Contemporary art 2024: Could you invest in the next Banksy or Basquiat?

Citigroup, a leading global investment bank, has reported that the long-term value of art is rising, offering return on investment in line with bonds. Citigroup’s analysis shows that contemporary art returns an average of 7.5% per year, whereas Impressionist art (originating in the late 19^th century to early 20^th century) returns an annual average of 5%.¹

Investing in artworks can yield a strong return on investment, provide aesthetic pleasure, and enable you to be part of helping new talent survive and thrive. In some cases, it can turn an investment of around £1,000 into nearly £10 million, 25 years later (think – Banksy’s work).

If you collect contemporary art or are thinking about it, we look at some of 2024’s rising art stars, how to start collecting art, and how to take care of your existing art collection.

In Demand and on the Rise

Art that tackles issues such as global warming is hot. So is eco-art that explores sustainability and ethics. UK-based artist Josh Gluckstein creates life-size figures of some of the world’s most trafficked animals – elephants, pangolins, and tigers – using recycled cardboard. His savvy use of social media has made him an internet sensation, highly collectable, and a refreshing departure from the digital and conceptual art that has dominated the contemporary artworld for decades. His works currently sell for around £2,750 to £9,000.²

According to online publication ‘The Collector’, one painter to keep an eye on in 2024 is George Rouy, whose work depicts dreamy, fleeting abstract figures, reminiscent of iconic British artist Francis Bacon, although Rouy’s work is softer and more sensual. Philips auction house have sold several of his works for prices ranging from £7,000 to £70,000.³

Finding Emerging Art Stars

If artwork is on the cover of music albums or the artist has a dazzlingly strong social media following on Tik Tok and/or Instagram, they could be worth keeping an eye on. Richard Ikhide, a Nigerian-born British artist whose colourful paintings lean towards soft psychedelia and reference Japanese manga, video games, and West African culture, is considered by some to be worth investing in. His online exhibition at the high-profile Victoria Miro Gallery sold out in one hour. Generally, if there’s a buzz around an artist, explore their work.

End-of-year degree shows at prestigious art schools and colleges, such as the Royal College of Art and Central Saint Martins, as well as counterculture art exhibitions, are fantastic opportunities to discover emerging talent and possibly become one of the first collectors of the next art star.

Jean-Michel Basquiat, whose short career saw him start off as a graffiti artist, sold his first painting to pop icon Debbie Harry in 1981. Debbie Harry bought the painting titled “Cadillac Moon” for $200.⁴ Although the exact worth of this iconic piece is not in the public domain, other similar paintings in media and size are now worth over $10 million.⁵

Similarly, at the start of Banksy’s career at the end of the 1990s and early 2000s, it was possible to buy one of his stencil art paintings for around £500. Today, Banksy paintings sell for millions, with his canvas “Love is in the Air” sold at auction in 2021 for £9.2million, paid in bitcoin.⁶

The Last Word

Insuring contemporary art can be a complex process. Enlisting the services of a contemporary art valuer and a specialist insurance broker can be invaluable for protecting your assets. Given the financial investments involved in acquiring and owning contemporary art, specialist insurance provides you with peace of mind and financial protection against unforeseen events that could jeopardize the value and integrity of your art collection.

To discuss insurance for your artworks, contact us today.

Alternatively, email:

m.brown@lloydwhyte.com

What matters to you, matters to us

1. https://www.cnbc.com/2019/12/07/art-has-shown-long-term-returns-that-rival-bonds.html
2. https://www.artsy.net/artist/josh-gluckstein
3. https://www.phillips.com/artist/23127/george-rouy
4. https://en.wikipedia.org/wiki/List_of_paintings_by_Jean-Michel_Basquiat#:~:text=The%20first%20painting%20he%20sold,considered%20his%20most%20valuable%20year.
5. https://en.wikipedia.org/wiki/List_of_paintings_by_Jean-Michel_Basquiat
6. https://www.myartbroker.com/artist-banksy/record-prices/banksy-record-prices

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