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ART MARKET RELATED STOCKS 2007-05-14 00:37:45 ART MARKET RELATED STOCKS
Did you know that you can still invest in the art market without ever buying a piece of art??. There are many businesses involved in art that have done very well from the increased interest in the art market. Some of these businesses are public companies which means that they are listed on a stock exchange and you can buy shares in these companies. For those of you that are not comfortable investing in pieces of art but are willing to invest in the share market, you can get the best of both worlds by investing in companies involved in the art market. You don’t have to know anything about art to invest in the stock market so if you are still learning about art, this is an alternative well worth consideringÂ
The most well known publicly listed companies involved in the art market are:
Sotheby’s (BID) - lis
What to expect 2007-03-16 00:00:19 What to expect
One of the main reasons people are reluctant to invest in art because they are unaware of what they should expect from an investment in art and how it fits into their current investment strategy. I would never suggest that someone put all their money in art but it has been suggested by financial experts that you should look at 10% to 15% of your investments in art.
Another aspect of that people need to be aware of is that art investment is a medium to long term investment. You should be prepared to hold onto your investment for a minimum of five years but be prepared to sell earlier should something happen that has a dramatic affect on the value of the artwork.
The decision also needs to be made as to whether there is an aesthetic interest as well as an financial interest or purely a financial interest as this can have an impact on the choices you have to make.
Consideration also needs to be given to the amount of risk that you are prepared to
Excuses, Excuses 2007-03-13 02:03:54 Excuses, Excuses
The art market is hundreds of years old but yet investing in art is a new and often daunting concept for many people. Not considered to be a main stream investment such as shares and property, art has only just begun to receive the recognition that it deserves although there is still a long way to go.
As an art consultant I am constantly talking to people about art investment and have noticed that there are a number of questions, queries and concerns that pop up on a regular basis. Over the coming weeks I will address these issues and concerns and try to dispel some of the myths that surround art investment.
One of the biggest hurdles that most people face when considering investing in art is fear of the unknown. It is easier for people to go with what they are familiar with even if it is not the best option for them. People often say to me that they don’t invest in art because they don’t know enough about it but I often find that this Read more:Excuses
Vintage Posters 2007-03-13 02:03:27 Vintage Posters
In the top right hand corner of this site I have a picture of a vintage advertising poster. The reason for this is that there has been a surge in the popularity of vintage advertising posters (usually pre 1970) recently which have proven to be a very good investment for those looking for a low cost entry into the art market.
Prices can range from less than $100 up to several thousand dollars depending on such factors as the artist, condition, rarity and subject. Â
The most popular subjects of advertising posters are travel, products, events and movies. It is important to make sure that you are purchasing an original print from the original print run and not a reproduction so make sure that you ask the right questions and get a certificate of authenticity when ever possible. There are plenty of sites on the net devoted to vintage posters so do as much research as you can before making an investment. Â
Not only can vintage posters be a great investment but th Read more:Vintage
Which artist? 2007-03-08 23:11:45 Which artist
When looking at investing in art it is easy to focus purely on the aesthetics which is really only part of the investment. If you purchase an artwork you are not just investing in the artwork its self, you are also investing in the artists career which is especially important when looking at emerging artists.
The last thing that you would want having invested in a painting by an emerging artists is for the artist to wake up in six months time and decide that being an artist was not for them. This would obviously have an adverse affect on the value of the artwork as there would be no progression in the artists career. It is therefore imperative that when looking at investing in an emerging artist you do your research before hand to ensure that there is sufficient evidence to prove that the artist is committed to being an artist and furthering their career.Â
There are several factors that you can look at to determine whether an artist is committed to the
Why invest in art? 2007-03-05 23:26:56 Why invest
in art?
