Herring Exmoor & Dartmoor available from
THE GENTLEMAN’S ESSENTIALS Choice is good – we like choice. But once every couple of years, a product comes along that is so obviously the best of its type that it invalidates your freedom to choose. It is, quite simply, an obligation to buy it. If that all sounds a bit daunting, don’t worry – as ever, the Gent’s Journal is here to guide you through the minefield of men’s market no-brainers. Bank details at the ready? Let’s go!
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THE GENTLEMANS ESSENTIALS
FRESCOBOL CARIOCA Since launching in 2009, Frescobol Carioca has embodied the spirit and style of Rio de Janeiro. Frescobol has grown to include not only beach gear and accessories but also casual wear that reflects the cool ‘Carioca’ way of life. The Spring/Summer 2014 collection features bold prints and vibrant colours drawing on the energy and atmosphere of Carnival, the forthcoming World Cup and the 2016 Olympics. All made with high-quality fabrics that work as well on the beach as they do in the city, this collection is the embodiment of Brazilian summertime. www.frescobolcarioca.com
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THE GENTLEMANS ESSENTIALS
GINETTA RACING DRIVERS CLUB Luxury car marque Ginetta is breaking new ground with its Racing Drivers Club. Created for newcomers, the package includes your own road legal G40 Club car, two track days with tuition and a racing licence. Your Ginetta G40 Club car comes with a 1.8 litre engine and weighs in at 820kg. And all this for just ÂŁ27,250+VAT. The Club has hospitality facilities available, and members are welcome to use the boardroom. Events include a once-in-a-lifetime road trip to the 24 Heures Du Mans, as well as golf days and much more. To begin your journey with us contact Hayley on GRDC@ginetta.com or call 0113 385 4158. January/February 2014
H OW TO I NVE S T LI KE WARRE N BU F F E T T There are few in the world who can match Warren Buffettâ€™s skill and know-how when it comes to investment. If his estimated fortune of $52 billion isnâ€™t enough to prove it, then his skill and track record certainly are.
By Harry Jarman
HOW TO INVEST LIKE WARREN BUFFETT
The man who makes up part of the do this, Buffett looks for the following: Forbes’s ‘10 richest people in the world’ strong profitability, minimal debt, strong was born in 1930 in Omaha, Nebraska management and strong brand. Another key to US Representative Howard Buffett factor is that he has a strong understanding and wife Leila. Even as a child, Buffett of what the business actually does. He likes displayed an interest in making and saving to invest in ventures that he himself can money. His first business experience was understand and analyse. It’s for this reason selling chewing gum, Coca-Cola and weekly that he has to a certain extent ignored the magazines door-to-door. Before this, when technology sector and generally chooses to he was at school, he made money doing a invest in retailing, insurance and food. paper round, selling golf balls and stamps Another aspect crucial to Buffett’s and detailing cars. When he was just 14, investing is his focus on a company’s Buffett filed his first tax return on which management. To him this is imperative to he took a $35 deduction for the use of his all his investments, and according to Robert bicycle and watch on his paper route. A Hagstrom, author of The Warren Buffet year later Buffett and a friend spent $25 Way, there are three questions he asks a on a used pinball machine, which they company’s management: are they rational, strategically placed in the local barbershop. do they admit to mistakes and do they resist Needless to say, within months they owned the institutional imperative? While he says several machines spread across various he never interferes in the running of a similar businesses. It was clear from an early company, he does make sure there is strong age that this was someone special. management before investing. This is a view In 2011 shares in Buffett’s investment that is often backed up by companies he has company Berkshire Hathaway were valued invested in. at $103,500 per share – when he took Unlike many investors who look for over the company in 1965, they were just $15. Buffett has carved out a reputation for identifying companies that he believes are ‘Wall Street is the only place that undervalued, then investing in them and holding the investment people ride to in a Rolls-Royce to long term. Seems easy enough get advice from those who take when it’s put like that, but just the subway.’ what are the keys to his success? Firstly it must be said that holding a stock long-term requires a huge amount of discipline, and as any reader who invests in the stock undervalued companies, Buffett hates market will know, it takes a lot of nerve and debt and avoids it where possible, even conviction. Unlike many investors, Buffett if it means he passes on an investment doesn’t look at business in the typical way; opportunity. The thinking is that a company he has a belief that when he invests in a with a high return on equity (ROE) could business he is buying it outright, and not be fuelled by debt, and it is for this reason just buying shares. His reasoning behind that he takes into account the return on this is because he approaches a company invested capital (ROIC). Where possible, as though he were actually buying it, he Buffett will ensure that debt is taken will look at the management, whether the out of the equation by adding it back to business has a competitive edge and low the shareholder equity before doing the capital expenditure. calculation. The simple reason for this is The second trend you will see in that he believes that companies become Buffett’s portfolio of companies is that they over-burdened with debt because they are tend to have strong brand names, such as exposed to rising interest rates. Coca Cola, McDonalds and Gillette. While For Buffett, strong profitability goes they may not provide step growth, they do hand in hand with proven profitability, provide solid growth. believing that a company’s track record is When Buffett invests in stocks they more important than what analysts predict are usually undervalued. Spotting these the profitability will be, however impressive stocks is by no means an easy task – it’s the predictions. He looks at many things to simple to pick out a stock that is unloved assess this, preferring companies with an by the stock market, but deciding whether ROE in excess of 15%. Another measure it is dead or undervalued is the key. To is ROIC, for which Buffett calculates a
company’s profit margin by dividing net income by net sales: the higher the ratio, the more profitable the company, based on its level of sales. Buffett has coined many phrases that have now become commonplace. Perhaps the most important of these is ‘the moat’: he uses this to describe a company’s competitive advantage or unique position in the marketplace that protects it against competition. Businesses with a wider ‘moat’, as he puts it, offer protection to the business core – the ‘castle’, as he refers to it. These can range from geographical advantage, entry costs, a strong brand or owning a particular patent. They give the business a strong competitive edge that normally stands it in good stead as it develops. Finally, Buffett’s success comes down to his patience and his cool – he doesn’t make rash decisions. Just as he holds onto stock long term, Buffett is a calm and calculated investor. He doesn’t go looking for things, but rather takes opportunities as they come, saying that investors would be better off if they could only invest a limited number of times, thus making sure they give some proper thought to what they are doing. Whilst all of the above may sound simple, there is a strong reason that only a select few are as successful as Buffett. When you strip away all the skills that it takes to make a good investment there are underlying factors that you can’t just pick up – essentially, human nature and restraint. Buffett’s success comes down to his own temperament – he has incredible discipline, and unlike most people of similar wealth, he doesn’t have a yearning for private jets and super yachts. In fact, he has lived in the same house for most his life and drives a decidedly un-flashy Lincoln saloon. For Buffett, it’s purely the job that matters and he feels a great sense of responsibility to the Berkshire Hathaway shareholders. Many who meet the man say he is unlike anyone they have ever met before. In 2006, he pledged 10 million Berkshire Hathaway shares to the Bill and Melinda Gates foundation, the first donation of 500,000 totalling around $1.5 billion. While we may be interested in his extraordinary wealth, we are also fascinated by the man himself; he has become globally famous as the friendly face of Capitalism.
