The intersection of passion and investment has rarely been more lucrative than in today’s luxury automotive market, where discerning collectors and high net-worth individuals are discovering that their garage can serve as both showroom and portfolio. David Moss, Managing Director and co-founder of Apollo Capital, has positioned his Harrogate-based firm at the epicentre of this remarkable transformation, facilitating over £250 million in luxury car financing during 2024 alone. From facilitating the acquisition of multimillion-pound Bugatti hypercars to releasing equity against appreciating Ferrari classics, Moss has built his reputation on understanding that today’s luxury vehicles often represent far more than mere transportation—they constitute serious alternative investments that have consistently outperformed traditional markets.
In this exclusive interview with The Executive Magazine, Moss reveals how his quarter-century of experience in supercar financing has equipped him to navigate an increasingly sophisticated market where Porsche 911s command waiting lists, Ferrari F50s have appreciated from £350,000 to over £4 million, and investment-grade vehicles have delivered returns of 10-14% over the past 25 years. As the co-founder of the award-winning firm recognised as ‘Best Specialist Car Finance Provider 2024’, Moss provides unparalleled insights into how successful entrepreneurs and serial collectors are leveraging their automotive assets for broader wealth management strategies, while maintaining the liquidity needed to capitalise on emerging opportunities across multiple investment sectors.
Having worked as supercar financiers since 1997 across major banks, motor dealers, and brokers before founding Apollo Capital in 2020, what fundamental shifts have you observed in the luxury car financing landscape over the past 25 years?
“One fundamental change is the dramatic increase in finance penetration within the new car market. In 1997, approximately 55% of new cars were funded through finance; today, that figure stands at around 80%, with an estimated 60-70% of all car purchases utilising some form of financing. This substantial growth is directly attributable to the increased availability of suitable financial products and options, coupled with a heightened awareness of the benefits of financing among consumers.
“Specifically within the luxury sector, there’s been a notable trend towards leveraging capital to maintain liquidity. High net worth individuals are increasingly opting to finance their luxury vehicles, thereby retaining their capital for other projects, particularly those with revenue-generating potential. This strategic approach to capital deployment has become a significant driver in the luxury financing landscape.
“Another critical factor shaping the market is the emergence of certain luxury cars as robust investment assets. Over the past 25 years, we’ve witnessed consistent appreciation in the value of specific investment-grade vehicles. For instance, a Ferrari F50, which commanded approximately £350,000 in 1997, would now sell for over £4 million.
“This investment potential has directly influenced financing strategies. At Apollo Capital, funding car collections is a significant part of our business, often involving releasing equity against current market values to facilitate further acquisitions. The investment performance of these vehicles is compelling: Hagerty’s Blue-Chip index, which tracks 25 of the most significant investment cars, outperformed the S&P 500 between 2007 and 2024, delivering returns of 10-14% over the past 25 years, compared to 7-10% for the S&P 500 and 7-9% for Gold during the same period. This strong appreciation underscores why luxury car financing has evolved to encompass sophisticated capital release and acquisition strategies, recognizing these vehicles not just as assets of enjoyment but also as significant investments.”
Apollo Capital facilitated over £250 million in luxury car financing during 2024 alone, covering prestige marques from Ferrari to Bugatti. What market conditions and client behaviours have driven this exceptional growth in the high-value automotive finance sector?
“As a business, we have consistently adapted to the evolving landscape of luxury automotive finance, developing bespoke products and solutions with our panel of lenders to meet the exacting and dynamic needs of our high-net-worth clientele. A key factor driving demand for our services in recent years has been our deep understanding of current market dynamics. A significant proportion of our business involves vehicles directly influenced by supply and demand fluctuations. Recent global events, such as the COVID-19 pandemic and the war in Ukraine, have notably impacted the supply of both luxury and investment-grade vehicles.
“Even within the new car market, we observe significant pricing fluctuations, with many limited-production new models commanding a premium. While our typical client is a sophisticated investor, they often also desire to acquire the latest models of specific vehicles and to be among the first to own them. Consequently, they are prepared to pay a premium. For us, understanding how supply and demand will influence future values is critical, as is maintaining constant vigilance regarding the latest developments in the automotive market.”