One of the questions I am sure that you are asking yourself at the moment is WHY SHOULD I INVEST IN ART ??????. Well there are several reasons. First of all the art market is a relatively insulated market which means that outside influences such as the economy, the share market, interest rates etc. tend to have very little, if any, impact on the value of artworks. This also means that the art market tends to be very stable compared to other investment markets.Â
Secondly art is an asset backed investment which means that you are investing in something tangible as opposed to the stock market where you could potentially end up with nothing. An artwork will always have a value and if chosen correctly should not go down in value with a worst case scenario of the artwork holding its value for a period of time.
Thirdly the art market allows you to invest in something that is not only a good investment but also provides long lasting enjoyment, a factor
Where to start? 2007-03-05 23:26:28 Where to start?
As auction records continue to be regularly broken and the art market continues on an upward climb more and more people are taking an interest in investing in art. But where does one start??? I would suggest first of all that you do some research into the art market starting with some of the major newspaper and financial news websites in your country which will should include articles and columns on art and the art market. If you search for art and art and art investment in the news website archives you should come up with quite a bit of information, facts and figures to give you some kind of idea of how the art market is tracking.
I would also have a look at some of the art market index sites such as artprice.com, findartinfo.com and artnet.com all of which will give you give you some idea of how the performance of the art market is tracked. It is important for you to do your own research to satisfy yourself which shouldn’t be too hard considerin
WHAT TO BUY? 2007-05-22 18:59:40 WHAT TO BUY?
One of the difficulties of purchasing art is choosing what to buy and its even harder when you are purchasing for investment purposes. Although you may not have the knowledge, information or experience to be able to make an informed decision there are people out there who do.
You may have noticed that many large companies such as Deutsche Bank have significant art collections which are often made up of emerging and mid career artists. Most of these companies with art collections will have to justify their purchases to their board, staff, clients and investors which means that they need to be as sure as they can that they are making a good investment. I’m sure you can imagine that it would be very bad for a company to invest in art that was going to go down in price so these companies would have to make sure that they had as m
ART INVESTMENT FUNDS 2007-05-29 01:11:44 ART INVESTMENT FUNDS
Art investment funds have been around for quite a while now with the most notable example being the British Rail fund. Because of the boom in the art market recently there has been renewed interest in the idea of art investment funds.
Many previous attempts to get these funds off the ground have not been successful die to a lack of investor confidence and knowledge of the art market. There was also some justified concern in the lack of art market knowledge that the people setting up these funds had which also contributed too many failures. There is already a lack of confidence in the art market as it is so by not arming themselves with people who had this knowledge was a poor decision. It should not be a financial institution that starts an art fund but an arts institution which is where these companies went wrong.
INDIAN ART MARKET 2007-05-31 19:18:20 INDIAN ART MARKET
The Indian art market has been receiving a lot of media attention recently and with good reason. Although it may not seem like a country that could sustain an art market, India has recently experienced an economic boom that has seen the emergence of a new wealthy class of people who need something to invest their money in. With art prices in India tripling across the board there is a good reason why people are viewing India as a serious player in the world art market.
The auction market in India gives a good indication of the progress of the art market which was worth $150 million last year which is almost triple what it was worth in 2005. The number of buyers is still relatively small but with such a large population and continued economic growth the future for India’s art market should be huge.
To give you an idea of how far the market has
Indian Art Funds 2007-06-04 01:25:20 INDIAN ART FUNDS
With the Indian art market now receiving substantial publicity and receiving significant interest from investors and collectors around the world it would be hard not to recommend contemporary Indian art as part of a portfolio. All the right signs are there with art market indexes being produced for the Indian art market, auction houses showing interest in the region, the creation of at least three major art investment funds (Crayon Capital Art Fund, Osian’s Art Fund and Yatra Art Fund) and galleries all over the world tripping over each other to get the most popular artists on board for exhibitions.