HOW TO INVEST LIKE WARREN BUFFETT
15 BUFFETT QUOTES ‘Rule number 1: Never lose money. Rule number 2: Never forget rule number 1.’ ‘If the business does well, the stock eventually follows.’ ‘It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price.’ ‘Our favourite holding period is forever.’ ‘Wall Street is the only place that people ride to in a Rolls-Royce to get advice from those who take the subway.’ ‘After all, you only find out who is swimming naked when the tide goes out.’ ‘Time is the friend of the wonderful business, the enemy of the mediocre.’ ‘I try to buy stock in businesses that are so wonderful that an idiot can run them. Because sooner or later, one will.’ ‘I am a better investor because I am a businessman, and a better businessman because I am no investor.’ ‘Someone is sitting in the shade today because someone planted a tree a long time ago.’ ‘I always knew I was going to be rich. I don’t think I ever doubted it for a minute.’ ‘Risk comes from not knowing what you’re doing.’ ‘I buy expensive suits. They just look cheap on me.’ ‘Your premium brand had better be delivering something special, or it’s not going to get the business.’ ‘You do things when the opportunities come along. I’ve had periods in my life when I’ve had a bundle of ideas come along, and I’ve had long dry spells. If I get an idea next week, I’ll do something. If not, I won’t do a damn thing.’
ASTON MARTIN - CALIFORNIA
VANQUISH VOLANTE AND V12 VANTAGE S LAUNCH BY TOM HUNT Hunt... James Hunt. Those were Chris Hemsworth’s opening words when he played my father in Ron Howard’s recent blockbuster, Rush. It’s a clear reference to one of the most quintessentially British gentlemen of all time. Even without this, it wouldn’t have taken much persuading when the GJ asked me to hop on a plane to California to attend Aston Martin’s centenary celebrations. This was the launch of their two latest models: their flagship Vanquish Volante and the extraordinarily quick V12 Vantage S. This was it – my chance to play James Bond. Aston Martin is as much about luxury and indulgence, a lifestyle, as it is about motor cars. Stepping onto a private jet to transfer from LAX to Palm Springs, I was greeted by an English butler – for a moment, I actually WAS James Bond. Having been shown to my room in a stunningly intimate hotel, it was time for the evening proceedings to kick off – a drinks reception followed by dinner, and an introduction to the first star of the show, the Vanquish Volante. This is the first Volante to have a full carbon-fibre skin, which has allowed them to create something really quite breathtaking.
Combine this with the immense power delivered from the 6.0L V12 engine and you get something so much more than a GT car – I can see why they like to refer to it as a ‘super’ GT. It’s a car that radiates elegance and luxury, two ingredients of the Aston Martin brand, but also makes a clear statement that it means business as a driver’s car; the classic Aston nose and grille are poised to gobble up whatever stands in its way. The 20-inch wheels, the oversize rear wheel arches, the carbon fibre detailing and the curvaceous lines in the bodywork give a real sense of speed and flow. I was ready to go. The following morning it was time to sample the goods. Co-pilot at the ready, we set off up into the canyons surrounding Palm Springs and out into the desert. I have to say this was one of the most enjoyable drives of my life. You might think the US isn’t the best place for a car launch with its long straight roads patrolled by power-crazed police enforcing ludicrously low speed limits, but Aston Martin had clearly done their research. There wasn’t a cop in sight and the roads easily compare to some of the best Alpine routes Europe has to offer. We did pass a couple of signs reading ‘Speed enforced by aircraft’, which only enhanced the fantasy of being a 007 agent evading the
‘ASTON MARTIN IS AS MUCH ABOUT LUXURY AND INDULGENCE, A LIFESTYLE, AS IT IS ABOUT MOTOR CARS.’
RPM BREAK HORSE POWER WEIGHT
5500 565 2320KG
DEEPFLIGHT SUPER FALCON This manned submersible, designed by Marine Engineer Graham Hawkes, takes revolutionary technology and underwater exploration to a whole new level. Encasing its passengers in clear domes, the Super Falcon has a low frontal area and a lightweight proprietary pressure hull, allowing its passengers to get up close and personal with Davy Jones’s locker. When it comes to the engineering, this electric submersible defies convention. Instead of using the traditional, two-dimensional method of buoyancy and displacement to glide through the water, this DeepFlight masterpiece relies on aerodynamic principles of lift, thrust and fixed positive buoyancy to ‘fly’ through the water. The Super Falcon is safer (self-righting, even after full immersion and self-return to the surface), cleaner (high-efficiency brushless DC drivetrain and underwater lithium-iron-phosphate battery pack), and more comfortable (adjustable carbon-fibre seats and flow air conditioning) than most of its peers, and with Richard Branson and Vladimir Putin making the investment, Super Falcon has well and truly secured its spot as the ultimate boys’ toy.
