Why Prominent Domain Investor Dr. Chris Hartnett is Buying Guns and Ammunition

Dr. Chris Hartnett, whom we did a very popular Cover Story on in June 2008, is one of the most well-known investors in the domain business. However, Chris has always believed in 

diversifying one's assets to hedge against disaster in any one category. In the past he has put money in a number of other desirable assets including gold and gemstones. However, according to a new story at TheDaily.com, Hartnett is among a growing number of private investors who have come to believe that  guns and ammunition now offer one of the safest havens for those who want  to hedge their bets. 

Many who know Chris, a pacifist at heart who has been a nearly life long practitioner of transcendental meditation, will undoubtedly be surprised to hear about his interest in firearms, but Hartnett told TheDaily.com that, from a financial standpoint, the category was too attractive to ignore. 

“Old, rare, antique and unique guns bring big money,” Hartnett noted. He said his collection includes some unusual guns including sniper rifles that can hit a target 1,000 yards away.

Dr. Chris Hartnett

Hartnett also buys ordinary guns, along with cases of bullets, because he feels they are likely to hold their value during good times and appreciate in value during turbulent times. 

Hartnett told TheDaily that pawn shops have been one of the best sources for building his collection. He also utilizes an auction site at GunBroker.com, where Benelli shotguns, Springfield rifles and Ruger .357 revolvers are among the most popular items. "If things ever get really bad, guns and ammo will be a big commodity,” Hartnett opined.

If you look at Wall Street there is more evidence that Hartnett could be on the right track. TheDaily noted that despite a stagnant economy, shares of publicly traded gun companies soared this year, even though returns for the Standard and Poor’s 500 were flat. Smith and Wesson rose 17% while Sturm Ruger exploded, gaining 118%. 

For disciples of diversification, that means the next time they are ready to pull the trigger on a domain purchase they may have to consider whether the money would be better spent on a .38! I have to admit, I never saw that conundrum coming!

(Posted Dec. 27, 2011)