Like stocks and bonds, art can increase in value. If an up-and-coming
artist goes on to a successful career, the cash value of their work will
skyrocket. An Art Basel annual report estimates global art market sales
reached over $67 billion in 2018.
At the end of the day, this question really depends on your personal
investment goals.
If you want guaranteed returns on the money you invest, or if you don’t
have much money to work with, you’re probably safer skipping the art
houses and sticking to liquid assets. Brand new investors should also give
their portfolio plenty of time to mature before taking the leap.
But for seasoned, confident investors who are enthusiastic about art—and
who have extra funds to cover the costs—an investment in a painting or
sculpture can be an exciting way to diversify a portfolio.
Find out what factors to consider when investing in art