$1.7 million from www.deepflight.com
U-BOAT WORX C-EXPLORER 5 €2 million from www.uboatworx.nl Calling itself the world’s first sub-sea limousine, the C-Explorer 5 takes underwater luxury to a whole new level. Staying true to its maker’s ethos of creating high-performing, manoeuvrable, safe and cost-effective submersibles, this model reaches depths of up to 300 metres. Four passengers can enjoy air-conditioning, a single sideband acoustic telephone, sound system, an HD camera and GPS system. What is special about this model is its commitment to the user’s enjoyment and comfort. As you cruise at a speed of 3 knots, you and your friends can have a full 360-degree view from the acrylic pressure hull in comfortable surroundings. This is the ultimate toy for any yacht owner looking for a new world of underwater exploration. Your perspective on what lies below will never be the same again.
A RN A U D B AM B E R G E R TGJ: You’re a descendant of the fathers of cinema and a graduate in Philosophy and Economics. It’s fair to say that luxury jewellery was not the most obvious career path to follow - what attracted you to the business? And what would you have done otherwise? AB: The world of luxury, and more specifically that of watches and jewellery, is a privileged one. It has craft, savoir-faire and great traditions at its heart, and then a Maison like Cartier has the history and unique romance of famed clients and commissions, which continues to this day. These are the aspects that intrigued me, and I think I would have always found my way into this business of beauty. TGJ: After an itinerant decade in the 1980s, you settled in London in 1992 - what is it about the city that appeals to you? AB: London is where the whole world meets with culture, art and history. It is a most international city but with a British touch that makes it unique. For day-to-day life, it is a beautiful city too, with all of the parks and green squares. TGJ: Do you see London losing any of its present status as a ‘World City’ in the next few decades? AB: I don’t believe so; more and more people flock to London as it is a truly international city and still a financial centre. It is also home to institutions such as Royal Ascot, which cannot be replicated anywhere else. TGJ: You were named president of the Chambre du Commerce Française en Grande Bretagne in 2013 - what extra work does the role involve? And has recognition of the expatriate French community in Britain meant a lot of new investment here? AB: This role is a great honour and being a Frenchman who has been in London for so long, I feel that I can contribute with experience and knowledge developed over many years. The satisfaction I gain from meeting all sorts of new people far outweighs any extra work I have taken on. I hope to provide guidance to French companies
entering the market, drawing on my time at Cartier but also having lived in London for a number of years. My role is about promoting the two countries I prefer and building stronger relations between them in the economic world. TGJ: In terms of brand image, what measures have you taken to ensure that Cartier remains elegant and exclusive rather than flashy and bombastic? Striking a balance between commercial appeal and restraint must be difficult... AB: This really is about balancing the past with where we are going to in the future. Cartier prides itself in its heritage and its commitment to innovation. Cartier was always ahead of its time, defining luxury along the way with avant-garde yet classic products. For instance our new jewellery range, Clou, was avant-garde in the ‘70s and is nowadays still modern and ahead of its time in design and aesthetics. Pieces such as the Tank are iconic, instantly recognisable and timeless. Finally there is the exceptional craft and dedication that goes into each piece we create. This is what helps keep the balance, and maintains the integrity of the Maison. TGJ: How has the jewellery trade changed in the last 30 years? Is there anything you miss about the old days? AB: Customers have changed as people travel and purchase products around the world. The shopping experience becomes essential to acquire customers and maintain an experience of luxury and uniqueness. One of our unique points in London is that we have one of the three ‘temples’ of Cartier here. The history of the brand lies in London, New York and Paris - these are the oldest boutiques with the richest history, and there is a wealth of stories and experience. From my time and before, this has always enhanced our customer’s shopping experience. I have always kept to the same principles over the past 30 years, which I have remained faithful to. This means I am always able to move forward and embrace new things with little nostalgia.
