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Invest In Art |
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The Rewards Aren't Always Financial
Art has long been considered an investment of passion, one that not only offers aesthetic pleasure but the potential for economic benefit. Only recently has art investing been viewed through the lens of modern portfolio theory and considered as a potential alternative investment in a portfolio of assets. Though research continues to shed more light on what has been historically an opaque market, studies show that art can offer long-term return potential that is uncorrelated with other asset classes.
Market paradigms have shifted dramatically over the last several decades, as newly created wealth in emerging markets such as China, Russia and the Middle East has increased the number of participants in the art trade, giving the market greater resiliency. Undeterred by a rough economic environment in recent years, collectors globally are paying record sums for top works. Despite art's attractive upside as an investment, the lack of market transparency, illiquidity and high object costs have generally limited participation to a select class of wealthy individuals, leaving most institutional investors on the sidelines. |
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