Antiques can be valuable additions to homes beyond boosting an owner's pride about decor. They can also translate into a good investment. Munchi and Dinsha Shroff are owners and founders of antique stores including the Royal Treasures Gallery in Dubai and the Ancestry in Mumbai. Here, Munchi Shroff talks about how people can try to maximise the return on an investment in antiques.
Why might antiques be a good investment?
With the stock markets' volatility and the real estate crash, many investment advisers are shifting towards alternative investments such as antiques in order to diversify their investment portfolio. Because of this, we have seen a surge in both prices and interest in good antique pieces … The record for a single piece sold at auction was recently shattered a couple of months ago when a 17th-century carpet sold for nearly $10 million [Dh36.7m) at Christie's in London.
Is there a method to this form of investment?
Before you buy a piece it's important to consult someone with knowledge or buy from a reputed antique dealer who will advise you about the investment point of view. Also, to sell, you must find out the right value of that piece in the market at that point, again, from someone knowledgeable.
Are antiques of any particular type, or from a certain period or region, hot right now?
In the end, the antiques a buyer likes depends on his or her taste. Currently, Chinese and Japanese antiques of [the late Qing Dynasty and Meiji period, respectively,] are very popular with some of our clients, thus there has been a lot of demand for these. Our favourite type of antiques is crystal, that being Osler. We showcase between 20 to 30 Osler chandeliers at one time.
How do you get the maximum return on investment in antiques?
Buy the right piece from the right source and sell at the right time… Inspect your piece before you buy. Pieces which have not been modified in any form are worth much more than those which have had to have some form of repair. If any repair has been done, you should be informed. I would not advise to stay away from anything, but be careful in handling delicate antiques - they need care and attention.
Is this type of investment for everybody, including not-so-adventurous investors?
Yes, if you have the taste for these beautiful items, then you enjoy your investment while you have it. If not, you enjoy the returns you get on it with time. You can start buying small. Pieces even for $200 or less can be delicate and pretty for your home. Once you build up your knowledge, your trust for an adviser as well as distinguishing your strategy, then you can begin to invest in pieces worth [more].
* Sananda Sahoo
