Dramatic price increase of rare violins attracts more investors
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
© Stradivari Invest 2008
Over the
past two three years the demand for the finest stringed instruments,
especially those made by the two supreme violin makers Antonio
Stradivari and Giuseppe Guarneri del Gesù,
has increased dramatically to the level never seen before. Consequently
the prices of these finest instruments are soaring and are destined to
dramatically increase even more. This unprecedented development makes
investments in outstanding antique violins even more sought-after
wealth preserving and wealth-increasing niche then at any time before.
The development of the market during the last decade and especially in 2006 makes investment in rare stringed instruments a niche that none of the serious investors can ignore. In the past six months the intensity of buying the finest instruments has been the most dramatic in the history of the field. During this short period there were sold more top fine violins then in the past four years.
Over the years investing in fine rare stringed instruments has proved to be a very safe, profitable and stable investment chosen by musicians, collectors and knowledgeable private and institutional investors alike. The rare stringed instruments have not only steadily increased in value over decades, but their value has never decreased.
Most of the rare stringed instruments have been in active use by distinguished musicians for centuries because they have been absolutely essential to their careers. This unique “functionality” factor makes the rare stringed instruments a very distinctive asset unlike any other commodity or stock and further increases the demand and the value of these precious instruments.
The increasing pressure on the limited number of remaining antique violins on the market has been influenced by extensive purchases of wealthy Russians during the last few months. Wealthy individuals and institutions from every part of the word purchase the top instruments for their collections. The buyers are mostly from the USA, Europe, Russia and Japan and increasingly from Korea and Taiwan.
Taiwanese Chi Mei Foundation announced last year its intention to invest up to 500 million US dollars within the next two years into the antique Italian violins. This alone will very significantly augment the high pressure on the already finite number of fine instruments on the market and increase dramatically their value.
The growing wealth of China and the incredible number of Chinese violinists will undoubtedly have a significant influence on the development of the international violin market as well. Once the Chinese begin acquiring precious rare instruments, the prices will increase even more dramatically.
Not only the increased demand in the finest stringed instruments will augment their value. The supply of the top antique stringed instruments is unquestionably finite. There are only around 650 surviving instruments made by Antonio Stradivari and only around 135 violins and only one cello made by Giuseppe Guarneri del Gesù.
Some of these surviving exquisite instruments have been irreparably damaged, others were stolen. Additionally many of the superb instruments have been purchased by museums and institutional investors. It is very unlikely these instruments will return to the market in the foreseeable future. The number of the instruments remaining on the market is thus increasingly diminishing.
If you take into consideration all these facts, it becomes evident that the prices for the rare stringed instruments available on the market will be pushed into the stratosphere. The top species of the finest antique instruments has been recently sold for between 2-6 million US dollars.
The average annual value increase for the rare stringed instruments has been for years between 10-15%. With the latest dramatic development on the market in mind, we can expect the gains on investments in the finest stringed instruments to become a great deal higher.
Investing in rare stringed instruments is an alternative asset class that provides superior long-term returns and diversification benefits for investors due to its low correlation with other investments.
It offer investors a unique combination of low risk, low maintenance and low administration cost with high financial gains. The investors also enjoy exclusive non-financial gains and privileges.
Successful investment in the finest rare stringed instruments requires a very specialized knowledge and that is why only a small group of knowledgeable people has been able to take advantage of this lucrative and safe investment niche.
At Stradivari Invest®, with our global network of partners, top experts and specialists, we are in a unique position to help you to make successful and safe investments in rare stringed instruments.
The development of the market during the last decade and especially in 2006 makes investment in rare stringed instruments a niche that none of the serious investors can ignore. In the past six months the intensity of buying the finest instruments has been the most dramatic in the history of the field. During this short period there were sold more top fine violins then in the past four years.
Over the years investing in fine rare stringed instruments has proved to be a very safe, profitable and stable investment chosen by musicians, collectors and knowledgeable private and institutional investors alike. The rare stringed instruments have not only steadily increased in value over decades, but their value has never decreased.
Most of the rare stringed instruments have been in active use by distinguished musicians for centuries because they have been absolutely essential to their careers. This unique “functionality” factor makes the rare stringed instruments a very distinctive asset unlike any other commodity or stock and further increases the demand and the value of these precious instruments.
The increasing pressure on the limited number of remaining antique violins on the market has been influenced by extensive purchases of wealthy Russians during the last few months. Wealthy individuals and institutions from every part of the word purchase the top instruments for their collections. The buyers are mostly from the USA, Europe, Russia and Japan and increasingly from Korea and Taiwan.
