Post by Cambridge Judge Business School

Why do people invest in art, wine or classic cars - even when the returns disappoint? New research, co-authored by Professor Elroy Dimson from Cambridge Judge Business School shows it’s because these assets deliver something markets usually ignore: emotional value. Analysing 110 years of data across 13 collectible categories, the study finds a clear trade‑off. Assets that generate enjoyment, status and identity offer a measurable “emotional yield” - but lower long‑term financial returns. The insight has wider implications too, suggesting that investments with strong non‑financial benefits, including ESG assets, may also come with a cost. ✨ Feel‑good investing delivers value - just not always on the balance sheet. #AssetManagement #LongTermInvesting #FinancialResearch #Investing