The Economic Times : It pays to hold on to your art assets

ASHOKE NAG

TIMES NEWS NETWORK[ THURSDAY, APRIL 19, 2007 01:15:21 AM]

KOLKATA: With the Indian art market passing through a phase of maturity where corrections to an extent are taking place in different segments, buyers need to strategise their buying activities in some ways.

“To begin with, the earlier approach of frenzied purchases needs to be tempered a bit. In the shape the art market will gradually assume, a collector or investor should take care to pick up high-quality works of artists who are working and exhibiting regularly. At the same time, a buyer should always look for advice from experts on artworks to buy,” an art market source told ET.

Primarily, there are three or four facets that one should look for before making a purchase. The first is the intellectual content in a work of art. This would mean the degree of originality in the creation and the artist’s prowess in bringing off the artwork.

“Repetitive themes should not be considered as works of art of high standard. An original work will never be repeated. The second feature is the technique that has gone into the work. Third, one should check out the visual appeal that an artwork reflects,” the source said.

According to the source, a new buyer should visit art shows as many times as possible to hone his or her sense of recognising quality art. The buyer should make sure that the proper provenance (ownership history) is available for the work which is underscored by an authentication certificate from the artist if he or she is alive. Because of several fakes which are floating in the market.

“Buyers should take care not to source works from dealers or galleries with low credibility and be cautious of middlemen who are circulating in the market. They even drop by at galleries and befriend unsuspecting buyers and lure them into buying artworks at cheaper rates, which finally turn out to be fakes,” the source said.

Importantly, in the changing market dynamics, buyers should park funds in artworks for the long term. Only this can ensure higher returns. The collector/buyer could also contemplate building up a collection which exclusively revolves around select artists and themes.

“For instance, a buyer could just home in on investing in landscape, abstract or figurative artists. In the same breath, one could acquire exclusive schools of art like Bengal, progressives or contemporary. The value of a collection rises when a collection is selective and rare,” the source said.

For middle-level collectors, emerging artists are the best bet. But, for this category of acquisitions, the buyer must either possess a good eye or take proper advice from a leading gallery owner. A quality emerging artist can offer high returns in future.

“The crux of matter is to get one’s investment right. A work of an emerging artist which was picked up for Rs 3,000 in 1990 is worth Rs 50 lakh now. Increasingly, the work will become as important or bigger than the signature,” the source said.