Money in the perfect

[Artem]

money in fine

The global art market continues to grow , making paintings and antiques in solid investment assets . At the peak of popularity - Chinese and Russian art

 Zinaida Cucina "Investgazeta » № 44 Today
 

Last Wednesday the sale of Impressionist and works of twentieth century art at Sotheby's was $ 290.2 million - more than one day in these areas collected in May of last year. For his work from 13 countries battled members of the 36 - Representatives of both traditional (U.S., Europe ) and emerging markets (China and Latin America) . This one day confirmed the trend of last year when the global investment in works of art have grown by 69 %- to $ 60 billion the first nine months of 2013 the size of the world art market reached $ 64 billion

For the first half 2013th auction houses have sold 61 of the world exhibition at prices higher than $ 10 million

If we compare the growth of prices for the most expensive pieces of art and the rising cost of "blue chips ", the first - wins. For example, an American collector Adam Sender, a hedge fund manager , in 2002, bought a painting by John Curran " Fishermen " for $ 100 million two years later Sender sold it for $ 1.4 million - the cost of painting has grown by 1400 %. During the same period , Apple shares have risen by 222 %(from $ 8.4 to $ 27.3 per share). Works by Jean -Michel Basquiat ( the most expensive contemporary artists of today) in 1982 could be bought for $ 2.5 million last year , his painting " Untitled ," sold for $ 20.2 million

The attention to modern

The main trend in recent years has been rapid growth in sales of contemporary art. According to Deloitte, in the past year, more than 70 %of all sold art objects had on the art of XX-XXI centuries.

This is not surprising . The prices of the acknowledged masters - Rubens , Renoir , Monet or the European Renaissance artists - are growing much more slowly , as their pictures are very rarely come up for auction , and the threshold of their appraised value starts at $ 50 million is long-term investment with the lowest risk . Therefore, collectors and museums have been slow to part with them .

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Contemporary art has not yet had time so " settle " in museums and private collections , thereby greatly increasing in price . In addition , according to Western experts , the rise in prices is associated with the emergence of new millionaires from the BRIC countries and the Middle East. For them, art - not a closed club of the judges , and a sign of status and wealth. This year, the most generous collector of contemporary art has become a sister of the Emir of Qatar, Sheikh Al- Mayassa that spent on the art buying more than 600 million pounds.

The pursuit of modern art inflated prices through the roof. This is confirmed by the increased revenues auction houses, galleries and exhibitions . New millionaires are most interested known works of recognized artists of the twentieth century - Munch , Picasso , Rothko and Basquiat . In this limited group of investing rather than the yet unknown authors. According to the report Skate's Top 5000, this year has increased the amount of repeat business from paintings today 's top artists. On average, paintings that were sold during this period , remained in private hands for about nine years.

For the first half 2013th auction houses have sold 61 of the world exhibition at prices exceeding $ 10 million , and 328 lots - more than $ 2.5 million , earning $ 2.4 billion, which is $ 10 million less than last year's figures , but on the basis of applications for sale , autumn and winter are expected to be profitable. And revenues auction houses clearly overstep the mark of $ 13 billion

Geography Art

The last three years the leading art market in the world is China with a share of 41.3%of global sales. He began to develop as a center of art with the appearance of antiques Poly International Auction in 2005. In 2010, China became the most profitable auction center in the world , and two years later the Chinese auction raised more than $ 5 billion

Following are the traditional markets - Europe and the United States - with a turnover of $ 2.1 billion and they are not going to give up the Asian sites. Last year, the U.S. market has increased revenues by $ 587 million Europe , occupying 30 %of the market , but failed to reach pre-crisis levels . Especially in this year's Western market grew by 5.5 %, while China sold as never bad. Nekuplennyh percentage of lots was the highest in the last five years. Perhaps all the fault of the slowdown in China's economy with 6-8%to 3.5-4 %.



However, according to the World Bank , in the coming years will grow GDP in Latin America - by 4-5 %. And that she can become the new center of the art world trade. Especially in the 2012 auction sales there rose by 25%, and most experts expect a further growth of the market in the future. Will contribute to this new Latin American millionaires and billionaires who are becoming interested in the art of the region.

This means that on the world market prices for the work of artists from Latin America will grow. As a growing attractiveness of Asian art , when the world market succumbed to the influence of Chinese collectors are willing to pay for the vase Ming Dynasty more than Renoir , Raphael and Van Gogh.

 

In addition to Chinese , Russian demand is the direction to which the Western auction houses are works of art of all post-Soviet countries. Its popularity is understandable : Russian oligarchs like to collect works of fellow citizens. On the other hand, according to art dealer Igor Abramovich , the Soviet school of art is very strong. Leading auctions and galleries of the world are hunting for the avant-garde in Russia and Eastern Europe.

