After accumulating money, many people tend to change their buying habits to more high end stores. In the large cities you can think about 5th Avenue, Magnificent Mile, Rodeo Drive and there are many others, but all in come you can spend lots of money on clothing and accessories.

In an article by Mimosa Spencer of Reuters, one of the largest luxury goods group LVMH who’s stable includes Louis Vuitton, Dior and Tiffany, sales worldwide were $35 billion in the final 3 months of 2023. The growth of 10% was just ahead of analysts’ expectation of 9%.

LVMH CEO Bernard Arnault said the highest end products are those that have the highest demand in the world. Mr. Arnault believed the trend was going to continue in 2024.

Spending in China has increased and business at Louis Vuitton from high end Chinese spenders in Europe reached 70% of the level generated in 2019, before the pandemic.

Spending by Americans and Europeans remains subdued, partially offset by Chinese tourists to Europe. Analysts expect sales to increase 5% this year.

Linking to dividend paying stocks, when your dividends have increased to the point where you can buy high end goods, you will likely be a customer for life. The dividends come to you on a monthly or quarterly basis and through any downturn the economy may or may not go through. With your dividends you can spend, reinvest or do whatever you wish, knowing the next quarter is only 3 months away.

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