Patek Philippe

Watch4Steve
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Why I did it (part II)

So, why does a guy give up a watch that took his breath away (5070P) and trade it into an even more ridiculously expensive one (5970P)?  My thought process went something like this:

Emotional / Attraction

The blue dial of the 5070P is singularly stunning.  It was, by far, the biggest factor arguing against giving it up.  It has to be seen to be appreciated and along with the beautiful work of the numerals and markers it makes for a  true work of art.  However, over time I became increasingly bothered and distracted by the oversized case.  At 42MM  I was always cautious (I am not a "big watch" guy), but it felt good on my wrist and never looked out of scale when I wore it.  The problem for me was the big bezel.  It reminds me of rings around Saturn, or something.  I couldn't help but see it as a masterpiece painting that was overwhelmed by its frame.  I know a lot of folks love the "perfectly imperfect" look of this watch, and I understand that view, but I found my initial burning infatuation starting to cool somewhat.

At the same time I have been warming up to the new in-house 5170.  At first I thought the design was somewhat dry and uninspired, but after seeing some of the great pictures on this forum and learning more about the details of the new movement, I am really falling for it.  I will pass on the YG and wait for it to come out in other metals, but I definitely see one in my future.

The perpetual chrono, to my mind is where Patek is at its best and it is the quintessential "kick-ass" watch.  Granted, the minute repeaters are romantic and deservedly revered, but I think the perpetual chrono is where Patek has historically marked its technical and aesthetic dominance over its competitors.  Nobody touches them in this field and the 5970 is my favorite of all the references over the years.  I struggled quite a bit choosing between RG and platinum, but ended up deciding that if I was going to get a watch like this I was going to get in the king of the hill metal. 

Intellectual

Hard as it was to part with my 5070, it has allowed me to accomplish a few important things with respect to my overall collection strategy.  First, it gives me a beautiful and classical black-dialed dress watch.  I am a suit-and-tie businessman and most of my watches are worn in that capacity.  Second, I get an iconic Patek perpetual chrono (how can that be bad?) as the current top dog of my collection.  Further, in the event that the Lemania movement becomes an important collector piece in the future (I am skeptical of this), my collection has that represented with the 5970.  I have also freed up a spot for a simple chrono with the new in-house movement.

Finally, I see this as a can't miss investment opportunity (he said, tongue-in-cheek).  Follow my logic:

The reference 1527 perpetual chrono that sold at Christie's recently for $5.86 million was made in 1943. While the 1527 was a one-of-a-kind piece, the 1518 was the same watch with a different case.  According to John Reardon's "Patek Philippe in America", the 1518 sold for $1,500 in 1945. Let's assume this was the sale price of the 1527. This represents a 13.13% compounded annual return during the 57 years since 1943. Granted, my 5970P is not a unique piece, but most folks seem to agree that about 200-250 were made.  Let's assume that in 57 years 100 of them remain in a marketable condition. Dividing the $5.86MM by 100 still yields $58,600 which represents a 6.64% annual rate of appreciation.
• A $140,000 watch today, appreciating at 6.64% per year will be worth $5,464,819 in 2067 (57 years from now).  My kids/grandkids will marvel at my foresight!

So there you have it.  Emotional attraction coupled with impeccable logic  - the perfect choice! (Until the next head-turning beauty steals my heart.)  Thanks for listening to my story.

Steve