If you thought about purchasing art as the form of investment rather than a collection, then you are not the first one to do it. According to statistics, for a few thousand years people used art for those purposes and with investment potential plan.
You have to check online for that phrase, and you will notice numerous articles that will explain your reasons why you should invest in art. However, the art market will crash another predicament similarly as in Japan in 1990 when it dropped up to 90%.
However, the art market is more than just a bubble, because it can help you get the stable long-term investment that will pay itself off. It does not matter which gallery you wish to consider, you just need to understand more about it. Or you can search online for the best places to look for reproductions with excellent quality like 1st Art Gallery on Map Quest.
We decided to presents you reasons why you should invest in the art market and oil reproductions:
The Fine Market Grew In the Last Decade For 113%
One of the biggest reasons why art and other luxury assets have become an excellent choice for investors is due to their exceptional growth when compared with other markets.
According to KFLII (The Knight Frank Luxury Investment Index) and their study on a range of assets such as classic cars, art,and fine wine, has shown that these three assets outperform from financial crisis crash much faster than other industries.
You should click here to learn more on KFLII.
It is one of the Best Long-Term Investments
The primary debate that is going on between excellent art investors is the main reason why the stock market increases over time. Similarly, as we have mentioned above, the art market can improve. However, not all styles and forms act the same way.
For instance, the Old Master market had significant losses in the last few years, but that does not prevent them from generating huge incomes and returns over the years. When we compare reward and risk trade-off, you will be able to find a stock that will create complete success,especially for long-term investment.
On the other hand, if you want to gain significant returns quickly, you should start investing in contemporary arts and artists. At the same time, if you’re going to invest in something that will feature steady growth in time, then you should choose Impressionism piece, and you can rest assured.
Check this link: https://en.wikipedia.org/wiki/Old_Master to learn more on what Old Master means in the first place.
You Are Helping New Artists
You do not have to purchase art on auction or at the gallery so that you can help an artist continue with his/heir’s work. Early emerging and unknown artists are a vital part of the world,and you will be able to reach their work from galleries and online.
By purchasing their pieces, you will conduct a risky investment, but on the other hand, you will encourage artists to innovate and find better and most appropriate ways of expressions. That way, you will help also struggling and emerging galleries that want to live by selling fine art.
You should check art fairs as well, and other alternative platforms that will help you reach new artists. Of course, it is crucial to start buying slowly, because you are taking chances by investing in them.
Therefore, you should choose them based on aesthetical appeal, so that you can use them as enjoyment until it reaches the price that will provide you return on investment.
If you decide, for instance, to purchase some young artist’s art, and after he or she becomes popular, you will be able to loan your pieces to the museum, which could also return you profit.
Collecting Art Will Open Doors and Increase Your Social Value
Another significant advantage of investing in art is bringing and increasing your social value. Most collectors tend to purchase fine art due to social aspects, and these benefits include an invitation to dominant auction houses, annual parties and special events where all collectors would be.
In case that you donated or lent something to a museum, you will maybe join their board, which is the prestigious position for most people and it will allow you to meet both other artists and collectors as well.