Optimism in the Air Leading Up to Saratoga Sale

The August air in Saratoga Springs, N.Y., is often heavy with humidity, but optimism pervades throughout the upstate town in advance of the Fasig-Tipton Saratoga selected yearling sale.

The sale at the Humphrey S. Finney pavilion will be held Aug. 7-8, with sessions beginning at 6:30 p.m. ET nightly.

"We're optimistic," said Fasig-Tipton president Boyd Browning Jr. "I think buyers will find a very good group of horses on the sale grounds and consignors will see a very consistent market with a lot of interest and activity."

The 227 head cataloged this year reflects a 9.9% decline from the 252 entered last year, when Fasig-Tipton reported 156 horses sold for $45,570,000, compared with gross receipts of $46,755,000 for 145 that changed hands in 2015. The 2016 average price of $292,115 was down 9.4% from $322,448 in 2015, and the median declined 5%, from $250,000 to $237,500. The 47 horses not sold represented a 23.15% buyback rate, compared with 15.2% in 2015.

The sale catalog cover features champions Tepin, Songbird, and Stellar Wind, classic winner Tapwrit, and grade 1 winner Avenge—all Saratoga selected sale graduates.

According to Blood-Horse's MarketWatch, the Saratoga sale ranks at the top of all major North American yearling sales by percentage of grade 1 winners, graded stakes winners, and stakes winners produced from horses sold.

"It's pretty remarkable, the quality of the horses that have graduated from that sale in recent years," Browning said. "It gives sellers great confidence and buyers great confidence when you see the quality of horses that have emerged from the sale. They are special horses that have captured the imagination of folks, not just in America but of people around the world."

Situated in a bucolic setting, with the nearby Saratoga Race Course conducting one of the strongest meets on the racing calendar, the Fasig-Tipton auction is an anomaly among sales. Mornings are spent conducting yearling inspections, then many opt to attend the races in the afternoons. Social activities dominate evenings, as the industry's key players descend upon the town.

There are several reasons for optimism going into this year's auction, according to those showing and looking at yearlings over the weekend—the strength of the U.S. economy, success rate of horses that went through the Saratoga sale ring, increases in numbers at the 2-year-olds in training sales and the Fasig-Tipton July yearling sale, and the quality of horses entered this year. Many say the catalog is one of the strongest in recent memory.

"I think it is going to be strong," said Andrew Cary of Select Sales. "The July sale was great (and) the catalog has tightened up a little (in number offered). People know what the buyers want here. The track record out of this sale is pretty incredible. There really is no better setting in which to buy a horse."

"It's one of the strongest groups I have seen up here in a long time," said Meg Levy of Bluewater Sales. "A lot of people's short lists are going to be long lists."

"We're cautiously optimistic," said Allaire Ryan, sales director at Lane's End. "You do a lot of homework before you bring a horse up here, and we try to bring a group that is cohesive. Horses that stand on their own."

"I think it's going to be good," said buyer Mike Ryan, with a caveat. "It's going to be selective. If you have what they want, you are going to get paid."

Craig Bandoroff of Denali Stud agreed the sale will likely mirror other auctions over the last several years, in which buyers can afford to be selective.

"I don't think it is going to be any different from what we've seen," he said. "You're going to have to clear the bar. If you clear the bar you're going to be well-paid. ... If you have the physical horse you will have plenty of people (bidding) on them."

"I would think this will be a positive sale," said Archie St. George of St. George Sales. "The July sale was good across the board. The top end is buzzing and the middle should be solid, based on July. The supply is coming down to meet demand."

While the Saratoga sale has a reputation as a marketplace tailor made for end-users and too pricey for pinhookers, there was no shortage of activity in the barn area by buyers looking for yearlings to resell as 2-year-olds.

"We can't afford to buy at the top end here, but there are always some that fall through the cracks," said Al Pike of Pike Racing and Sales. You have to do your homework and you have to shake the bushes to find them."

Ryan, who buys for prominent owners but also has a successful pinhooking operation, said he was only on one track at the Saratoga sale.

"It is very competitive and nothing gets missed," Ryan said. "I am looking for end-users, because it is very hard to pinhook one out of here because of the price level."