Does buying a new Submariner or Deepsea make sense?

[tuffer]

I have just spent a week in Singapore and HK neither of which are bereft of watch shops and yet I have only managed to find one Rolex DSSD and that was in a back street non franchised dealer. Seems like they might be a good investment.

[cbmotorsport]

nikaiyo2 said:

Are you looking for an investment or a Watch?

As an investment most Rolex are pretty rubbish. Even over the last 20 years where new values increasing five fold has dragged up used values a second hand sub date will sell for what £4995 from a U.K. Dealer with proper shop, warranty etc. So you might get £3995 as a private seller or £3500 from a dealer if you are lucky.
How much would £1000 invested in a decent FTSE tracker over the same period be worth... £9000ish.

So whilst a Rolex might have better residual values than many watches, an investment it is not.

True, but you can't wear a FTSE tracker. A Rolex is a relatively safe place to store a few thousand (it's unlikely to drop), knowing that it may go up a bit with the added bonus of having a nice watch to wear at the same time.

[audidoody]

A 2002 GMT II I bought in 2003 for £1900 is now retailing (WF) at over £5,000. IF I need to liquidate it a quick trade sale at £3,740 means around 7 per cent annual tax-free return on capital. I'm happy.