Limited editions - does it hold its value better?

[roystock]

Hi,

I am new to watch collection and would appreciate your views/thoughts on the rate of depreciation of limited edition watches.
I do agree that buying decision should mainly base on whether you like the looks/heritage/movement etc.
But for me, how well the watches hold their value is also a critical factor as I do not like to lose money overnight (while good second hand watches for certain brands are difficult to come by).

To hedge my future purchases, I am thinking of giving priority to limited edition watches. How well do you guys think they can preserve their value, or at least, depreciate slower than their brothers.

Point in the case, I had recently acquire a Zenith Striking 10th (1969 numbers of watches, I know, it is not "that" limited) and happened to find Bremont Victory, Bremont EP120 and Glashutte Original Senator 1911 Julius Assmann interesting. 
Not that I can afford any of these now, but no harm start planning 2-3 years in advance and I will be more willing to bite the bullet if they can hold their value reasonably well.

Cheers

[dpkong]

Limited editions or not, you will lose money. More overnight and slightly less after a few years. Maybe you could get back the dollar value in 10 years but did that account for inflation?

[GMTmaster]

From what I observed, " VALUE " of an item depends on its " Demand " from the public. VALUE and DEMAND are POSITIVELY CORRELATED.

Therefore does your Limited Edition have high demands from the public, is the question you need to answer.

[roystock]

From what I observed, " VALUE " of an item depends on its " Demand " from the public. VALUE and DEMAND are POSITIVELY CORRELATED.

Therefore does your Limited Edition have high demands from the public, is the question you need to answer.

Agree. Supply & demand theory was the basis of my questions. When the supply is controlled/ limited, the incremental demand itself should helped to preserve the price. In contrast, the watchmakers can keep on producing other watches when they see good demand, and hence, limiting price gain (or keeping resale prices low).

But I suspect the theory is as good as theory and the reality may be difference and hence, I am looking for empirical evidence - has anyone sold their LE (any brands) with minimal losses?

[tonykpk]

Small limited series are better than large LE series.Some brand produced  a 1000 or so special series every other year, that is not LE. yes i have sold LE watches with some loss n some gains. when you buy small  numbers produced LE watches you either like  the design or you dare  2 b different ,or you have a perception of buying something rare. The new AP end of days LE was selling very slowly at around rm 35,000 in 2004, but 2 day the preowned is selling at around rm 150,000 for the mint cond. ones. Hope these will answer some of your doubts n qs.regards tony

[Everdying]

Small limited series are better than large LE series.Some brand produced  a 1000 or so special series every other year, that is not LE. yes i have sold ltd watches with some loss n some gains. when you buy small  numbers produced LE watches you either like  the design or you dare  2 b different ,or you have a perception of buying something rare. The new AP end of days LE was selling very slowly at around rm 35,000 in 2004, but 2 day the preowned is selling at around rm 150,000 for the mint cond. ones. Hope these will answer some of your doubts n qs.regards tony

that is mainly due to the terminator being elected right?

[Empty Tree 8]

So many factors go into the issue of value retention that you can't come away with anything except general observations and conclusions.

But on a simple  analysis, I suppose LE better than not LE ....but with a whole multitude of exceptions.

Some brands even make it their trademark to produce only LEs, case in point being the new Israeli watchmaker, Itay Noy who produces his series largely only in LEs of 99 pieces. But I suspect it's largely because of his limited production capabilities at the moment....which would likely change if his pieces  meet higher demand.

Personally, I am starting to looking for LEs, but not for value retention, just to simply be different.   

[G.MAC]

I believe just being an LE is insufficient. Branding is also very important. If you have a branded LE with small numbers, your chances just increase exponentially. I have seen LE from some lesser known or desired brands who still take a massive hit in price in the preowned market

[bezelnut]

Here's a list of LE that is proven to gain money, which you can begin with.

Patek Philippe 2499 platinum
A Lange & Sohne Zeitwerk HANDWERKSKUNST
Linde Werdelin Oktopus Moonphase
MB&F Chocolate Frog
Parmigiani Bugatti Super Sport

I never mention that it is in anyway afordable or attainable thou. 

[rusminag]

Order your own personal watch.... unique

[Quasimodo]

It really depends on the brand and watch.

For eg., I have an NFW 5th Ann LE... only 55 produced. It's never gone up. In fact I got it cheaper second hand from WUS.

But a Hamilton Pan Europ LE... That was released about 2 years ago and it's already appreciating a lot. Only 1,971 pieces made. When it was launched, it was under SGD2,000 (after discount). But now resells for around SGD3,000 on WUS and eBay. A 50% increase in just 2+ years... not bad!

I managed to get two a while back and sold one. Gonna be keeping the minty one with me for a while.

[watzisname]

It really depends on the brand and watch.

For eg., I have an NFW 5th Ann LE... only 55 produced. It's never gone up. In fact I got it cheaper second hand from WUS.

But a Hamilton Pan Europ LE... That was released about 2 years ago and it's already appreciating a lot. Only 1,971 pieces made. When it was launched, it was under SGD2,000 (after discount). But now resells for around SGD3,000 on WUS and eBay. A 50% increase in just 2+ years... not bad!

I managed to get two a while back and sold one. Gonna be keeping the minty one with me for a while.

Wrist shots pleaseeee 

[horomas]

Some manufacturers overdo the notion of ltd eds.Just look at Omega and do they appreciate much?Only a select few models like snoopy,35th annive just to name a few.

[tonykpk]

Yes Omega  very frequently made 5,000 to 6,000 for a L E series. Corum has also started the LE  production with a few hundred of each LE model a couple of years back..

Some manufacturers overdo the notion of ltd eds.Just look at Omega and do they appreciate much?Only a select few models like snoopy,35th annive just to name a few.

[roystock]

Yes Omega  very frequently made 5,000 to 6,000 for a L E series. Corum has also started the LE  production with a few hundred of each LE model a couple of years back..

Some manufacturers overdo the notion of ltd eds.Just look at Omega and do they appreciate much?Only a select few models like snoopy,35th annive just to name a few.

5,000-6,000 is so not limited 

[1to12]

I wonder how many do they sell for a non-LE model... if it's also 5-6k or slightly more then it's just marketing gimmick... 

[Yoda]

I think the Swiss authority should set some standard in defining the word LE just like COSC and the ISO divers standard. 

I suggest LE numbers should not be more than 1000

[Everdying]

imo LE is relative, and can sometimes be exaggerated.

i find it funny that a small manufacturer who can only afford to make a limited amt every yr calls every piece a LE...like russians.
while for say Omega, making 10,000 pieces may seem alot, but where the general production runs into the 100,000s of thousands...that kinda does put it into perspective.

[herng0326]

No. it does not hold better value.
It depend on luck, for example, panerai pam 292J is not limited edition, however, the value of "J" series is higher compare to the rest.

[1to12]

No. it does not hold better value.
It depend on luck, for example, panerai pam 292J is not limited edition, however, the value of "J" series is higher compare to the rest.

That's becos the J comes with the pig dial and it's limited to 1000 pieces. However, the pig has also appeared on some other models.