But that doesnt mean you cant invest in art at all.
But if you consider yourself a novice investor, is buying shares of art a good move for you?
Lets look at how it works.
Why invest in art?
Art is an asset just like any other.
And its one that tends to do well over time.
Thats a better than the S&P 500 performed during the same period (3%).
The sales numbers alone are enough to blow your art-loving mind.
But art is far from a get-rich-quick scheme.
Like any other investment, the longer you hold it, the greater the probability that youll see gains.
Enter fractional ownership, which attempts to democratize art investment by cutting a piece of art into tiny pieces.
(Except not really, because that would ruin the value of the art.)
How fractional ownership works
There are a few different ways you might own shares of art.
One way is to buy into artwork thats been purchased by a firm.
It can set its own requirements for the price per share and the minimum investment.
Another method is through blockchain-based technology.
But this model isnt without its risks, some of which comes down to taste.
Youll want to use that same critical judgement before you invest in shares of art.
Other platforms may allow you to get started for as low as $50.
These are three-to-seven-year investment horizons, Lynn said of the pieces that Masterworks controls.
I would proceed with caution until these new companies build momentum and credibility, Berry said.
You have to decide how much risk youre willing to take on.
Do you want to take a chance on a living artist, whose performance at auction could fluctuate?
Or would you rather choose a tried-and-true master with consistent appeal?
Your approach to investing in art could impact your rate of return.
Berry offered another tip: Find out how the platform youre interested in decides to sell its art.