But there is another side : the post-Soviet space, a lot of fakes and those who manufactures them . According to Sergei Skaterschikov , managing director of Skate's Art Market Research, authentication of works of art is based on outdated knowledge and does not meet current market demands. For example , in 2012, the Russian businessman Viktor Vekselberg sued Christie's £ 3 million for purchased at auction fraud by Boris Kustodiev's "Odalisque" . Earlier, the court ordered to pay Sotheby's Greek tycoon Diamantis Diamantidesu $ 1.16 million , which was sold fake paintings Greek painter Constantine Parthenis .

The volume of the art market in the country last year was about $ 5 million average cost of the works of modern Ukrainian artists known abroad as long as no more than $ 10-20 million , which is significantly less than the amounts that collectors are willing to pay for the names of the U.S. and Europe . But the world auction show on Ukraine increasing interest. Since 2009, they sell works of Anatoly Kryvolap , Victor Sidorenko, Oleg Tistol , Alexandra Zhyvotkov and Pavel Makov . Champion Anatoly Kryvolap auction sales (in July 2013th his work "The Horse . Evening " was sold for $ 186 million at auction Phillips) are buying not only Ukrainian , but also to Western collectors , which raises the prestige and , as a consequence , the price of Ukrainian art the global market.

In October this year, Ukrainian contemporary art collected $ 115 million at auction Phillips. However, some lots of the auction provided Western collectors .

According to the forecasts of "Investgazeta " in the next five to ten years the price of Ukrainian authors will grow. Confirmation of this - the visits of the leading auction houses in the Ukraine ( interviews with Sotheby's on page 24) , and the participation of artists in exhibitions abroad. International fairs - another significant sales channel of art . They are visited by many collectors as you can not only see the " novelties of the season ", but also buy them . And much cheaper than at auction .

However, newcomers to the international areas hit pretty hard. For example, at Art Basel Miami from 600 applications from art galleries are only a selection of 200 . Ukrainian gallery owners believe that the main reason for the closure of local international art market - the fear of not artists sell their paintings . Therefore the majority of Ukrainian artists towards foreign fairs and auctions until you look , preferring to sell their work in local galleries or through art dealers . Latest in Ukraine in a special account : they are the link between artists , collectors , exhibitions and auctions.

Beautiful vistas

In the future, significantly change the art market can digital technology. Has developed a database that will collect information about all the young artists and their paintings. Access to the data will open. And because every person , not just critics , art historians and auctioneers will be able to determine how much will be popular picture of any author . And is it worth the money to invest in them .

Such knowledge may lead to an increase in interest in the art of the middle class. According to Sergei Skaterschikov , many art lovers with an average income is gradually moving away from viewing pictures , reading books about the artists and explore art to its purchase and interact with the authors.

Western experts believe that the interest of the middle class to the art should also have an impact on the paintings themselves and sculpture. People with an income of $ 5-8 thousand per month willing to invest in a work of art , but only those that are near and dear to them . So soon the art market may change significantly , and the auction will be a lot of lots of low and average prices.

http://www.investgazeta.net/kompanii...rasnoe-164506/

[Artem]

Sold lord in the 7th row


Zinaida Cucina "Investgazeta » № 44, November 11, 2013

Mark Cornell, managing director , and Lord Mark Poltimore , deputy chairman and one of the leading European branch of auctioneers Sotheby's, - about the world and Ukrainian art

Sotheby's, one of the oldest auction houses - a place where committed major rescheduling the art market. In a team with him running the second largest player , auction Christie 's - together, these two houses largely determine the state of the art market. In 2011, the

Sotheby's auction was the largest in the world. But last year it generated $ 5.4 billion, and Christie's has earned almost $ 1 billion more. Despite the constant change of leader , Sotheby's and Christie's are close to each other and on the turnover , and in relation to art , far ahead of everyone else.

After a week in London and Ukraine Ukrainian artists Exhibitions at the Saatchi Gallery Sotheby's representatives have come to Ukraine to study our art market. Mark Cornell, followed by the auction house "hunt" for a long time as an experienced manager and a connoisseur of art, and Lord Mark Poltimore ,
30 years leading auction , came to Kiev to meet with Ukrainian collectors appreciate Ukrainian artists and define a strategy towards the Eastern European region.

It is believed that the arts - a gift from the artist to mankind. Why so expensive ?

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Mark Cornell: The high price reflects the demand for art . Art of high quality. The main demand is on him.

Mark Poltimore : Sometimes the work is very rare . For example , a genuine Rubens - a rarity. The price can be very high if the picture - the last missing in the collection of the buyer . Or it might be a symbolic picture as "The Scream" by Edvard Munch , the emblem of a precursor of Impressionism and the art of XX century. People went crazy with the one of a kind pictures - and triggered the law of supply and demand.

