Lamborghini Production numbers, F1, and Rolex Investing
Numbers on the rise, Verstappen with a big win, and Rolex outperforming the S&P500
Lamborghini Production Numbers
Whilst chip shortages are ravaging the car world, Lamborghini came out with the production numbers for their popular SUV model - the Urus. During the first 9 months of 2020, they were able to produce 4,085 units. During the first 9 months of 2021, they were able to increase that number to 6,902. Currently, second-hand Urus’s are going for MSRP or in a lot of cases, over MSRP. However, with a lead time of “only” 12 months, and an increase in production, expect to see these start to come down in the future.
US Grand Prix
There is not much more exciting than the first lap of an F1 race - this race was no exception. With Max Verstappen starting in 1st and Lewis Hamilton in 2nd, we were guaranteed to see a battle. Hamilton got the better jump off the line, giving him inside position into the first turn - he was able to push Verstappen to the outside and secure 1st. Following the first lap, it was Hamilton being chased down by Redbull’s Verstappen and Perez.
Come lap 11, Verstappen moved off the hot tires and onto a hard compound tire. Hamilton did the same in lap 13. They both had great pits at 2.9 and 2.8 seconds, respectively. However, due to a few quick laps by Verstappen on the fresh hard compound, he was able to move ahead of Hamilton to take the lead.
From there until lap 30, we just saw a few battles in the middle of the pack, but the top 3 stayed calm. Verstappen took another quick pit in lap 30, Hamilton does the same in lap 38. Following Hamilton’s pit, the top 3 were still Verstappen, Hamilton, and Perez. Come lap 46 (10 laps to go), Verstappen held a 3.4 second lead over Hamilton. Hamilton, remember, is on 8 lap fresher tires, so with every lap, we saw that lead start to shrink. By lap 50 the lead has shrunk to 1.8 seconds. As Hamilton continues to get up close to Verstappen, Max begins to deal with traffic from drivers they are lapping. Their unwillingness to move over pulled Hamilton even closer - 1.1 seconds going into the final lap. Verstappen could be seen losing traction around corners, but due to his sheer grit was able to hang on to the lead and win the 2021 US Grand Prix. Hamilton in second with the fastest recorded lap of the day and Perez rounding out the top 3.
Here is a look at the standings:
Rolex or S&P500?
For many Americans, it is pretty standard - earn a paycheck, funnel money into the S&P500, forget about it for 30 years, then retire. Many others are looking for ways to capitalize on higher yields. What if I told you that due to demand, even in a bull market like we are experiencing now, appreciation of a Rolex can outperform an S&P500 index fund. A couple of examples are a 1999 submariner new was $2500, today’s value is upwards of $10k. During that time, the S&P500 has seen a roughly 210% increase, half of that of the Rolex. We see a similar trend with Daytonas as well. Price obviously is related to the condition of the watch, but if kept nice, can certainly outperform the market.
Something I have found awesome as I have acquired watches is the watch collection feature in Chrono24. Simply download the app, put in the watches you own, and the prices you bought them for. Chrono24 will then use market data to show you how much you have made (or lost) on your investments. They will also display a graph (as displayed below) to show the market trend for your watches. Such a cool feature for someone that enjoys tracking their net worth and includes their watches as an asset class.
What to look forward to:
Soon I plan on talking about how Tourbillon watch movements work
How you can own part of a luxury watch with the introduction of NFTs in the crypto space.
Authentication of a watch through NFTs.