Last week we had the pleasure of hosting our Sydney spring lunch onboard Como Sydney, thanks to Circle member Dorry Kordahi, Managing Director and Co-owner of DKM Blue.
A special thanks to our panellists Simon Lynch (Scott Dunn), Tom Reilly (Thoroughbred Breeders Australia – TBA) and James Harron (James Harron Bloodstock) who provided a fascinating insight into the elite world of luxury private travel and the proliferate Australian thoroughbred racing industry. To learn from the experts in the know, please read on.
UHNW Private Travel – Scott Dunn Private
Simon Lynch, the Global Director of Scott Dunn Private Travel, knows exactly what UHNW travellers seek in terms of the very best in quality, exclusivity, heritage, and fine design. Scott Dunn Private is a fully bespoke private leisure offering for travel with approximately 1,000 members who are paying in the region of USD 300,000 per year to seek one-of-a-kind travel experiences. Scott Dunn Private operates on a truly bespoke basis, organising everything from simple requirements such as a trip to the Maldives to the extraordinary. At Scott Dunn Private the team prides itself on delivery. Recently an exclusive dinner for a party of eight took place in the Tower of London in front of the Crown Jewels. The requirements? Wear black, no jewellery, and strictly no photography. Guests dined in opulence and for one evening were able to wear 7 pieces from the Crown Jewels collection.
Which Destinations are Trending?
Travel is clearly on the rise. People are prioritising experiences, making memories, and living to the full in the now. Just after the pandemic, everything was about going back to what you know. A nostalgic trip to that beach you went to in your childhood, places people always loved and wanted to refamiliarise themselves with. That’s now passed, and people are trying to get out to their bucket list destinations. For UHNW Australian travellers a popular destination is Iceland, a trip to Reykjavik to experience something completely alien to their home turf. Other destinations that have come through since the pandemic are places like the Galapagos and Antarctica – real once-in-a-lifetime trips. Instead of London, Paris and New York, the focus is on interesting experiential destinations.
The team at Scott Dunn Private have real-time insights into what their elite members are looking for. A current trend is collecting. Members are eager to travel around the world to fulfil their collecting ambitions. For instance, art is proving to be a real driver, with clients seeking various artworks on a global scale. Vintage cars are also proving to be very popular. A recent trip organised for families from Singapore involved 10 vintage Ferrari’s driving around Japan. There is a trip in India currently taking place for a client who loves jewellery, where they are discovering sapphires at source, and meeting people within the sapphire industry.
For the last few years, it’s all been about Japan and now attention has moved to South Korea. Everyone wants to get into South Korea and see what it’s all about, it’s so forthright now in terms of media, and music and there are a lot of unknowns people want to explore. Other places that have come through from nowhere include Nepal, where quite a few people want to get into the Himalayas seeking nature and adventure. And at a more normal level, something that will never change, it’s Italy – people just love going there and that is something that we will continue to see for years to come.
An Insight into Australian Thoroughbred Breeders
Tom Reilly is the Chief Executive Officer at TBA, the national peak body established for the benefit of the Australian thoroughbred breeding industry, which is the second largest in the world. Second only to America in terms of thoroughbred horse population, the number of mares (21,500) and stallions (700) in Australia dwarfs that in other established countries such as the UK, Ireland, Japan, and New Zealand. Tom is also the CEO of Aushorse, the marketing body for breeding and owning racehorses in Australia. Together with James Harron, the mastermind behind James Harron Bloodstock, a leading bloodstock agent which has supplied winning racehorses for families around the world, we have gleaned an insight into the expert selection and diligent management that enables owners to identify and nurture champions of the turf.
It’s been a busy time on the horseracing circuit recently with the Spring Carnival in Melbourne having just taken place. Australia has the second largest breeding industry in the world, followed closely behind America which produces the most thoroughbred horses. Australia has the second highest number of races in the world, and there are more racecourses in Australia than in any other country in the world. Wherever you go, whether it’s New South Wales or Victoria, wherever it is, racing is part of the community, it’s part of life in Australia.
Aushorse is funded by the breeders in Australia. About 15 – 20 years ago, they saw that that the international racehorse industry was getting bigger and bigger and wanted to ensure that people around the world knew that there was this great thing in Australia and people should travel to see the action. Despite geographically being distanced from the rest of the world, in the racing industry people come here with lots of international owners and love to be involved in the thriving community.
Horseracing Ownership – A Strategic Investment
The industry globally, and especially in Australia over the past 10-12 years has grown so much. It’s evolved into a completely different beast. The inclusivity of the business is amazing, and so many people have a share in a horse. Australia has about 105,000 people who own racehorses. From part-ownership, i.e., 2.5% to owning 50 – 100 racehorses. Whatever level, they are all registered racehorse owners. To put this into perspective, in America, there are 30,000 owners and in the UK, there are less than 15,000 owners. The wide spectrum of owners makes for a very healthy industry as so many people get to be involved. It gives people the option and as with any form of risk, you can diversify. The community aspect is also huge as people get to share the enjoyment with other owners. This funding model is unique, places like the UK tend to have single ownership and it isn’t very diverse. In Australia, the funding model works well. There are approximately 95 million dollar-races scheduled for next year, in the whole of Europe there are 30 million dollar-races. Gambling has become such a huge thing, something which plays a large part in the funding model in Australia. The industry has capitalised on that, and fortunately, it’s been pushed into the prize money.
Horseracing – A Professional Sport
James Harron Bloodstock is bringing professionalism into the sport, they have moved away from the large syndication model to something more similar to The Circle, which encompasses a partnership approach. The company focuses on high-net-worth individuals, targeting areas of the business that are the most lucrative in return for investment terms, whilst still enjoying the wonderful social aspects of the sport.
It’s been a busy time on the horseracing circuit recently with the Spring Carnival in Melbourne having just taken place. Australia has the second largest breeding industry in the world, followed closely behind America which produces the most thoroughbred horses. Australia has the second highest number of races in the world, and there are more racecourses in Australia than in any other country in the world. Wherever you go, whether it’s New South Wales or Victoria, wherever it is, racing is part of the community, it’s part of life in Australia.
Aushorse is funded by the breeders in Australia. About 15 – 20 years ago, they saw that that the international racehorse industry was getting bigger and bigger and wanted to ensure that people around the world knew that there was this great thing in Australia and people should travel to see the action. Despite geographically being distanced from the rest of the world, in the racing industry people come here with lots of international owners and love to be involved in the thriving community.
There’s a strategy now, previously people used to club together socially in a syndicate whereas today owners have an investment plan. All horses have ownership deed agreements where people can fully understand what they are getting out of their investments, from veterinary aspects to performance. James personally still undertakes all the legwork, looking at every single animal that’s on offer throughout the year. From here a shortlist is made and provided to prospective investors, of which James Harron Bloodstock are also involved in, personally investing too. They invest in a lot of their horses, so they too are part of that partnership. Owners are included in the entire process, after all, it’s an enjoyable one.
It’s a difficult business with lots of links in the chain, so it’s important to ensure you have the best of the best operating at every level. When James typically buys these horses, they are yearlings, so they are being judged on their pedigrees, how they look to the eye, how they move when they walk etc. If it was obvious, everyone would do it. It’s all about being around like-minded people who have a shared passion and through experience, they know when the next future star pops up.
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