The Mahishasura by Tyeb Mehta
With a population of 1.1 billion people, India has the people power and the potential to have a major impact on the world art market in the future. Several major finance related companies in India such as Bajaj Cap Read more:Funds
RESALE ROYALTIES 2007-06-19 18:50:50 RESALE ROYALTIES
One of the major talking points in the art world of late has been resale royalties. For those of you who are not familiar with the art market and royalties for artists, in most countries artists only get paid when an artwork is sold for the first time on the primary market. For many years there has been a call for artists to receive some sort of financial remuneration for each subsequent sale of their artwork after the artwork leaves the hands of the artist. After all, other people are making money off the artists work so why shouldn’t the artist get a share.
There has of course been opposition to resale royalties by many people in the art market because it would mean that they would have higher costs and therefore would either have to pass the costs onto the vendors or take a cut in profits. Either way, the art market has generally been against the idea. I suppose one needs to look at the big picture and take into account that artists need money to live and pr
A Solution to Fake and Fraudulent Artworks? 2007-06-26 18:12:49 A Solution
to Fake and Fraudulent
Artworks?
A new company by the name of Identeart http://www.indenteart.com has just launched a new artwork authentication system for artworks which I think is extremely exciting and very useful for anyone buying or selling artwork. Identeart has designed a label which incorporates datadotDNA which is basically a tiny dot on which information can be printed and then attached to the back of a canvas. According to the Identeart website DataDotDNA http://www.datadot.com.au consists of tiny discs, about the size of a grain of sand, each laser-etched with multiple lines of code. The code is unique for each asset and is stored on our worldwide verification database.
Fake print of ‘Battle of Tetuan’ by Salvador Dali
The label its self is designed so that it cannot be completely removed and will always leave an identifiable trace of the sticker on the item.. The information on the label can be scanned with a special scanner revealing the information
AESTHETICS 2007-07-01 00:30:59 AESTHETICS
There have been many different views and comments by people in the art world as to whether or not the aesthetics of an artwork is the primary motivator of the value of a work. Unfortunately there is no simple answer to this question because there are too many variables to take into consideration and too many different scenarios to account for. There are however some important points that can be used when making decisions about which artist or artwork to invest in.
The value of an artists work can be positively affected by many different things such as controversy, awards, exhibitions, media coverage, association with other people in the public eye, etc. These scenarios have been shown to be able to raise the profile of an artist and increase the value of their work even if the art they produce is not of a standard that would normally warrant such an increase. People tend to react to hype and make emotional purchases based only on an often misleading escala
IMPORTANCE OF AN ARTISTS CAREER 2007-07-11 11:39:19 IMPORTANCE OF AN ARTISTS CAREER
Having mentioned the importance of an artists career and profile many times, I think it is important to look at how someone like Cy Twombly, who I have discussed in posts above, originally made his name and raised his profile.
The first big break for Twombly came in 1950 when he met Robert Rauschenberg while he was studying at the Art Students League in New York. Rauschenberg convinced Twombly to go and study at the Black Mountain College where he met John Cage and studied under Robert Motherwell, Franz Klein and Ben Shahn. You may have already recognised the names of some of the greatest modern artists such as Rauschenberg, Klein and Motherwell with whom Twombly was able to associate with which was a great boost for his career and profile.
Twombly had also studied at the School of Museum of Fine Art in Boston as well as Lee University in Lexington before he was at the Art Students league in New York where he met Rauschenberg. Two
GREAT ARTIST OR JUST GREAT PAINTER? 2007-07-15 09:49:50 GREAT ARTIST OR JUST GREAT PAINTER?
I think that one of the most important questions you should ask yourself when looking at investing in an artwork should be “is the creator of the artwork a great artist or just a great painter (or sculptor, drawer etc.)??”. The reason for this question is simple, there are plenty of extremely good painters, drawers, sculptors out there whose artistic careers may never venture beyond what may be considered a hobby. So with an art market that is driven by many factors other than aesthetics, merely buying an great painting by an amateur or hobbyist artist is very unlikely to make you any money in the future.
