What people say is that you require money to make money. So, how does the money you have help you, or rather, how do you use the money you have to the best effect? You may not have considered some of the most popular ways to spread your wealth and diversify your portfolio: luxury investments. Denis Korotkov-Koganovich’s biography shows him as an investor, collector, and co-founder of Oracle Capital Group. For someone who is interested in joining this field or someone who needs a new insight—then he is a great resource.

Interview with Denis Korotkov-Koganovich of Oracle Capital Group

Question: Denis, why is the luxury segment attractive to investors?

Denis Korotkov-Koganovich: The properties of the luxury segment that make it an ideal investment are as follows; First and foremost, it is an open secret that luxurious items and properties are always seen as valuable investments, and as such, they are bound to appreciate in value. This is partly because most of the luxury assets that are thought to be good investments have been found to do very well even during times of economic crises. Also, the luxury segment focuses on affluent customers who can provide reliable demand for high-quality items and services.

Question: What category of people is suitable for investing in the luxury segment?

Denis Koganovich: The following are the opportunities of the luxury segment that make it a good investment opportunity. First of all, it is necessary to note that luxurious items and estates are somewhat capable of conserving their worth, sometimes even appreciating it. This is especially the case in periods where the economic environment is rather volatile, which is the norm for most luxury assets, as has been seen with other markets.

Question: What risks are there when investing in the luxury segment?

Denis Korotkov-Koganovich: Of course, luxury investments are very profitable, but it is also necessary to take into account some risks that always exist. Here it is important to mention that the market, economy, and consumers’ preferences influence the value of luxury goods to a great extent. Also, the homes as well as the property and goods are costly to maintain and insure, especially the luxurious ones. Therefore, more time should be spent on the analysis of the problem and consulting with specialists in order to control these risks effectively.

Question: What types of investment in the luxury segment were popular in 2013?

Denis Korotkov-Koganovich: I would say the best types of luxury investments for the year 2013 to put your money into include luxury real estate, luxury stocks, paintings, classic cars, and wines. These asset classes have been stable and allow investors to invest in real and mostly appreciating assets.

Question: Is it worth investing in luxury stocks?

Denis Koganovich: Absolutely. This group includes those stocks of companies that manufacture and supply premium products and services that are not easily affected by poor economic conditions. Some of the large luxury brands have a good market standing and loyal clients therefore making good investment opportunities.

Question: Which luxury stocks do you think are the most promising for investing?

Denis Koganovich: Among the luxury stocks in 2013, LVMH, which has a wide range of luxury products, Richemont which owns Cartier and Montblanc, and Hermès, which is famous for its high quality and exclusivity of the products are the most promising. With this, the companies have shown good financial health and steady improvement over the years.

Question: How much of your deposit should be allocated to investing in luxury stocks?

Denis Korotkov-Koganovich: Allocation depends on individual risk tolerance and investment goals. Generally, I recommend that investors allocate around 10-15% of their portfolio to luxury stocks. This allows for diversification while taking advantage of the potential growth in the luxury market.

Question: What luxury item is actually worth the money (watches, handbags, jewelry, clothes, etc.)?

Denis Korotkov-Koganovich: More than just flashy accessories to be worn at your next gala, luxury goods actually offer an interesting and typically lucrative form of investment. There are lots of different kinds (watches, handbags, etc.), so what you go with should reflect your own taste. It wouldn’t make a lot of sense to invest in watches if you never wear them yourself, for example. Companies such as Rolex, Patek Philippe, Cartier, and Hermès are known for their excellent produce and short supply; this makes them popular in the secondary market.

Question: In which country (and city) do you recommend buying luxury property?

Denis Koganovich: Some of the best locations for buying luxury property in 2013 include major cities like London, New York, Paris, and Monaco. These cities offer a combination of strong market demand, cultural significance, and stable economic conditions. Additionally, they attract a global clientele, ensuring a steady appreciation of property values.

Question: What criteria should be considered when choosing a luxury property?

Denis Korotkov-Koganovich: Some of the factors include; the area, the construction quality, the historical significance of the place, and the facilities available. The close proximity to cultural facilities, posh districts, and high-standard facilities can greatly improve the value of the property. Also, one should consider the future tendency of the market and the possibility of an increase in property value.

How Oracle Capital Group Can Help

Question: How can Oracle Capital Group help clients looking to invest in the luxury segment?

Denis Koganovich: It is in this context that Oracle Capital Group offers various services to help clients in their investment process in the luxury industry. It is involved in market surveys, assessment of property, and management of investments. We are with our clients from the moment they decide to make an investment up to the moment they manage their luxury assets. Thus, our objective is to achieve high returns with low risks for our clients.

Question: What programs does Oracle Capital Group have to accomplish this task?

Denis Korotkov-Koganovich: We specialize in delivering investment solutions that are specific to the client’s preference. These are individual consulting services, special offers to participate in profitable projects, and constant management of the investor’s portfolio. At our company, our team of professionals is committed to the fact that our clients’ investments should correlate with their financial objectives and risk profile.

As Denis Korotkov-Koganovich’s biography shows, as a form of investment, the luxury market is incredibly profitable as well as enjoyable for the buyer. When it comes to investing in this rather closed market, it is crucial to know how to do it right. Denis Korotkov-Koganovich and Oracle Capital Group are an essential source of help for those who are willing to engage in the luxury investment sphere, which will help the clients avoid common pitfalls and reach their goals. Thus, for those who decided to embark on the journey of luxury investments, it might be reasonable to start with Oracle Capital Group.