Rich people who shopped too much used to be called collectors. Now they — and those belonging merely to the aspirational class — are all investors.
It’s not just that they’ve spent the last year splurging on stakes in untested, newly formed public companies that have yet to produce products, much less profits.It’s that during the pandemic, seemingly every luxury acquisition has become a so-called alternative asset class.
Rather than elbowing past each other for reservations at the latest restaurants from Marcus Samuelsson and Jean-Georges Vongerichten, or getting into bidding wars for apartments at 740 Park Avenue, they are one-upping each other in online auctions for jewelry, watches, furniture, sports cards, vintage cars, limited-edition Nikes and crypto art.
growing wealth inequality.
sold on the secondary market in 2020 for $30,000 are now going for upward of $50,000 on some resale sites. The Nautilus 5980, a rose gold chronograph sports watch from Patek Philippe that has a retail price of $85,000, can seldom be found on 47th Street for much less than $200,000.
One reason for surging prices, according to Benjamin Clymer, the editor of the watch site Hodinkee, is that “Switzerland shut down, so demand was there while the supply was dramatically reduced.”
had sold shortly before the pandemic through the auction site Bring a Trailer (or BaT, as it’s known) for $560,000 but Mr. Clymer figured it might be a buyer’s market. Perhaps he could get it for less.
He found a beauty from a dealership that hadn’t listed the price on its website. It was in mint condition. Mr. Clymer asked for a quote and nearly fainted upon hearing the answer: $1.2 million.
“I said, ‘You’re crazy.’ Less than a month later it was sold.”
By Thanksgiving, auction houses were sending out news releases almost daily touting their record-breaking sales.
sold in October 2020 for $23,750 through the Chicago auction house Wright. A Mesa coffee table by T.H. Robsjohn Gibbings, a British architect whose name is barely known outside of the furniture world, brought in $237,500 in December; the overall result of the sale was $2.5 million, roughly double what the house did at the same sale a year before.
In February, a digital artwork of Donald Trump facedown in the grass, covered in words like “loser,” sold for $6.6 million, a record for a nonfungible token, or NFT, so called because there’s no physical piece for the buyer to take possession of.
Fittingly, the image was paid for in Ethereum, a form of cryptocurrency that, among millennials, is almost as well known as bitcoin. Two weeks later, Christie’s sold another NFT by Beeple, this time for $69 million.
sold through PWCC Marketplace for $5.2 million. In March, Goldin Auctions, a sports collectible site, held its annual winter auction. “We grossed $45 million,” said Ken Goldin, the founder and C.E.O. “Last year, it was $4.7 million.”
One of Mr. Goldin’s repeat customers is Clement Kwan, the former president of Yoox Net-a-Porter and a founder of Beboe, an upscale line of cannabis vaporizers and edible pastilles that The New York Times has called “the Hermès of Marijuana.”
along with her sisters Dakota and Dresden Peters, owns what some believe is the most valuable sneaker collection in the world — had her biggest sale in five years of being in business: a pair of autographed 1985 Air Jordans that fetched $275,000.
In 2019, the sisters sold 572 pairs of sneakers, at prices that began at $500, Ariana Peters said in an interview. In 2020, they sold 879.
Ms. Peters actually sounded somewhat surprised talking about all this, perhaps because she and her sisters only got into the business because their father, a retired real estate developer named Douglas Roy Peters, bought so many pairs of sneakers they were running out of places to put them.
sold one for $408,000.
Mr. Abouzeid doesn’t have that kind of money, but in a June 2020 “I.P.O.” from Valley Road, he purchased 125 “shares” of one at a price of $25 each.
vintage whiskey. But Johnson & Johnson and Jack Daniel’s don’t interest him.
His Merrill Lynch account contains shares of companies like Sarepta Therapeutics, a maker of precision genetic medicines that treat rare neuromuscular and central nervous system diseases. His fridge is filled with rare, vintage Kacho Fugetsu.
“When my parents saw them in my apartment, they got really worried,” he said. “They said, ‘Is there something we need to talk about?’ But I don’t even open them.”
Earlier this month, when rising interest rates sent high-flying tech stocks into a tailspin, Kacho Fugetsu provided what Mr. Moses called “the perfect hedge.”
Of course, he’s aware that the ascent of his whiskey collection also could come to an end, but that at least has an upside. “Then I’ll finally have an excuse to drink it,” he said.