Gertjan Verdickt: Auckland University finance lecturer unpacks research revealing whisky, Lego and handbags might be safer investments

Published Mar 25, 2025, 5:37 AM

New research shows investors looking for the best returns might be better off putting money into whisky or Lego, as opposed to the share market. 

University of Auckland finance lecturer Gertjan Verdickt has released new research into alternative investments, including Lego, instruments, classic cars, wine, whisky and baseball cards.

Verdickt says there's value in adding an additional component to a traditional investment portfolio.

"Having something real, something tangible, is worth something. And it can produce additional returns on top of your normal portfolio." 

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New research shows that you might be better off investing your money into whiskey and Lego rather than the share market. Whiskey came out on top with an average annual return of seventeen point five to two percent over ten years, while more traditional investing into the S and P five hundred, for example, return just twelve percent a year over a long period. Gerzian verdict is the University of Auckland finance lecture. Who's been looking into this is with me now.

Good evening, Thank you for having me.

How realistic is it making lots of money off Lego?

Well, it's not really that realistic in terms of percentage is amazing, but we're talking about actual small amounts of money.

How much have you found people are investing in stuff like Lego or whiskey.

More than than you would think. So Lego is slowly building up, but the drinkable so wine and whiskey, especially in the pandemic, has increased significantly.

Give us the numbers. What is you know, the top three owners?

So in terms of actual percentage like whiskey is by far number one. Then we have baseball cards, which also has as a very nice return. Then we are at wine and lego.

So baseball cards, let's peck them out. So between nineteen eighty seven and twenty twenty three they posted an average annual return of thirteen percent a year, which is incorrect more than the S and P five hundred turn per year over twenty years. That's correct, yes, And I mean, what is this research telling us we should go and pile our money there?

No, definitely not. What this research shows is that there is value in adding an additional component to your traditional portfolio of stocks and bonds, because having something real, something tangible, is worth something and it can produce a very nice additional return on top of your normal portfolio.

Do you have any little extra or alternative investments yourself.

So, I'm myself a wine expert. I do research on wine as well, so I have a small proportion of my portfolio dedicated to wine. And I'm also consulted for wine investment funds, which I do not disclose in the book. So all the examples in the book are not something I'm affiliated with.

Ah, So are there funds that will manage your money for you and invest in alternative assets like this, because I mean for your average punter learning about baseball cards or lego or whatever, it might be quite a time consuming thing to do.

So that's something we actually show in the book. So you have a direct investment where you can actually go and buy your lego set. But we also offer a lot of indirect options as well. So art, for instance, there's a growing platform online where it can buy a small piece of art, but also wine, as I mentioned the wine investment funds, Whiskey similar issue, similar thing. You have Whiskey investment funds as well. So there are indirect options which we clearly show what the benefits are also what the disadvantages are.

Within the book, Dan give us you a hot tip on wine. What should we be buying?

So Australian wine is actually pretty pretty good at the moment, so think about your pen falls for instance. That is something that there's growing interest across the world. People are moving away from your traditional Bordeaux French style wine and moving more into this Californian, Australia and Argentinian wines.

Hard thing about that, and you mentioned pin Folds is actually keeping it and not drinking it exactly.

There's a small lin Dreen Consumption and Investment.

Certny is Get you On, Thank you for your time, Getzon Verdict, Who's the Universe? The Apen Finance Lecture.

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