Month: December 2020

How to use Fine Arts to Store Wealth?

The recent uncertain economic conditions have created several challenges and difficulties for investors. With businesses running out of resources, many investors are looking for secure and long-term investments. Investors have been investing their money in exotic assets, ranging from rare and vintage coins to paintings by prestigious artists. The fine art market is the newest attraction for long term investors. Elite and experienced art collectors usually hold onto their art collections as stores of wealth. As most of the investors purchase art with the investment purpose, so they don’t look at the art as a decorative object. These artworks are nothing more than tangible assets and source to store the value.

The fine art market is continuously booming. Every next auction seems to be selling the most expensive art ever. When it comes to using fine arts to store wealth, we don’t usually talk about typical paintings and arts sold at a local store or wall art that you bought to match with the sofa. The fine art market consists of rare paintings and artworks by prestigious artists. Thousands of transactions are made to launder money across the countries, and regulatory authorities have no control over these deals. Most of these transactions are made through private sales instead of public auctions.

In the private deals, the investors have more control over the transactions, but the situation is different in the auctions; that’s why private sales are more trending. 72% of the fine art market investors bought the paintings and art pieces to pursue their passion. 54% of the rich investors said that financial gains were the biggest motives to purchase fine arts. Even if the market goes down, the fine market has greater resistance against the recession and the poorly performing markets.

Diversifying your investment portfolio with investment in the fine art market offers better investment opportunities. You can easily reduce the risks of loss by storing wealth in fine art pieces. Fine art marker has been one of the best-performing markets for several years. Investing in the fine art market does not require a lot of expertise or experience to make profitable decisions. But galleries and private sellers will try their best to rip you off if you are looking for a desirable painting. Building a portfolio with the fine art market investments may require you to seek help from experienced art investors. When art experts manage your investments, you can yield more return with your fine art market investments.

Investing in the fine art market may not be suitable for everyone, so don’t let the figures influence your decisions. Legit art purchase is not always guaranteed to appreciate in value, but market monopoly by the investors, money launderers, and money embezzlers is creating a secure atmosphere for the rich elite to store value with the fine art portfolio.…