![\"Art,](\"http:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2014\/01\/Art-wine-and-wheels-Table.jpg\")
<\/a>Art, wine and wheels<\/p><\/div>\n
Local art<\/strong><\/p>\n NW Wealth estimates that South African HNWIs hold US$230 million worth of fine art in 2013.<\/p>\n “The South African fine art market has boomed over the past decade and a half. Leading artists include Irma Stern, Thomas Baines, JH Pierneef, Alexis Preller, Pieter Wenning, Gerard Sekoto, Maggie Laubser and Hugo Naude.<\/p>\n “The value of these artists has risen appreciably \u2013 an Irma Stern painting that sold for US$20,000 (R217,000) in 1995 fetched over US$2 million (R21.7 million) in 2011,” NWW said.<\/p>\n There are also a large number of younger emerging SA artists that have their own galleries and regularly fetch over US$10,000 (R108,500) per painting including Portchie and Dimitrov, it further noted.<\/p>\n The majority of major art galleries are located in Johannesburg and Cape Town and in second-home hotspots such as Stellenbosch, Knysna, Dullstroom and Plettenberg Bay.<\/p>\n Global art<\/strong><\/p>\n NW Wealth estimates that the worldwide fine art industry was valued at more than US$60 billion (R651 billion) in 2013.<\/p>\n Globally, fine art prices declined by 7.5% between 2007 and 2012, a decline that would have been far greater had it not been for strong growth in the Chinese fine art market.<\/p>\n According to Artprice.com, the largest auction market in the world in 2012 was China with 41% of turnover, followed by the US with 27%, the UK with 18%, France with 4%, Germany with 2% and Switzerland with 1%.<\/p>\n Global fine art turnover in 2012 totaled US$7.2 billion (R78 billion), up 5.5% on the figure from 2011. Approximately US$5.2 billion (R56.4 billion) of this figure was generated by the \u201cbig two\u201d: Sotheby\u2019s and Christies.<\/p>\n Fine wine<\/strong><\/p>\n The global fine wine market recorded tremendous growth between 2000 and 2010, with prices paid for certain vintages of Lafite Rothschild having increased more than tenfold.<\/p>\n “As a result of this boom, portfolio managers that specialize solely in fine wine investments have begun to crop up and offer unique wine-denominated investments. Heavy buying by the Chinese in the Hong Kong market was the main driver of this growth,” NWW said.<\/p>\n However, its performance over the past two years has been poor, which restricted index price growth for 2007 to 2012 period to 6.4%.<\/p>\n The advisory firm pointed out that the Western Cape is home to some of the most expensive wine property in the world, valued at more than US$80,000 (R868,000) per hectare.<\/p>\n These estates have become a popular investment for HNWIs, with many of the most well-known South African HNWIs having their own wine farms in the area.<\/p>\n These estates generally have Dutch-style houses and are an investment for many local and foreign HNWIs. The most exclusive of these estates are located in Stellenbosch, Constantia (Cape Town) and Franschoek.<\/p>\n Over the 2007 to 2012 period, classic car prices rose by 52%. Notably, the drop in prices in 2008 was smaller for classic cars than for art and fine wine which reflects the resilience of this type of investment.<\/p>\n The classic car market is South Africa is less developed than in many developed-world countries. However, auctions do take place in Johannesburg, Cape Town and Knysna on a regular basis.<\/p>\n Other collectables<\/strong><\/p>\n Other popular collectables for HNWIs in South Africa include luxury watches, private jets, yachts, helicopters and private game reserves.<\/p>\n Private game reserves in particular have become a popular investment for HNWIs over the past decade. As a result of this boom, rare wild animals such as Buffalo, Roan Antelope, Sable Antelope and Rhino now sell for over US$20,000 (R217,000) per animal in 2013, the advisory firm said.<\/p>\n Africa\u2019s per capita wealth revealed<\/strong><\/a><\/p>\n South Africa\u2019s millionaires set to grow 78%<\/strong><\/a><\/p>\n<\/a>Wheels<\/strong><\/p>\n\u00a0More on New World Wealth<\/h3>\n