If you are purely interested in the aesthetics of an artwork then the term great painter and great artist are interchangeable. But as soon as you start looking at an artwork from an investment point of view the definition of a great artist has to change because in order to make a good investment decision you need to be a
For The Artists: HOW TO GET NOTICED NOW!! 2007-08-07 00:51:54 Update 9/8/07
I have received several suggestions of other websites where artists can promote their work so I have decided to add the new resources to the list. If you have any other websites that you think should be on the list then send me a message using the contact box.
For The Artists
: GET NOTICED NOW!!
In response to a large number of artists asking me how to market their art I have decided to write a basic guide for artists on how to get noticed online. The internet has opened up endless opportunities for artists to promote and market their work but with so many avenues of exposure it can be difficult knowing which to utilise and which to avoid. To keep things simple I have created a list of the most important avenues of self promotion for artists and links to relevant resources.
Networking:
One of the most important avenues of self promotion for artists is the involvement in, and interaction with communities of artists. By networking with other artists you get the benefit o
‘Tea Stain’ by Gavin Turk - Fantastic Artwork, Bad Investment 2007-08-12 08:04:15 &lsquo
;Tea Stain
’ by Gavin
Turk - FantasticArtwork
, Bad Investment
I recently came across a limited edition print by Gavin Turk which was being sold by White Cube gallery entitled ‘Tea Stain’ which basically consists of a round tea coloured stain from the base of a tea cup on a white piece of paper. There are those that would immediately dismiss this artwork as another piece of rubbish modern art but I have to admit that I personally find the concept rather intriguing.
Tea Stain by Gavin Turk
According to the White Cube website, “This work by Gavin Turk further explores the complex ideas surrounding authorship and the concept of the artist as ‘creative genius’. With each tea stain – a unique mono print – Turk asks the viewer to examine not only the way that an artist is seen to be a creator of objects venerated within an art historical context, but also the ways in which the simple motions of the everyday can become amusing or important.” Apart f
Art Investment Tips: How to Avoid an Impulse or Emotional Purchase 2007-08-16 08:18:53 Art Investment Tips: How to Avoid
an Impulse or EmotionalPurchase
Have you ever purchased something on a whim that seemed like a really good idea at the time and then realised you had made a mistake purchasing the item once you got it home? I know I have. A recent survey found that 70% of all supermarket purchases take place at the shelf which means that the chances of making an impulse purchase are very high (much higher than the 40% of people who actually admit to impulse buying)
Emotional, or impulse buying, is something that pretty much everyone is guilty of at one time or another which usually involves a situation where a sense of urgency and appeal over-ride sensibility and reason. With art investment involving the purchase of an object, the potential to make an impulsive and emotional purchase is quite high especially when combined with the excitement, emotion, urgency and atmosphere of an auction. Although emotive decisions may seem like an unavoidable obstacle of investing in
Art Investment: The Best and Worst Selling Subjects Revealed 2007-08-20 06:47:33 Art Investment: The Best and Worst Selling Subjects
Revealed
One of the most important factors that people should consider when investing in art is the effect that the subject of an artwork can have on its desirability and value. When looking at artworks to purchase as an investment it is very easy to give in to personal taste and preference instead of focusing on buying an artwork that will attract the largest number of potential buyers. Although you may like the subject of a particular artwork, your tastes and preferences may be in the minority so it is important that you are aware of which subjects are more popular and which are less popular before you make a purchase.
As a general rule artworks that contain sexually explicit nudity or graphic violence are out for obvious reasons. Portraits are also out for the simple reason that not many people would want to hang a painting of some random person in their house unless the artwork was painted by a very famous artist or the port
Buying Art at Auction - What Every Buyer Should Know 2007-09-23 08:11:25 Buying Art at Auction
- What Every Buyer
Should Know
Buying art at auction can be an exciting and rewarding experience but it can also be an overwhelming experience that can lead to expensive mistakes. Because the auction environment is usually very emotional and fast paced it is imperative that you do your homework beforehand so that you are informed and prepared. Prior to the auction you should attend the auction preview so that you can see the items in the flesh and purchase a catalogue so that you can decide which works you would like to bid on and conduct the necessary research. Once you have decided on the works you are interested in bidding on you should set yourself a budget that includes the buyers premium so that you avoid over-spending or paying too much for an artwork. To help you come to grips with buying art at auction I have included some crucial information below which you should familiarise yourself with before making any purchases.
