Designers hate the fake bags and other knock-offs because it costs them money. The seizure of the knock-offs, could also help the Claymore/Robb Luxury (ROB). The ETF holds 4.65% toward LVMH Moet Hennessy Louis Vuitton, and 3% toward Nordstrom, which carry some of the higher end names such as Dolce & Gabbana, Armani and Prada. The fund is down 22.7% year-to-date.
Coach, meanwhile, reported a 33% profit for its fourth quarter, say Chris Burritt and Cotten Timberlake for Bloomberg. But the nation’s largest maker of luxury leather handbags full-year profit estimates trail what analysts had been expecting. Coach (COH) is 4.7% of ROB.
Let’s go shopping. But not for fakes!