Art Investment: Key Insights from the Deloitte Art and Finance Report
Deloitte’s annual Art report is a valuable resource for anyone interested in the intersection of art and investment. The report contains insights from industry experts, market data, and analysis of emerging trends. Here are some key findings from the Deloitte Art and Finance Report 2021.
Art as an alternative investment
The report found that art remains a popular alternative investment, particularly among high-net-worth individuals (HNWIs). In 2020, 70% of HNWIs said they were interested in investing in art, and 54% said they planned to allocate more money to the asset class. Art is seen as a way to diversify portfolios and potentially achieve higher returns.
Art market recovery
The global art market experienced a significant downturn in 2020 due to the COVID-19 pandemic, with total sales falling by 22%. However, the market rebounded in 2021, with strong demand for works by in-demand artists and increased activity in online sales. The report predicts that the market will continue to recover, particularly as in-person events like art fairs resume.
Environmental, social, and governance (ESG) factors are becoming increasingly important to investors, and the art market is no exception. The report notes that art investors are increasingly interested in the provenance and sustainability of artworks, as well as the social impact of the artists and institutions they support. You can read our article on art as a sustainable investment here.
Finally, the report highlights the growing trend of art finance, which allows collectors to leverage their art collections to obtain loans. This is seen as a way to unlock the value of art assets without having to sell them and is becoming increasingly popular as the art market recovers.
Overall, the Deloitte Art and Finance Report 2021 provides a comprehensive overview of the current state of the art market and its intersection with finance. Whether you’re an art collector, investor, or industry professional, the report offers valuable insights and analysis to help guide your decisions.
You can read the full report here.
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