The Q3 premium market earnings have been a bit of a mixed bag as we have been reporting over the past two weeks.
To take another cut, let’s look at the year-to-date returns for a wide variety of global asset classes and compare with them with our FSW Markets All Luxury Index.
Though luxury earnings have been mixed, the largest names by market cap have, reported fairly weak sales with particularly poor volume growth in China offsetting some positive contributions from price and mix. This has pulled down our index to -8.5 percent over the course of the year.
This performance stacks up poorly against other major global assets. U.S. stock markets have had a strong year, driven heavily by the tech sector with the Nasdaq up over 20 percent. The majority of the FSW Market All Luxury Index is comprised of European-based firms, but the index has performed poorly when compared with the broad sector Euro Stoxx 600, which has recorded low single digit but still positive YTD growth.