Auction Terminology:
“After Read more:Buying
Art Market Investigation - Fakes, Forgeries and Deception 2007-09-21 08:54:13 Art Market
Investigation - Fakes
, Forgeries and Deception
The art world has been plagued by fakes and forgeries for over two thousand years which began largely as a result of buyers being more interested in the aesthetics of the work than who painted it. It was during the Renaissance that artworks became a commodity, resulting in the value of an artwork being directly related to the profile of the artist and consequently making the issue of fakes and forgeries far more important.
Advances in technology have bought about new and improved methods of creating forgeries, which make it harder and harder to spot the fakes. The Internet has provided the perfect market place for fakes and forgeries through a lack of regulation, which gives sellers the ability to provide false details, misrepresent goods and generally deceive buyers.
The popularity of Australian Aboriginal art has seen the art market flooded with fake and forged artworks, many of which are sold online. In an effort to combat th
Art Market News Flash - Drawing by Artistic Genius to be Sold at Auction 2007-09-19 08:34:40 Art Market
News Flash
- Drawing by Artistic
Genius to be Sold at Auction
The term “artistic genius” is typically reserved for artists such as Michelangelo, Da Vinci, Rembrandt, Van Gogh etc. whose supreme technical skills and highly advanced ideas created a demand and desire for their work that resulted in their status as the most skilled and highly valued artists in the art market. Due to the conceptual nature of modern art, technical skill is no longer the major determining factor in the popularity and status of an artist within the art market which means that the classical definition of an “artistic genius” is no longer relevant.
This shift in the art market has resulted in an almost complete disregard for the traits that in the past would have resulted in an artist being identified as a genius which I think is a huge shame. One such artist is the autistic savant Stephen Wiltshire (http://www.stephenwiltshire.com) whose extraordinary talent for drawing has re
Buying and Selling Upmarket Art Online 2007-09-17 07:37:57 Buying and Selling Upmarket Art Online
Although online auction sites such as ebay are sufficient for buying and selling lower value artworks online (provided you take the necessary precautions), the standard online auction platform does not provide the security, service, expertise, prestige and reputation that most people look for when purchasing items of a more significant value. The good news is that there is an alternative to internet-only auctions that combines the world wide exposure of an online auction with the security, service and expertise of a traditional auction house. Several auction companies now offer a service that allows you to bid online in real time on auctions taking place on the floor of some of the world’s most reputable auction houses
Ebay Live http://www.ebayliveauctions.com, icollector http://www.icollector.com, Heritage Auctions http://www.ha.com and GoAntiques http://www.goantiques.com all offer online auctions which are conducted in association with va Read more:Buying
Art and Capital - Art Banking, Art Loans and Art Finance 2007-09-15 08:14:28 Art and Capital - Art Banking, Art Loans
and Art Finance
During the art market boom of the late 80’s when art became an accepted and viable form of investment, a need was created for people to be able to borrow against the artworks that they were investing in which resulted in a number of finance companies offering art loans. Art loans catered to three types of clients, those that wanted to leverage their existing art collection to fund new purchases, those that needed cash to cover debt, and art dealers who required funds to acquire new stock For those interested in the tax implications of art investment, some lenders offer loans similar to reverse mortgages where borrowers receive monthly payments against the value of their art instead of selling the work outright and being charged capital-gains tax.
