As the worlds of collecting and investing converge and the potential of emotional assets as an asset class are recognised by the investing community, investors will want answers to questions like:
What are the sizes of these markets and how are they likely to grow or contract in the future ?
What are the main drivers of this growth in the future ?
How can we empirically and statistically chart the price movements in these markets ?
What emotional asset investment strategies are likely to perform best under various economic scenarios ?
What are the investment attributes of this asset class and how can I exploit these attributes to my advantage ?
Is there an optimal amount of emotional assets that should be included in a portfolio ?
What styles of investing work best in this asset class – Value or Momentum ?
What factors are likely to give rise to one style performing better than another ?
Can a portfolio of emotional assets be managed using tactical asset allocation frameworks ?
Can forward looking analytics be used to derive ex-ante risk premia across the spectrum of emotional assets ?
Do emotional assets lend themselves to strict investment criteria like core, satellite or opportunistic ?
How are these emotional assets likely to perform in inflationary and deflationary environments ?
Does alpha exist in the various emotional asset categories ?
Is it possible to separate the beta component from the alpha component in the various categories ?
“These pictures are like IBM stock.......................................and this is the time to buy !”
Leon Kraushar, Orange Marilyn’s first owner
Life Magazine, July 1965