Real Estate
Investing in Foreign Real Estate: Spain
Easily invest in offshore property with simple steps to residency If you are thinking of expanding your portfolio, it may be time to think outside of your...
November 18, 2022
Where to begin
If you’ve never thought about collecting art before, your first steps would be to visit as many galleries as you can. Visiting public and private galleries will allow you to get a firm grasp on what your tastes are and see what the exciting world of art can offer. Get familiar with what the art buying world is like. Becoming acquainted with other buyers and collectors will help you understand what to look for and what to avoid. Visiting these places will also allow you to become familiar with what is trending today and what is doing best in the market. By following what is trending in the art world, you will learn which artists are creating the work that is selling the best. If you want to stay on top of emerging artists, keep in touch with known gallerists, art advisors, and be in tune with the media surrounding art. Once you’ve familiarized yourself with the art collecting scene, allow yourself some time to figure out what kind of art you want. One of the biggest mistakes a collector can make is buying the first piece they like, which could ultimately mean missing out on something they like more – or buying something that may not be worth anything. A low price could just mean you bought a cheap piece of art. When most people think about art, they tend to go straight to thinking about famous works by artists like Monet, Dali, or Van Gogh. Though these are great examples of artwork with tremendous value, there are so many other more accessible examples of art that hold value in the art collector community. Most of the art with that kind of significance is being preserved in museums anyway. For those just beginning the art collection journey, it’s said that photography and painting would be an ideal area to get your feet wet, because both are basic forms of art and can be less expensive than other forms such as sculpture. Sculpture, glass blowing, photography, and more all hold importance in the art world and, consequently, hold value. Every medium can be a great entry point for those looking to begin or build an art collection. Just make sure you do your due diligence as you would with any investment.Tips
Diversify your investment- This is a rule of thumb that is important in any sector you choose and collecting art is no different. Whether it’s having a diverse collection of artists or styles, it’s hard to predict the climate of the sector. Know the history- Successful art sellers always know the backstory of the pieces they are selling and the artist that created it. This information has a considerable amount of weight on the resale value and is a major selling point for collectors. Artwork that has an interesting history tends to have a higher value. Take care of the art- Take into consideration how you are planning on transporting and storing your art. A simple mistake in transportation could cause a lot of damage to art. There are companies that specialize in the transportation of art, and the money spent on the professionals would be much less than the loss taken if anything were to happen. For this reason, insurance is also highly recommended. Make sure to read the fine print. Your art collection may not be protected by certain disasters like fire damage or water damage if you’re not careful. Get an art dealer- Having a reputable, trustworthy art dealer can give you peace of mind and advice during any complex situations you may be in, answering any questions that may arise Buy what you like- Always keep in mind that you want to like the art that you are investing in. It’s hard to predict what will be trending in the future, and there’s no guarantee that art will appreciate, so you want to at least be able to have the art and enjoy it for what it is in a worst case scenario. Fine art pieces such as antiques, paintings, and sculptures have always formed a large portion of wealthy families’ assets. With the emergence of new collectors around the world, demand for fine art has been increasing. As supply remains limited, classic and contemporary art pieces have seen their prices appreciate tremendously over the years, becoming an even larger portion of wealthy families’ portfolio of assets. All investments involve certain risks. All investments carry the potential for financial loss, including the loss of the principal amount invested. Past performance should not be viewed as an indicator of future results. Market conditions and broader economic factors can significantly impact the value of investments. Investments in international markets are subject to additional risks, such as currency exchange fluctuations, political or economic instability, and variations in accounting practices. Alternative investments, including but not limited to hedge funds, private equity, and real estate, may be illiquid, speculative, and are not suitable for all investors. The above information should be considered before making any investment decisions. All posts and publications are for your information only and are not intended as an offer, promotion, or solicitation to buy or sell any financial instrument or perform any other financial transactions. All information and opinions expressed in posts and publications reflect our current views as of the date of the publication and may be liable to change without notice.Author
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