Art as an Asset Class: The Financial Structure of the Art Market

This session looks at the financial structure of the art market and the ramifications for current collectors.

In recent years, there has been a growing interest in art as an asset class. This trend is being driven by a number of factors, including the globalization of the art market, the rise of new collectors in Asia and the Middle East, and the increasing use of art as a tool for wealth preservation. As a result of these trends, the structure of the global art market is evolving.

Here's a look at the key drivers behind this transformation of art as an asset class:

The globalization of the art market

The globalization of the art market is one of the key drivers behind the rise of art as an asset class. There has been a significant increase in cross-border transactions, as buyers and sellers from all over the world are increasingly interacting with each other through online platforms such as Artsy. This globalization is also being driven by a new generation of collectors who are more comfortable buying art online than in person.

The rise of new collectors in Asia and the Middle East

Another key driver behind the transformation of the global art market is the rise of new collectors in Asia and the Middle East. These regions have seen a surge in wealth creation over the past few years, and as a result, there is a growing population of individuals with disposable income who are looking to invest in assets such as art. In addition, many of these new collectors come from cultures that have a long tradition of collecting and investing in art, so they are familiar with the concept and are comfortable making purchases sight unseen.

Art as an asset class - a tool for wealth preservation

Finally, another driver behind the rise of art as an asset class is the increasing use of art as a tool for wealth preservation. In times of economic uncertainty, investors often look to alternative asset classes that offer stability and potential for appreciation. For many investors, art fits this bill perfectly. Not only does it have the potential to appreciate in value over time, but it also offers portfolio diversification benefits and can be easily liquidated if necessary.

Evan Beard Shares His Expertise

This session looks at the key drivers behind the rise of art as an asset class. Evan Beard  previously of Deloitte Art & Finance U.S. Lead, will a give an overview of the current structure of the Global Art Market to include the key drivers behind its transformation.

Participants will also learn about the Four Historical Periods of the Art Market’s Development.

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Speakers

Evan Beard

Evan Beard is the Global Art Services Executive with U.S. Trust, Bank of America Private Wealth Management. Headquartered in New York City, Evan leads the bank’s outreach to private and institutional art collectors, investors and artists nationwide. He directs a team of specialists who provide a suite of tailored offerings to a select group of families, auction houses, museums, endowments and...

Meet the Expert