Coutts Passion Index 2019 | Insights

Key Takeaways

Coutts Passion Index was up by 0.1% in 2018 and 2.8% in 2017. Since the index began in 2005, passion assets have risen by 90.4%, at an average of 5.1% per year. However, returns can be very volatile – for example, the index rose 23.1% in 2007 before falling by -1.5% in 2008. 

In addition, categories within the index can have very variable returns. In 2018, Classic Watches was the best performing category, rising by 20.0% while the worst performing category, Jewellery, fell by -18.3%. Over the life of the index, Classic Cars have yielded the best return at 245.8%. Old Master and 19th Century art, on the other hand, has fallen by -31.6%.

We urge our clients to buy passion assets for the joy they bring rather than as potential investments. A diversified portfolio of conventional investment assets will deliver a more reliable return, providing a sound foundation from which to enjoy the finer things in life.