The correction of the art market in the early 90’s caused a significant reduction in the number of people taking out loans against their art and consequently a reduction in t
Art Market Blog Book Review - Three Steps to Investment Success 2007-09-13 07:31:37 Art Market
Blog Book Review - Three
Steps to Investment Success
Art investment can be a daunting experience for the inexperienced and uninitiated so I was extremely excited when I came across a new book by professional art, antique and collectable appraiser Scott Zema titled ‘Three Steps to Investment Success – Buying the Right Art, Antiques and Collectables’. According to Scott, 95% of people don’t really know the value of their personal property, especially antiques, artwork and collectibles so Scott has written this book in an effort to correct this alarming trend. This new book not only logically and thoroughly lays out investment principles in an informative and entertaining manner, but actually guarantees a profit for you in your investment activities if you follow the step-by-step approach to transforming yourself into a focused collector.
As the title suggests, the book is broken up into the following three sections:
STEP I: CLEARING YOUR MIND ABOUT ART, ANTIQUES,
Art Market History - Looking at the Big Picture 2007-09-11 08:12:21 Art MarketHistory
- Looking at the Big Picture
The art market correction of the early 1990’s that followed the great art market boom of the late 1980’s sparked a fear of art investment that still prevents many people from investing in art to this day. What many people don’t realise is that over the long term, fine art is in fact a very stable investment with an extremely positive history. To give you some idea of how the art market has performed in recent times I have compiled some facts and figures which are summarised below.
Contrary to popular belief, the art market does not crumble during times of stock market weakness or war, in fact fine art experienced a 256% rise in the last great bear market during the Vietnam War (1966-1975) while stocks fell 27%. Further evidence of the long term stability of the art market was revealed in an exhaustive study by NYU professors Jianping Mei and Michael Moses using figures from the 27 recessions dating all the way back to 18
The Top Ten Art Price Indexes and Databases 2007-09-07 06:36:23 The Top Ten Art Price Indexes
and Databases
The recent increase in popularity of art investment has given rise to many different art price indexes and databases which are a fantastic resource for art investors and collectors who are looking to gauge value, determine popularity and attempt to predict art market movements and price progression. Below is a list of the top ten art price indexes and databases which should be able to provide you with the information you need to make informed decisions.
http://www.artprice.com
The artprice database includes over 290,000 catalogues with images on line, 25 million auction results, prive levels and indices covering 405,000 artists. Also included are upcoming sales from 2,900 auction houses, signatures and biographies of artists and
artwork estimates.
http://www.artfact.com
Artfact is the world’s largest and most comprehensive fine auction database service including unabridged upcoming and past auction catalogs and price results for over 1
Art Rental: Generating an Income from Fine Art 2007-09-09 07:20:51 Art Rental
: Generating an Income
from Fine Art
Did you know that there is a way to get a guaranteed and immediate return from art? As art investment becomes more popular and a more widely accepted form of investment, different ways of generating returns from investing in art are becoming available. A recent addition to the options available to art investors is art rental which is one of the fastest growing vehicles for investing in art because it solves the problem of illiquidity which is usually associated with art investment by using the artworks to generate an income for the owner.
Art rental basically involves a gallery or broker selling you a portfolio or piece of art which is then rented out to the corporate sector on your behalf giving you a return which is usually underwritten and usually between 5% and 9% a year for up to 3 years. This means that you can invest in art and get a guaranteed return while you take advantage of the capital appreciation. Once the rental period is ov
For Sale or Not For Sale: Commercialism and the Art Market 2007-09-05 07:48:17 For Sale or Not For Sale: Commercialism and the Art Market
An exhibition was recently held at the P.S.1 MOMA gallery in New York titled ‘Not For Sale’ which consisted of works that artists have kept for themselves and not sold for various reasons. The exhibition, which is seriously flawed, was meant to be a stand against the influence of the art market on the art world, but the fact that an exhibition such as this is required actually highlights how important the art market is to the art world. It is also important to note that a majority of the artists in the exhibition are either millionaires, very famous, or both, which means the artists themselves and the work that they produce are products of the art market without which the ability to choose to be a career artist would be almost non existent.
Rather than expressing the curators “allergy” to the marketplace, this exhibition proved how crucial the art market is to the art world. The exhibition als
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