This weekend, Art Basel Paris 2024 lit up the Grand Palais, attracting 195 galleries from 42 countries. This prestigious event reaffirms Paris's role as a center of excellence for the global contemporary art market.
Far from being a simple passion, investing in art represents a unique opportunity for asset diversification. In 2023, the global art market recorded impressive sales of $65 billion, with a significant share going to post-war and contemporary art, which makes up 55% of auction sales. While listed assets are still often preferred to it, investments in real estate and private equity, art deserves a place within a global wealth allocation.
The valuation of works of art is based on a multitude of criteria: the notoriety of the artists, market trends, and the subjectivity that drives each collector. This complex, segmented sector requires in-depth expertise to navigate its many facets, from historical periods to different mediums, and to understand the dynamics of supply and demand.
From a tax perspective, the implications of investing in art are also crucial. Disposing of works of art involves specific considerations, both in terms of taxation and philanthropic opportunities, such as bequests and donations.
In conclusion, art emerges as a lever to be considered for diversifying an estate while nurturing personal and cultural aspirations.
For a more in-depth analysis of this fascinating subject, we invite you to consult the full article by Natixis Wealth Management here.
This post was translated from the original French.