Published in Scientific Papers. Series A. Agronomy, Vol. LVIII
Written by Mark FRANCE, Lancelot BUTTERS
This paper critically examines agricultural tractor collection values as a financial investment for the future, or hobbyfor the present, it includes the make and model of tractor giving the best return on investment. Processed data proves acollection of vintage and classic tractors is a viable investment strategy, with rates of return reaching 7% and above.This demonstrates that a classic tractor investment has higher rates of return than other methods; including savingsaccounts, and is potentially less risky than stocks or shares. Tractors are at their lowest value when they are around 20years old, the best age to invest; as they age further their value begins to appreciate, original and rare examplesdemanding higher values as these are seen to be more collectable. The majority of collectors have an industry relatedbackground, and do not collect these tractors solely for investment purposes; in fact most are collected as a hobby;contrary to the prediction at the start of this investigation. This research found for 30% of collectors it is just a hobby,whereas 20% collected as an investment and 50% combined both hobby and investment; however, collecting is notalways merely a hobby; it can develop into an addiction, where the collector no longer just wants to collect tractors buthas an uncontrollable need to collect them, completely changing the purpose of the collection from being an investmentto being a psychological need. Additionally, it has been demonstrated that a number of those who collect classical andvintage tractors, as an investment, become too attached to their collections to sell them, meaning the collections can bepassed down through families.
[Read full article] [Citation]
classical
