Luxury Sales Turned in a Unusually Strong First Half to the Year. Can the Good Times Last?

LVMH Reports Record Numbers

The Paris-based conglomerate just posted record revenue in the first half of the year, generating a very noteworthy 28.7 billion euros ($34.0 billion). That comes out to a hefty 56% increase from the same six months in pandemic-impacted 2020 and a respectable 14% increase from 2019.

Millionaires Now Make Up 1% of the Global Population

A HNWI is understood to be someone with a net worth over $1 million, and due to a strong stock market and near-zero interest rates, the pandemic did not slow down capital creation for many in 2020. For the first time ever, more than 1% of the global population can now be considered dollar millionaires, with the top 10 economies minting 5.2 million new millionaires last year alone, according to Credit Suisse. This brought the global total of adults with more than $1 million to 56.1 million, the most in history.

Investing in Global Luxury Goods

As I see it, investors who are interested in luxury names have two options.
They can put in the time conducting research on multiple companies, pouring over financials, following price charts and more.

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Frank Holmes

Frank Holmes

Frank Holmes is the CEO and chief investment officer of U.S. Global Investors, an innovative investment manager with vast experience in global markets.