Dow Jones’s EFinancialNews.com has a story on luxury consumption and emerging markets buyers. By far the demand for jets, yachts and wine is coming from the newly rich regions. The art market is also following this trend:
the art market is benefitting from surging interest from the emerging world, and continued strong demand from the developed world. Ninety-seven per cent of Asian buyers and 100% of African HNWIs increased or maintained their spending on art and collectables since 2006, compared with 82% of Europeans and two-thirds of North Americans.
Because art purchases tend not to have the visibility of other luxury assets, we cannot know–but have to assume–that the buying patterns are similar:
the newly-monied do not want just any old private jets and yachts. Private bankers say the wave of emerging markets consumers have a competitive streak and when it comes to executive transport, big is beautiful.
“The (emerging markets buyers) are buying the newer, bigger, better jets. These, of course, have a higher ticket price.” said Mary Schwartz, head of Aircraft Finance at Citi Private Bank.
Austerity? Not inEmerging Markets (Financial News)