Investing in LEGO for Future Wealth: A Playful Path to Profits
When most people think of LEGO, they imagine colorful bricks, creative play, and hours of fun for children (and adults alike!). However, a growing number of savvy investors are beginning to recognize LEGO sets as a viable investment strategy—one that can yield surprising returns over time. Yes, you heard it right: those little plastic bricks could be the key to building your future wealth.
Why LEGO? The Value of Nostalgia and Limited Edition Sets
LEGO sets have an intrinsic value that goes beyond their initial purchase price. Much like fine art or vintage toys, the value of a LEGO set often increases with age, especially when kept in pristine condition. Several factors contribute to this:
Nostalgia: LEGO is not just a toy; it’s a cultural icon. People who grew up playing with LEGO often seek out sets from their childhood, willing to pay a premium for a sealed set that brings back memories.
Limited Edition and Retired Sets: LEGO regularly retires sets, which immediately increases their rarity. Limited edition sets, often released in collaboration with popular franchises like Star Wars, Harry Potter, or Marvel, are especially sought after. Once these sets are retired, their value can skyrocket on the secondary market.
Collectibility: LEGO has a dedicated fanbase of Adult Fans of LEGO (AFOLs), who are not just playing with the sets but actively collecting them. These collectors often look for rare and exclusive sets, which can lead to bidding wars on platforms like eBay, driving prices even higher.
The Numbers Don’t Lie: The ROI on LEGO Sets
Studies have shown that some LEGO sets can outperform traditional investments like stocks, bonds, or even gold. According to a study from the Higher School of Economics in Moscow, retired LEGO sets appreciated in value by 11% annually between 1987 and 2015, which is higher than the average returns from stocks or gold during the same period.
For example, the LEGO Star Wars Millennium Falcon (10179), originally sold for around $500 in 2007, now commands prices upwards of $5,000 for a mint condition set. That’s a 900% increase in value over a little more than a decade!
How to Start Your LEGO Investment Journey
If you’re considering diving into the world of LEGO investing, here are a few tips to get you started:
Research and Stay Informed: Just like with any investment, knowledge is power. Stay up to date with LEGO news, including new releases and retirement announcements. Online forums, LEGO enthusiast websites, and social media groups can be valuable resources.
Buy and Hold: The key to maximizing your LEGO investment is patience. While some sets may increase in value quickly, most will take several years to reach their peak. Aim to buy sets when they are first released and hold onto them until they retire and become scarce.
Condition is Crucial: The value of a LEGO set is significantly higher if it’s in mint condition. This means keeping the box sealed, avoiding any damage to the packaging, and storing the set in a cool, dry place to prevent deterioration.
Diversify Your Collection: Just like in the stock market, it’s wise to diversify your LEGO investments. Invest in a mix of themes, including popular ones like Star Wars, Creator Expert, and Ideas, as well as some lesser-known or niche themes that could become more valuable over time.
Consider the Long Term: LEGO investing is not a get-rich-quick scheme. It’s a long-term strategy that requires patience and careful planning. If you’re in it for the long haul, the potential rewards can be significant.
The Fun Factor: Enjoying Your Investment
One of the best things about investing in LEGO is that it’s not just about the money. Unlike traditional investments, LEGO sets offer tangible, hands-on enjoyment. Whether you choose to build the sets yourself or simply admire them in their sealed boxes, there’s a joy that comes from owning and collecting LEGO that’s hard to match with other investments.
Plus, if you’re a parent, investing in LEGO offers a unique opportunity to share your passion with your kids. Not only can you enjoy building and creating together, but you’re also teaching them valuable lessons about saving, investing, and the potential for turning a hobby into wealth.
Building Wealth, Brick by Brick
Investing in LEGO is a unique and fun way to diversify your portfolio while indulging in a beloved hobby. With careful research, patience, and a little bit of luck, those colorful bricks could turn into a golden nest egg. So next time you’re considering a new investment, don’t overlook the humble LEGO set—it just might be the key to building your future wealth, one brick at a time.
Build, Display, Repeat.