TGJ: What has been the single biggest change to the industry? Has the Internet significantly changed the way it operates? AB: The digital age has definitely dawned and the luxury industry has started to embrace it. It opens a whole new way of communicating with our clients, both existing and new. The essentials of creativity and craft remain the same, but this tool for communicating to a new generation of people is an interesting and exciting opportunity. TGJ: Would you say that, with efficient management, a recession can be a positive thing for luxury brands? AB: We are fortunate at Cartier that from the beginning of our history, when the three Cartier brothers founded the Maison, that quality and integrity were central to our creations. This has meant that both in prosperous times and those that are more difficult, our clients remain faithful to us. Whether there is a recession or not, desirability must remain; there is always a way to find the glass half-full. TGJ: As new markets emerge (in Russia, and latterly in China, for example), have others declined? AB: We have both a strong local market, as well as many foreign clients from the Middle East, China and Russia amongst others. Yes, there is always a flux, but we are fortunate to enjoy an international clientele. TGJ: Your style has been described as ‘Classically British’ - not a compliment usually afforded to the British themselves. How does it feel to be an honorary Brit? AB: I am in many ways an anglophile. I value deeply how much I have been accepted into this wonderful culture, and I myself find it a great compliment. TGJ: Finally, where do you see yourself in ten years? Do you have plans to retire? AB: For now I am still at Cartier, and will continue to be so as long as I can add something.
By Victoria Gardiner
F IVE OBJE C T S WE WI SH WE OWNE D RIGHT NOW
1 £29,000 lucas rarities.com
2 £25,000 lapicida.com
MAGNUM 44 BANZAI
RONALD PHILIPPS – REGENCY 21-INCH TERRESTRIAL GLOBE
£POA magnum marine .com
£POA ronald phillips antiques.com
SAM LOXTON – SMOKER’S ENSEMBLE
Perfect for anyone who likes a smoke with their Art Deco. This ensemble compromises a black wood tray with agate, gold and black enamel handles. It contains fitted spaces for a ‘pot of cigarettes’ in agate with coral, onyx and cabochon rubies as well as stacker ash trays in the same with black enamel stands. Stamped with an 18-carat gold French eagle’s head dating from 1925, this would be a great piece for the billiards room.
Fancy something a bit out of the ordinary? Luxury stone specialists Lapicida are now producing scale model replicas of your own car! Each one is a unique work of art, representing a state-of-the-art process that begins with a 3D modelling of the vehicle. The model is then interpreted through a series of software programmes, which allows the image to be fine-tuned in 3D. This sets up the diamond drills that replicate its shape in exquisite detail.
5 £POA fiskens.com
Technologically the most advanced boat built in years, this beautiful new Magnum has impressive acceleration and top performance. Interiors include a double master cabin, a full size head with shower, and a luxurious salon. This is without mentioning the spacious cockpit complete with dinette area, cockpit refrigerator and ice maker. A sun deck with ample seating completes the exterior. Not a bad way to spend a few weeks in Monaco, we think.
This early 19th Century terrestrial globe by J&W Cary is fitted into a mahogany circular stand with a horizon ring above a veneered frieze and stands on three turned, tapering and reeded legs. The globe maps the journeys made by Captain Cook as well as those of the great explorers Captain Vancouver and the Comte de la Perouse. This globe would make a fabulous addition to any drawing room, whether on land or at sea. FISKENS THE ASTON MARTIN DB4 GT
Arguably one of the greatest cars ever manufactured, this is definitely one of the most valuable and collectable cars in Aston Martin’s history. First shown in October 1959 at the London Motor Show, the DB4 GT differed from the original DB4 as it was lighter with an upgraded engine. Designed to be equally at home on road and track, this car is an automobile enthusiast’s dream.