People who have been using self-storage as a place to keep their ever-increasing collections of coins, stamps, or wine may find that their investment has paid off. If they wish to, they may be able to find buyers for those collections--in India. The Economic Times of India reports that in India, as in the West, the gap between rich and poor has been increasing in recent years. Although India has a reputation for being one of the poorest countries in the world, it also boasts more than 50 billionaires. Furthermore, at the moment, collections are very fashionable among wealthy Indian businesspeople.
The market for rare object collections in India is currently relatively unorganized, according to Economic Times reporter Aman Dhall. One Indian auction house, Todywalla, is known to specialize in coins and banknotes. "They deal only in high-end coins. They have a catalogue beyond which they don't fish," says Hrishi Modi, a director at ASK Private Wealth Advisors. Modi collects rare coins and stamps himself. Like many collectors, Modi began his hobby as a child, when his father brought back coins and stamps from trips abroad. Now his collection includes gold coins from the Kushan Dynasty, silver dollars from Calcutta, Iran Persia stamps from 1897 and Nazi era coins.
Collectors of rare items have been eyeing India with a great deal of interest, as India's long history makes it, potentially, a rich source of rare items. "India with its documented history of over 1,200 years has the potential to generate staggering money in this area," argues Harsh Dalal. Dalal, who himself collects coins from India's pre-independence era, manages investments and trusts for Altamount Capital. Sometimes, though, it is difficult to determine the authenticity of such items, especially coins, so coin collectors trying to peddle their collections in India should be prepared for potential buyers to ask them to take their collections to a grading agency, such as Professional Coin Grading Service or Stanley Gibbons, a UK-based stamp and rare items dealer that has recently expanded into Asia. Stanley Gibbons updates its stamp index each month, noting what each stamp is worth to investors. It is important to have the authenticity of one's collection determined by a grading agency, warns New Delhi financial advisor DK Agarwal, SMC Wealth's managing director, because coins are frequently counterfeited.
Some Indian collectors, though, prefer wine to coins and stamps. Wine collections require a bigger commitment, because they must constantly be stored in a cool, climate-controlled facility, even during transport. Still, the market for wine is expanding rapidly in Asia, in part because of the interest of wine collectors. Interested investors can find mutual funds dedicated to wine investments. One of these, UK-based Premier Cru, is looking for a partner in India.
Some collectors say that they will never part with their collections, no matter what they may be worth. Others, though, are happy to sell. "If that's the case, I will sell it over," says stamp collector Nozur Sharma. "In the last few years, the passion for the hobby has waned." Luckily for Sharma, plenty of others have picked up the passion for collecting.