MK : A lot of works and genres simply disappear from the market. The more museums and foundations , the more they are bought , the less work is still in circulation. Pressure increases on offer - and the price goes up.

MP: And representatives of the emerging economies - China, Russia , Ukraine, India , Kazakhstan, Brazil - began to see art as an asset . Buy it not only museums of these countries , but also private individuals to invest .

What are the latest trends in the demand for works of art ?

MK : Quickly there are new markets , " new wealth " are growing in Indonesia , West Africa and the CIS. Yet today more than ever strong Chinese market - there is a very high demand . Hong Kong was the third of sales - after London and New York. At Sotheby's there for the third year running round the clock office . It was before, but only now has around the clock - and almost reached the level of their Western colleagues on the turnover .

Are not you afraid that the closed Chinese market will never recover repurchases in Europe and America, the values ​​?

MK : I do not think so . In any case, the sale of the object will not soon return to the market. This rule works in any country - the same America, Europe or China. Most non-return channel - it's museums and foundations . At the same time, the channel is doing a great job promoting the art of drawing and to the world by millions of people . The most important thing - the art remains in circulation.

MP : Sotheby's has played an important role in opening up the Chinese market. The more we penetrate there , the more we can introduce European standards of conduct transactions. For example , China does not want to sell antiques . This is understandable, because there, as in many countries , strict export regulations . But we hope to see mitigation. After 20 years or so .

Recently, talking about Russian art as a new trend .

What caused his popularity among collectors ?

MP: In 2001, the works of Russian Art Sotheby's sold for $ 7 million, and in 2008 - $ 250 million in 2013 sales fell to $ 100 million, but in the same year, Russians spent on the art world $ 300 - 400 million now buy Russian oligarchs . In the trend is nothing new - Catherine II, Morozov and Shchukin were famous collectors. Matisse traveled to Russia and drew for them. Although Russian art - a complex area .

Why we love the Russians , it's for the fact that they do not buy one picture . They always want a lot. They also love to win , "Hey , Victor, I will give more for the painting " - they shout to each other during the auction .

In other words , the rise of popularity of Russian art due to the fact that there are many collectors of Russian origin who bought " Russian " ? Just as Americans buy American , and the Germans - German ?
MP: Good question and a good intrigue . Mark and I - the British . Most likely , we will start to fly with the British - we grew up with it . The same thing happens with the Russians , the Chinese , etc. But as soon as you get stronger confidence in your taste, you will begin to search for pictures of one period , not a single country.

MK : It is indeed associated with an increase in confidence. And usually it can be applied to everything. For example, now I switched to Ferrari, but still remain happy with his Aston Martin .

Why Russian art - a complex area ?

MP: Russian - excellent artists . But they are also some of the best copiers . Therefore, we are more careful when doing catalogs Russian artists. There are a lot of studios where they create fake. We , for example, you need very strong evidence that we are dealing with the avant-garde , as 98%of Russian avant-garde - a fake . When we get a picture ? We believe it is a priori a fake, until we prove otherwise. Looking for authenticity , history paintings . For example, in the early exhibitions of Malevich's 1920-1930 's made ​​a number of photos - for us they have conclusive proof .

In the past year, Sotheby's sold a painting by artist Mary Ukrainian origin Bashkirtseva "Portrait of a young woman reading ." It was sold as " Russian painting ." Splits in the West Russian and Ukrainian art?

MP: The difference, of course. For example, if you're English , you always see the difference between the English and Scottish - despite the fact that she was miserable . Same with the Ukrainian and Russian art.

What do you want to find in Ukraine ?

MK : I want to better understand the potential of the market to more accurately assess how I can send experts to its development. I soon came to makroperspektivoy - to feel if there's demand , and what we can do to improve it .

MP: My view is somewhat different. Yes, the first job I have - found in Ukraine interested in art. The second - to understand what they want to buy. The third - to find what they want to buy, and to bring them closer to buying . We already buy Ukrainian art - a fund FIRTASH Foundation and others. There have been quite successful sale of contemporary art from the Ukraine.

But I also need to understand who is interesting artists to bring them to the international level . Let Chinese collectors are buying Ukrainian . In November, we auction Eastern European Art . It is too early to talk about the hundred percent of sales Ukrainian authors, but maybe in five years we will have a separate department of the Ukrainian art or Ukrainian writer who will compete with Andy Warhol .

Finish the phrase " artist worth investing if ... "
MK : ... the quality of his work and meets the requirements of the money that is at buyers. But beyond the business the most important criterion in art - quality.

