This article is taken from Financial Times, where Intelligent Partnership’s report was mentioned. Click here to read the original article

Chinese investors now make up one-third of the $3bn global stamp collecting market, according to the latest Alternative Investment Report from Intelligent Partnership.

The report, sponsored by stamp and coin dealer Stanley Gibbons, revealed that out of 60m collectors worldwide, 20m are based in China, where wealthy individuals hold an average of 18 per cent of their total net worth in “treasure assets” such as rare stamps, coins, paintings and classic cars.

Experts attribute the growing popularity of stamps in the Far East to their growing value. Investments of passion — anything that is tangible and not a conventional financial asset — have performed strongly over the past 10 years compared to traditional investments such as shares.
The Economist Valuables index, which combines the performance of indices covering vintage wine, fine art, rare stamps, precious coins and classic guitars and violins, grew by 200 per cent in the decade up to 2013 (the latest figures), outperforming the FTSE World index, which rose by 65.6 per cent over the same period.
The market is being driven by a desire for diversification away from traditional investments, says Guy Tolhurst, managing director at Intelligent Partnership and author of the report.

“As tangible assets they [passion investments] present investors with one way to beat financial repression; the low interest rates, money printing and silent currency wars that our central banks are resorting to in order to stimulate the economy,” he said.
“They can be a hedge against, and protection from, inflation, devalued currencies and punitive taxes.”
Last year a new record was set for a public stamp sale when an 1856 British Guiana 1 cent magenta sold for £5.6m at auction.