If you’re pretty vain, you’ll probably think this story is about you. But really it’s more about how your vanity is making investors a lot of money these days.
“There is a global bull market in narcissism,” said Ajay Kapur, an equity strategist at Bank of America Merrill Lynch. “Money has been made, and, in our view, a lot more is likely to be made.”
Vanity capital, according to Kapur’s definition, is the “pursuit and accumulation of attributes and accessories that augment self-confidence by enhancing one’s appearance and prestige.”
For instance, luxury watches, jewelry, haute couture and expensive accessories would qualify as vanity capital, but so does buying less expensive products such as cosmetics, smartphones, fitness wear and health supplements.
“You could also resort to ‘augmented’ vanity capital, especially if it is of the expensive sort: luxury property, art, autos, fine wines, Ivy League educations etc.,” he said.
All together, Kapur said global spending on vanity capital is estimated to be approximately US$4.5 trillion, which is larger than the Germany’s GDP.Making these guys very happy:
Stocks that fit the mold, meanwhile, have climbed 20 per cent since 1995 versus just five per cent for global equities as a whole. Based on analyst estimates, world vanity capital earnings are expected to grow 37 per cent in the next two years while MSCI world earnings are expected to grow at less than half that pace....MORE
Monks on Planes: Buddhist Bling
From the Bangkok Post:
A photo captured from a video clip at YouTube features a group of monks with sunglasses on a private jet. The monks’ behaviour has drawn heavy criticism from online viewers.
Office director Nopparat Benjawattananan said Monday it was not wrong for monks to fly on a private jet, as seen in a recent YouTube video, since the jet did not belong to them, but was donated....MOREThe Louis Vuitton folks couldn't have bought better product placement.
See also:
"Sotheby's 'perfect' 100-carat diamond sells for $22 million"
