How to invest in Art
INVEST IN ART
A Fast-Rising Asset Class
If there is one area of investment guaranteed to provide a high level of cerebral stimulation, yet with it also offering the enticing possibilities of a substantial ROI, it is within the exciting world of art. Art is without doubt a fast-rising asset class, especially as unlike other investment options it comes with considerably less risk. In fact, concerning growth and the burgeoning attractiveness of investing in art, in just the last twenty years global sales in the art market have quadrupled, and in the first half of 2017 investment in art in the UK rose by 13 percent over the same period in 2016.
An Exponential Increase in Art Investment
This growth is in no small way due to increased investment, to the extent that investors - rather than private collectors - now dominate the art market. The Deloitte Luxembourg & ArtTactic Art & Finance Report of 2017 revealed that an extraordinary 86 percent of art purchases that year were driven by investment, as opposed to collecting and other factors - in itself a 26 percent increase since 2012. When figures for 2018 are revealed it is fully expected that a further marked increase will have occurred, confirming art investment as an established asset class of exponential growth.
Moving Into Art Investment
Just as investing in any market blindly is folly, plunging straight in to art investment as an uninformed decision, without at least a basic working knowledge of the market, is extremely unwise. Whether investing to collect or resell for a profit, consulting market experts or conducting thorough research into both known names and currently trending artists will prove invaluable. Simply observing the market for a time, including visiting galleries and auction houses, taking note of the most consistently talked about names, is a good way to start before a commitment to invest.
Which Artists to Invest In?
New talent in the art world is emerging all the time, therefore serious art investors need to keep their fingers on the pulse of a fast moving scene. Of course, investing in established names with proven records of prolificacy, consistency; solid gallery/dealer support and a history of auction success should carry less risk than lesser known names, but equally will attract more investors. It may be a more appealing investment proposition to follow the aforementioned emerging talent, those bringing innovation and freshness to the table. British artists in this realm that might currently be considered, for example, would include such as Dickon Drury, Michael Pybus, or the brilliant ceramicists Lena Peters and Barnaby Barford.
Compare The Financial Markets is affiliated with some of the most innovative independent art galleries in London, and can connect investors with expert consultants in the art market. Contact Compare The Financial Markets today for further information on how to invest in art by filling in the simple form below.