MP: I will answer this way : Sotheby's does not give investment advice. The only rule - buy , if you like . It's not the quantity. I would prefer to ten fantastic pictures of five thousand mediocre .

MK : It is interesting that the experts are in two opposite rules. They are not really interested in selling , and if they see that the customer is wrong ,
tell him about it. As a businessman, I'm surprised this kind of behavior - because we need to sell .

But we must always maintain a reputation for reliability that can be achieved through professional only expert advice . No investment advice, namely advice is an art about art. That's where the balance is achieved . I can get Mark's figures, but he says to me : " I ​​sell only what is right for my clients ."

MP : I've been doing this for 30 years , and we are trying to build a long term relationship. Quick sale - it's a disaster .

What methods do you use to combat counterfeiting , and why they still come up for auction ?

MP: We are all human . Of course , Sotheby's trying to control things . And the percentage of fraud is very low. I have already said - is particularly difficult in this regard with the Russian art. We now have access to museums , where we could get 70 years. Have an expert for every artist . If you come to me and say that you are an expert in Russian art, I would be interested. But if you are an expert on Goncharova - is another matter . The main requirement for the experts - a high level of confidence. Yes, their expertise are always added chemical tests of paint, the signature verification of the artist - methods become more sophisticated. But in spite of this , in some cases, we do not buy the picture, it is not track the history up to the time of creation. We guarantee authenticity. And if you 're wrong , carefully fix a miss.

MK : Our staff and experts are studying for hours and days of work , carefully check the history of ownership. We perform a substantial part of the work , adding value to the process of buying and selling art.

What percentage of the price is art, and what - is the business ?

MP: Brand names in art - it's like the "blue chips" a top company. If you buy a well-known name in the Impressionists - you pay quite a lot for the name itself . It is impossible to figure out - how much , but when people look at Renoir , and next will hang our with you , we will cost a little less.

The calm sea is selling better than the storm. Red buy more . The small size of unmarketable . People are more willing to give a lot of money for something big. On the other hand, too large may not fit home
MK : 99.9%- quality. This is a question for the buyer . How much he is willing to pay for the investment component collection , the missing part of the collection , etc.

MP: I have highlighted the ten points that make up the value of the work : for example , a rarity , the owner, opened to the public . If a dead rat in the picture , it will be difficult to sell , even if it is Van Gogh . The calm sea is selling better than the storm. Red buy more . The small size of unmarketable . People are more willing to give a lot of money for something big. On the other hand, too large may not fit within the house. It's all commercial issues . But how they determine the price ?

What is the current status of world art market ?

MP: In the past , we sold $ 5 billion and the second we all well-known company - the absolute leader in the market.

MK : That's not counting what is happening in China . China Guardian Auction houses and Poly Auction - important players ( the 2012 one-day record Guardian was about $ 24 million , Poly - $ 66,8 million - Ed.) . We have to be prepared that in time they will only grow.

you think of online auctions potential competitors ?

MK : Online auctions are not our competitors . I'm not sure of their financial success . Many items can not be sold just as well online as they are sold in the halls. We do not have exclusive on-line auctions , but each of our sales in the hall is parallel to the internet. Perhaps the best mechanism - a combination of both approaches. Some might see the painting in person, and then buy it through an online auction. Someone will say, I do not even want to see it, it sells Sotheby's - good enough for me .

MP: I think people still will always want to "touch " that they will buy.

Mark Poltimore Question : What is special about auctions, you spend ?

MP: The auction should be a game . It shows. Even if it passes the stress and the rates are high, I try to create a fun and relaxed atmosphere. I 'm already 30 years old auctions . It's hard work - think fast , pay attention to a lot of small things at the same time , remember ... You know, at first my wife was very scared when I yelled figures at night.

And now a question to Mark Cornell : Why did you choose Sotheby's after 11 years in the LVMH? And it helps in the business of your military background ?
MK : Sotheby's - a brand name with a history and reputation , which I have always respected . It is closely intersected with my previous work on the nature of customers and product quality - I had a long experience in the LVMH Group, which helps me now .

As for the army, she taught me how to sell. There we were selling plans. To make the soldiers ' rush into the breach ", you need to convince them that it is a good idea. How to properly evaluate the circumstances to the mind to quickly draw a plan and "sell" it to your soldiers that they go after you, - I was taught the army . In a business with such knowledge easier for me to determine the right direction to create a suitable plan of action , and then sell it to a team. Be confident in where we go and what we want.

http://www.investgazeta.net/kompanii...-v-7-m-164507/

[Seriy]

The upcoming November auction, there will be a measure of a great number of modern Russian writers and estimeyty low, significantly different from the claimed in the domestic media.
It will be interesting to look at the results.