After you have accumulated wealth, eventually you will spend some of it. Part of it is to carry on a lifestyle you enjoy, part of it is to consider giving to family members or your the charities that you support at a lower level. Now you can add zeros to those donations. Many people also buy what are considered luxury items, because they can and they know all things being reasonably equal they will have the same or similar income next year.

In an article by Dominique Patton of Reuters, the French based luxury giant LVMH had better sales in the second quarter as demand from affluent US shoppers helped offset weaker spending in Europe, where tourism has been hit by the Iran war.

Sales of brands such as Louis Vuitton, Dior and Moet & Chandon rose 3% to $31.3 billion broadly in line with what analysts were expecting according to Visible Alpha. (if you watch Formula One racing, the winners always open Moet & Chandon champagne when they win, just long enough for photographers to capture the moment).

In the US, sales were up 6%. The watches and jewelry division was the fastest growing division with sales up 11%.

Tiffany and Bulgari posted growth in the mid-teens as jewelry was favored more than soft luxury categories.

The fashion and leather goods division which generates the bulk of LVMH’s profit, was up 1% thanks to US consumers.A few years ago, the leaders in sales were the shops in China.

If you missed it, Taylor Swift’s wedding dress was designed by Dior.

European luxury brands have stepped up their focus on the US opening stores and staging fashion events.

The luxury brand business is a $400 billion sector and has emerged from a 2 year downturn.

Linking to dividend paying stocks, the idea is to accumulate wealth so you have many options. The option to retire and continue your lifestyle, the option to give money away and the option to buy the brands you want or always wanted to have. That is a good thing and dividend investing helps achieve that goal.

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