Your company’s client base spans high net-worth individuals, successful entrepreneurs, and serial car collectors seeking funding from £50,000 to multimillion-pound vehicles. How do you tailor financing solutions to meet the distinct requirements of these sophisticated clients compared to traditional automotive lending?
“The important thing is to appreciate that each client is different, we don’t have an off the shelf product, we ask pertinent questions when discussing options such as their intentions with the vehicle usage and change cycles, beyond this we can cover the specifics around target payments, deposits, and whether it is best to fund personally or through a business. Understanding our client is also key, representing high net worth individuals and sophisticated borrowers means we have to understanding their circumstances which are often unconventional when compared to traditional automotive lending.
“One recent trend we have seen is an increase in revenue from capital gains and director loans repayments, whilst this is a legitimate source of income it often reduces the taxable income a client receives which can cause challenges when approaching your traditional car funders, our knowledge of different tax structures helps understand and present the client to the lenders.”
Apollo Capital maintains relationships with over 50 leading funders specialising in sports, prestige, classic, super, and hypercars. How do you navigate the complex dynamics between multiple lenders to secure optimal terms for clients purchasing vehicles that often appreciate rather than depreciate?
“The lender panel diversity is beneficial in the sense that we cover all bases, and having strong, long standing relationships with the lenders means we have intricate knowledge of their credit policies. Appetite can vary across lenders depending on the nature of the vehicle, the value, the supply route amongst other factors, so the close relationships and extensive knowledge is important when determining client placement with lenders.
“We weigh up the overall benefits for the client, ranging from rates, to payments, and of course flexibility. Having supported most of the UK’s leading specialist car retailers in some form over the years means that we are also well placed in understanding the supply routes, our relationships often give the lenders the comfort to work with a supplier who may not be familiar to them.”
Beyond traditional dealership purchases, you facilitate financing for auction and private sale acquisitions, plus equity release and refinancing services. How do these alternative funding structures address the unique liquidity needs of collectors and investors in the luxury automotive space?
“Having the ability to adapt funding structures is critical for our clients, for us it is about being flexible and responsive to their changing needs. We often release equity from unencumbered vehicles to support the purchase of additional vehicles, but equally we can release equity to support other investments in businesses or property for example. As with most high net worth sectors, there is an entrepreneurial trend, and therefore we need solutions to support our clients however and whenever required. Naturally we are wanting to support our clients in securing the best deal possible, that extends from the finance deal to the supply of the vehicle also so being able to adapt is critical.”
Many of your clients treat classic and hypercar acquisitions as alternative investments alongside traditional portfolios. How do you counsel clients on leveraging these tangible assets for broader wealth management strategies, particularly regarding liquidity planning and portfolio diversification?
“We are there to support our clients in their investment planning, but do not offer advice when it comes to overall wealth management. Typically we deal with sophisticated investors, who see us as the experts when it comes to their automotive portfolio, in the same way as they have a lawyer, accountant and wealth manager. Whereas we provide logical solutions in terms of tailored finance products, we are also conscious not to detract from the emotional aspect of the transaction, this is a positive to most when looking at automotive as an alternative investment.
“Whilst a lot of investment cars are purchased with appreciation in mind, there is still a lot of enjoyment to be had, whether that is attending automotive events or membership of specialist automotive clubs where people can network and meet likeminded people.”
The luxury car finance market operates within a broader economic environment of interest rate fluctuations and regulatory changes. How do you help clients navigate these macroeconomic factors when making substantial automotive investments?
“We are fortunate that most of our clients are sophisticated investors and very knowledgeable when it comes to the general economic outlook, most high end investors are looking to diversify investments and capitalise on potential appreciation, as with any investment, values can go up or down, so we have to be clear with people on the risks involved.
“We tend to be a good barometer of where the demand for cars is, with our clients having an experienced eye for opportunities, so we see trends in enquiries on specific makes and models at certain ages or price points, this increased demand tends to go hand in hand with the inevitable appreciation in these particular cars.”