Dividends and Car Collectibles

Some of the people the author works with study cars – models, engines, designs, and the different models from each major market of Europe, Asia and North America. From a listener point of view, it sounds like the people spend a great deal of time on cars. It is not surprising in an era of more very wealthy people, some models of cars are setting new records for collectors. Recently a 1963 Ferrari 250 GTO sold for over $50 million dollars. For most of us, we would do considerable research into buying a vehicle for less than $30,000; 50 million is a very significant number. Not every Ferrari is going to sell for millions, but it seems some years do better than others. For the 1963 model only 39 were built and it had the ability to do racing and to drive around town. Although for most of us, after we drive a new car home, for the first little while, we worry about minor dents, scratches, or even dirt on the car. One wonders what the owner of a $ 50 million dollar car would worry about and if he (likely buyer is a male) drove the car.

Linking to dividend paying stocks, similar to everything in life, many things are collectibles and accumulate in value. By narrowing down your field to your interests, there is value in collecting. Not everything will do as well as owning an old Ferrari, but remember the story of e-bay where one of the first items sold was a candy (Pez) holder. With collecting, the key is collect something you are interested in and you will find the limited market who you can sell to. Your collectibles may strike it rich or you may just have fun collecting. One sure way to strike it rich is to buy profitable stocks than pay dividends and over the years – the dividends plus the capital gains will make you richer.

There are more questions than answers, till the next time – to raising questions

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