The world's gone bonkers

You may have seen that Moody's downgraded 13 Spanish banks on Thursday.

The effect on stock markets was immediate, with the headline "Markets rocked by fears crisis is slipping out of control", running in the UK's Daily Mail newspaper on Friday morning.

But did you know that investors withdrew €1.4bn from Greek banks in just two days earlier this week?

It begs the question "Where is the money going?"

In the olden days it would go under the mattress at home. These days it's more likely to be stored in tangible assets like unique pieces of memorabilia, wine, or art.

There's a great example at Bonhams auction house in London this coming Wednesday night, where a bottle-top tapestry from an obscure Ghanaian artist will appear with an £800,000 ($1.3m) estimate.

Has the world gone bonkers?

Yes and no.

Yes - £800,000 is an astonishing sum for a bottle top artwork by an artist who is relatively unknown to the majority of the art loving public.

No - Tangible assets such as collectibles can be truly powerful investments, especially in these frightening economic times when values of theoretical investments such as stocks can plummet overnight.

• According to the PFC40 Autograph Index rare autographs are up 14.84% pa since 2000 - and still rising.
• Rare stamp indices state that the most collectible British stamps are up 10.8% pa since 1998.
• Music memorabilia is smashing estimates - Michael Jackson's Thriller jacket sold for $1.8m in 2011.

Collectors and investors are paying world record amounts for the rarest collectibles. Many I have spoken to see the market as a safe haven, a way of storing wealth when the financial markets are so unpredictable.

In my opinion this has led to some inconsistencies in the value of top-end collectibles. Whereas a bottle-top tapestry can carry an auction estimate of £800,000, a 500-year-old document signed by Henry VIII can be obtained for a 10^th of the price. That represents incredible value, and an enormous upside.

Ask yourself: Which is the most historically important? Which will stand the test of time?

An investment in these undervalued items will surely yield a good return when the markets calm down and prices are realigned.

We're so confident that there are a few key markets that are now undervalued, we're offering what has been described as "the best guarantee in the collectibles world".

The best guarantee in the collectibles world…

How does it work?

• The guarantee applies to a handful of world class collectibles pre-selected by our experts, including myself. That's 250 years experience working on your behalf sourcing quality items.
• Invest in one of these carefully selected items and you will qualify for our 120% Guarantee
• Enjoy the incredible pleasure of ownership - add your name to the provenance of the piece for evermore, leave your mark on history.
• After a 5 year holding period you have 3 options:
  
  
  1. You can keep the item. It may have increased in value, you may have already sold at a profit, you may have fallen in love with owning history and decided to hold for the long term.
  
  
  2. You can return the item in exchange for another world class collectible valued at 120% of your original investment.
  
  
  3. You can instruct us to auction the item on your behalf with 0% commission, meaning you pocket 100% of the sale proceeds.
• We will even store your world class collectible free of charge for the duration of your investment.

How will you invest?

With a worst case scenario that your investment will grow by 20% in five years, you are in a strong position.

Charlie Chaplin autographs grew by 11.03% pa in value between 2000 and 2011. Buy this superb example today for £4,500 ($7,115) and we think you're on to a winner.

And if in five years' time you find you're not? We will swap it for an item worth £5,400 ($8,340).

Or perhaps this stunning Madonna-worn basque is for you? Her memorabilia is up 8.82% in value since 2000 - we recently sold a pair of jeans Madonna wore for the True Blue album cover photo shoot for £18,000. Buy this basque today for £15,000 and in 5 years time you can exchange it for an item valued at £18,000. A 20% gain.

Or this Fidel Castro and Che Guevara pre-revolution signed flag? An incredible piece of world history. We expect Cuban history to soar in value in the next 10 years, as Russian and Chinese items have done so in the last 10 years. I'll go on record now: one day this will be a $1m item, and museum bound. Yet today it's available at £100,000 ($160,000). You have the opportunity to hold it for 5 years and then swap for an item at £120,000.

We are also holding in stock the rarest and most valuable stamp of Hong Kong. The Chinese love of postage stamps is well documented and the price of a simple Chinese Monkey stamp is up 186% in the past 2 years. 

You can click here to see for yourself.

A lot of clever money is ploughing into stamps from the Far East. There is even talk of an investment fund being set up.

If you are a regular reader of our newsletters you'll know that collectibles have the potential to make you serious money.

But we should, of course, always consider the risks involved.

You may have that nagging doubt, imbedded in investment material the world over: "Prices can go down as well as up. Past performance is not necessarily a guide to future performance."

It's true. And as a serious stock market investor I know that as well as anyone.

What I'm putting forward to you today is my personal guarantee.

Of all my investments over the years none have shown the consistent growth that world class collectibles offer.

It's why I'm so confident in their future and why I'm happy to offer a 120% Guarantee on truly world class examples.

Next steps

I'm sure you'll have many questions. We would be delighted to hear from you.

For more information email info@paulfrasercollectibles.com or call us on +44 (0) 117 933 9500.

Or click the button below and we'll call you back.

P.S. You can view all the superb historical items that qualify for our 120% Guarantee here

Disclosure

Collectibles, including, but not limited to, wine, coins, classic cars, art, autographs and postage stamps are not designated investments for the purposes of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 and as such are not subject to regulation by the Financial Services Authority (FSA) or otherwise.

We believe that the purchase of investment grade Collectibles should be both enjoyable and profitable, but like any traded commodity there are risks and past performance is not a guarantee of future results.

If in doubt we recommend you consult with a tax expert or financial advisor for clarification.