WHY YOU SHOULD INVEST IN ART TODAY

Art is valuable in many ways, whether the medium is paintings, prints, or even illustrations. Not only does art look great, tell a story, and impact your mood, but it can also be worth a lot of money.

As well as this, when you invest in art, you are directly impacting the lives of artists around the world. More and more people are making the decision to invest in art. There are countless benefits to art investment, one of which is that it can help you generate a solid profit.

So, is art a good investment, and more importantly, why should you invest in art? Read on for our top five reasons why you should invest in art today.

 

1: Because You Love Art

Arguably, the most prominent reason to invest in art is that you have a genuine passion for it. When art collectors purchase art for their art collection, they often choose paintings or prints that resonate with them.

They won’t choose works of art that don’t appeal to them, but they will opt for work from artists they love or pieces that speak to them in some way.

If you love art, it makes sense to invest in it. If art is your passion, you likely have a good eye for art and a solid knowledge of the art world, which can give you the upper hand when investing in art.

Purchase pieces of art that you can imagine hanging on the walls in your home or office – art that will lift your mood whenever you see it. Then, you may sell it at a later date, potentially for a profit.

Likewise, if you are intrigued by a certain artist or art from a specific time period, then you may develop the knowledge that can help you at an art auction, art fair, or art gallery. Your passion for art can also help you source rare finds and limited-edition pieces.

Unlike other investments, for example, stocks and shares, you can enjoy art. Art can lift your mood, make a great conversation piece, and tell a story. 

 

2: Because Art Is A Stable Investment

One of the key reasons to invest in art is because it is considered a stable investment. The art market has proven to withstand times of economic uncertainty, displaying resilience time and time again.

While other markets may be affected by economic instability, there will always be art investors and art for sale. Consider the COVID-19 pandemic. Many other markets were hugely affected during this difficult economic time, but the art market stood strong.

In fact, in terms of stability, art investments can be compared to gold investments. Ultimately, regardless of the Reserve Bank base rate, investing in art is always a great choice.

When you invest in art, you not only maintain the value of your current wealth but can also make a solid profit in either the short term or the long term.

 

3: Because Art Investment Outperforms Stocks

Art is an asset that benefits from continuous market growth. In fact, art frequently outperforms stocks and shares; the stock market can rise and fall, but the art market is much more stable.

Art is rarely affected by inflation or currency devaluation and performs well against market volatility as opposed to stocks and shares and other investment opportunities. Between 1995 and 2020, the contemporary art market experienced fewer losses than stocks.

There were recorded losses of only 4% when referring to 3-year investment lengths. Due to buying art being a more stable option than buying shares, art investments can act as a hedge against inflation, making them a great asset.

 

4: Because Art is Tangible

Art is a tangible investment – it’s something that you can touch and enjoy. You can resonate with art and form a connection, as opposed to other forms of investment such as stocks and bonds.

You can hang a piece of art you love on your walls and enjoy it every day. Likewise, you can pass the artwork on to your family members as an heirloom so they can enjoy it too. You don’t have to sell a piece of art right away; you can keep it in the family for generations until it’s ready to be sold for a profit.

In addition to this, the value of art doesn’t decrease when consumed, whereas wine investments, for example, will drastically decrease in value when consumed. Even if the art you add to your investment portfolio doesn’t increase in value over time, you will get your money’s worth as long as you love and enjoy the art in your collection.

 

5: Because the Secondary Art Market is Growing

With the rapid growth in online art galleries, so grows the secondary online art market. Currently online auction houses and dealers can help to sell your collection or one-off works. 

Very soon websites like Bluethumb and individual artist sites will be able to sell your investment to a wide yet specific audience and return a healthy profit faster than auction houses, with lower cost to you.

It is in my plans and I can help you any time you need to sell one of my works  - I would love to be in the secondary market and can attest to the provenance of the piece.

So..Can you afford not to buy your favourite artworks?

My advice? Just jump!

Pip x