Why Art ?

Art is a strong and growing international market. Less sensitive to economic crises and geopolitical events than other financial assets, the art market is different from other assets such as stocks or real estate. Independent of the economic and stock market, the art market obeys its own rules, is self-regulating and its growth remains constant. Thus, the return on investment can be dazzling in certain cases and favors the increase of capital.

Why the Art Market ?

7 billion € annual turnover of the art market in 2020 vs 1.4 billion in 2013 (source hiscox)

450 m€ Salvator Mundi by Leonard de Vinci in 2017

399 m$ sale price for a Picasso

199 m for an Andy Warhol

170m for a work by Amadeo Modigliani, source artpro.com

1800 % : the growth of the contemporary art price index in 15 years.

Reasons for the popularity and interest in investing in the art market :

  • A tangible asset
  • A market in continuous growth
  • An alternative to traditional investments (forex, equities, real estate, gold)
  • High liquidity
  • A safe haven in times of crisis
  • A possibility of tax exemption for both individuals and legal entities
  • A medium and long term asset enhancement
  • Market dominated by galleries and auction houses
  • Explosion of billionaires
  • Advantageous taxation of capital gains
  • A regulated market with experts, certificates and operating rules
  • Museum demand worldwide
  • Explosion of social networks and media
  • Lack of awareness of the general public
  • A pleasure to contemplate
  • Access to selected known and upcoming artists
  • A vector of internal culture
  • Pleasure of sharing and exhibiting within companies

HEC thesis awarded in 2016