahead of bonds and foreign exchange... with average returns of 10% a year, according to Salomon Brothers.
That’s the kind of return that doubles your money every 5 to 7 years.
Just take a look at how they have performed in recent years compared to other investment vehicles, including the stock market:
The GB 30 Rarities index as quoted on Bloomberg Professional®.
The GB 30 Rarities Index provides a snapshot of the rare stamp market. It lists Great Britain rare stamps available on the open market, and gives an estimate of the market for scarce items.
Stamps included in the index represent examples of the type of classic material recommended by Stanley Gibbons for investment purposes. Such stamps are the most likely to show consistent returns over the medium to long term, as demand from collectors exceeds what is often a scarce supply (although, of course, as with any investment, the value of stamps can go down as well as up).
The prices quoted are from Stanley Gibbons official published catalogues, which represent the selling price of Stanley Gibbons Limited at the time of publication and are an expert estimate of market value.2
The GB 30 Rarities Index increased by 38.6% in 2008 amidst a global credit crunch and a backdrop of world economic gloom. The compound 10-year return of the index since 31 December 1998 is 245.2%. This equates to an average annual compound return of 13.2% over a 10-year period.
Rare stamps have historically been the most profitable during periods of high inflation. The last period of high inflation was in the 1970s, when prices of everything from food to petroleum skyrocketed.
Right now, the global economy is at risk of heading into another period of price inflation. As a recent Financial Times report put it: “For the first time since the early 1970s... [inflation] is starting to concern stable nations as well.”
That’s why I believe stamps could be at the beginning of another big boom. Here is a sample of rare British Stamps sold by Stanley Gibbons. This is a genuine investment portfolio which you could own at going to press and shows the selling prices of the stamps in 1999 and the Stanley Gibbons market estimate in 2009 (all these stamps have sold at full catalogue value or more within the last two years).
Notice how every single one of them has at least doubled or tripled in value over the last few years.
Why are rare stamps such a solid investment vehicle?
Investing in rare stamps can offer you the opportunity to achieve true wealth diversification.
Current times have illustrated more than ever the importance of not having all your eggs in one basket. As we have seen, when things are really bad, traditional investment mechanisms can often fail.
Rare stamps show no correlation with other asset classes such as shares, bonds and property. We are living through the proof of this fact right now - rare stamps have continued to rise in value during the current recession.
Most markets are driven by the human emotions of fear and greed in a cyclical manner. On the whole, passion drives the collectibles market...
I see first hand every day collectors avidly chasing the stamps they need, to fill the gaps in their collection.
Historically, this passion has protected the value of your investment from panic-fuelled volatility.
Many investors shun the concept of investing in rare stamps on the assumption that there is an inherent lack of liquidity. However... stamps are the most collected items in the world and curiously are the most valuable commodity on earth by weight.
A Universal Postal Union (UPU) survey in 2004 indicated that the stamp market is worth around £6 billion per annum with almost 50 million collectors worldwide.
As reported by Financial Adviser magazine “the market for rare stamps has all the ingredients of a strong investment – diminishing supply, increasing demand and, essentially, low correlation with other asset classes.”
It is important to note at this stage that very few stamps are worthy of investment. Only rare stamps in the right “condition” qualify.
Stamps are a perishable commodity and supply diminishes due to accidents, donations to museums and items tied up in long-term collections.
And demand is rising too...
Stamp collecting is growing rapidly in Russia, India and China. There are approximately 18 million Chinese collectors currently, and even though only a small percentage will be interested in rare stamps, the hobby itself continues to grow as these emerging markets grow.
There are also distinct tax benefits from investing in rare stamps. They represent a tangible asset with returns treated as a capital gain not income, providing more scope for tax planning and benefiting from the low current maximum tax rate in the UK of 18%.
There is one key barrier to prevent investors from making strong returns out of the rare stamp market. That is, the trading spreads you would pay if you went it alone, buying from other stamp dealers or through auction.
What we do is reduce this trading spread for you. We act as a “market maker” rather than “trader” ensuring you can fully benefit from the returns available.
The most important aspect of what we offer is quality. We only sell rare stamps in the “right” condition to provide a chance for premium returns...
I must stress that subscriptions are limited to our investment products, due to the rarity of material. So if you are interested, do contact us as soon as possible.
“Thank you for the updated valuation of my portfolio. Very nice gains for an almost no-risk investment! If I also factor in the rise of the GBP vs USD, the total gains are about 48% for a two year holding period... You can be sure that I will share my results and recommendation with friends and family. Thanks for your meticulous attention!” - VS, Colorado, USA
“I can’t remember a time when I have enjoyed spending £100,000 quite so much!! This investment could well be the first of many! I am already thinking of building up a small portfolio for my granddaughter and my two daughters.” - NS, United Kingdom
Interested?
Call us today on +44 (0)20 7557 4430
or email investment@stanleygibbons.co.uk
Our investment advisers will be delighted to provide you with a free, no obligation and personal consultation.
We look forward to building a long and mutually successful relationship with you.
Sincerely,
Mike Hall
Chief Executive
The Stanley Gibbons Group plc
PS. Don’t forget, your investment comes with a lifetime guarantee of authenticity from Stanley Gibbons, the most respected brand name in rare stamps.
Notes: 1 Selling prices as listed in Stanley Gibbons catalogues and are expert estimates of the market; catalogues are available from all good bookshops. 2 In a particular year of publication of a Stanley Gibbons catalogue, realizations at auction for listed stamps maybe both higher or lower than the value published. 3 Your Capital Protected Growth Plan portfolio may include stamps listed in the GB30 Rarities Index, but also other rare stamps recommended as investment grade by The Stanley Gibbons Group plc.
* 5 years
† according to the GB30 Rarities Index as listed on Bloomberg Professional ®
