Tweet

One may be struck by the similarity in comments made about contemporary art auctions with those heard about financial markets. This is particularly the case when we read the Artprice's report 2017. This study clearly outlines the convergence between these two markets "....After falling throughout 2015, the price index for contemporary art now shows a + 22% increase since January 2016, allowing the segment to maintain a very competitive yield compared with traditional long term financial assets". And, in brief, this report is supposed to demonstrate "the enormous financial potential of contemporary art". It is probably true that with a turnover growth of nearly 1.400% in 17 years, this segment rose from 3% of the art market share in 2000 to more than 17% in 2017. For the period from July 2016 to end June 2017, contemporary art generated a global auction turnover of $1.58 billion. The US, China and the UK are the top three countries in the world with a market share of 43.8%, 23.5% and 22.1% respectively. And speculation is obviously a key driver of such a market. As a matter of fact, there is more talk in this very specific market about investors and return on investment than about art and culture.

Mo Tailland / 10th October 2017

Tweet