Why 98% of the rich invest 5%+ in art:  Ever wonder why the ultra rich never worry about the falling stock market?  It’s because they invest a large chunk of their net worth in assets that can withstand market turmoil, like blue chip art.  According to UBS, 98% of ultra rich collectors invest at least 5% in art, with some investing 50% or more! Now you can join them, thanks to the fractional art investing platform Masterworks.

How Investors Can Trade Shares Of Appreciating Artwork Like Stocks

The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

More investors have been turning to alternative investments for higher potential returns and to diversify their portfolios with assets that have little correlation with the stock market.

The increased activity in alternative investments has spurred demand for platforms that lower the barriers to entry for alternative asset classes and simplify the process for investors. 

Art As An Investment: One type of alternative investment that has been attracting increased interest is contemporary artwork. This isn’t surprising considering that this asset class has provided a 14% annual return over the last 25 years, according to research conducted by Masterworks, and 23% returns during years of high inflation.

Investing in this type of artwork has historically been reserved for a select class of investors, since the highest demand pieces sell for millions of dollars.

Masterworks has created a platform where investors can buy shares of carefully selected pieces of iconic artwork as easily as buying stocks.

The average investor can now participate in this exclusive asset class by purchasing shares in Masterworks’ offerings as well as buy and sell shares on the secondary market. There is no account minimum on the platform, but the investment required for each piece of artwork varies based on the offering.

Shares on the platform’s secondary market are currently priced as low as $20 for some pieces. 

How To Invest: The process for signing up for Masterworks and gaining access to investments is simple, especially since you don’t have to be an accredited investor. Once your membership is set up and you connect your bank account you’ll be able to start buying and selling shares of some of the most famous pieces of contemporary art on the planet.

Visit the Masterworks platform here to find out more.

Photo: Steve Johnson on Unsplash.

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.

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