Investing in the Art Market with Masterworks can Diversify Your Portfolio
Thanks to Masterworks you don't have to be a millionaire or billionaire to invest in the global art market.
Masterworks buys artwork it thinks will appreciate in value over a 3-10 year period, securiltizes the artwork with the SEC so people can invest and then sells the artwork in the future distributing the proceeds to the shareholders. Also, investors can buy and sell shares of individual paintings on Masterwork's secondary market just like you buy and sell stocks and other financial assets.
According to Masterworks, paintings by the most popular srtists have appeciated more than the S&P 500 group of stocks in recent years. And the artwork returns are not highly correlated with the stock index returns.
See THE GLOBAL ART MARKET AND COVID-19 for an overview of the global art market.
Before you invest with Masterworks, be sure you understand their fee schedule and possible liquidity problems with their secondary art market.