Taiwanese Chi Mei Foundation announced last year its intention to invest up to 500 million US dollars within the next two years into the antique Italian violins. This alone will very significantly augment the high pressure on the already finite number of fine instruments on the market and increase dramatically their value.
The growing wealth of China and the incredible number of Chinese violinists will undoubtedly have a significant influence on the development of the international violin market as well. Once the Chinese begin acquiring precious rare instruments, the prices will increase even more dramatically.
Not only the increased demand in the finest stringed instruments will augment their value. The supply of the top antique stringed instruments is unquestionably finite. There are only around 650 surviving instruments made by Antonio Stradivari and only around 135 violins and only one cello made by Giuseppe Guarneri del Gesù.
Some of these surviving exquisite instruments have been irreparably damaged, others were stolen. Additionally many of the superb instruments have been purchased by museums and institutional investors. It is very unlikely these instruments will return to the market in the foreseeable future. The number of the instruments remaining on the market is thus increasingly diminishing.
If you take into consideration all these facts, it becomes evident that the prices for the rare stringed instruments available on the market will be pushed into the stratosphere. The top species of the finest antique instruments has been recently sold for between 2-6 million US dollars.
The average annual value increase for the rare stringed instruments has been for years between 10-15%. With the latest dramatic development on the market in mind, we can expect the gains on investments in the finest stringed instruments to become a great deal higher.
Investing in rare stringed instruments is an alternative asset class that provides superior long-term returns and diversification benefits for investors due to its low correlation with other investments.
It offer investors a unique combination of low risk, low maintenance and low administration cost with high financial gains. The investors also enjoy exclusive non-financial gains and privileges.
Successful investment in the finest rare stringed instruments requires a very specialized knowledge and that is why only a small group of knowledgeable people has been able to take advantage of this lucrative and safe investment niche.
At Stradivari Invest®, with our global network of partners, top experts and specialists, we are in a unique position to help you to make successful and safe investments in rare stringed instruments.
| Instrument: | Sold for (US dollars): |
| Dolphin Stradivari violin of 1714 | $5,500,000 |
| Bass of Spain Stradivari cello of 1713 | $5,000,000 |
| Hausmann Stradivari cello of 1724 | $4,500,000 |
| DeMunck Stradivari cello of 1730 | $5,000,000 |
| Ries Stradivari violin of 1699 | $3,500,000 |
| The Maiden Stradivari violin of 1708 | $5,500,000 |
| General Kyd Stradivari violin of 1714 | $5,500,000 |
| La Pucelle Stradivari violin of 1709 | $6,000,000 |
| Hammer Stradivari violin of 1707 | $3,544,000 |
| Lord Wilton Guarneri del Gesù violin of 1742 | $6,000,000 |
| King Joseph Guarneri del Gesù violin of 1737 | $6,000,000 |
| Carrodus Guarneri del Gesù violin of 1743 | $4,500,000 |
| Kemp Guarneri del Gesù violin of 1738 | $6,000,000 |
| Paganini Josephus filius Andrea Guarneri violin of 1696 | $1,000,000 |
| Matteo Goffriller cello | $1,500,000 |
| Sleaping Beauty Domenico Montagnana cello | $3,000,000 |
Some of the top instruments recently sold on the market:
| Irish Burgundy Stradivari of 1693 |
| Lady Harmsworth Stradivari violin of 1703 |
| Venus Stradivari violin of 1727 |
| Lady Tennant Stradivari violin of 1699 |
| Kubelic Stradivari violin of 1687 |
| Roseheim Stradivari violin of 1685 |
| Rode Stradivari violin of 1716 |
| Wirth Stradivari violin of 1713 |
| Rivaz Stradivari violin of 1707 |
| Red Diamond Stradivari violin of 1732 |
| Da Vinci Stradivari violin of 1712 |
| Firebird Stradivari violin of 1719 |
| Bagshaw Stradivari violin of 1708 |
| Earl Spencer Stradivari violin of 1723 |
| Fountaine Guarneri del Gesù violin of 1738 |
| Teja Ferni Guarneri del Gesù violin of 1736 |
| Jarnovic Guarneri del Gesù violin of 1741 |
| Bolokovic Guarneri del Gesù violin of 1741 |
| Marquis Doria Guarneri del Gesù violin of 1734 |
Some of the top instruments sold in the last 6 months of 2006: