The Knight Frank Luxury Investment Index – Art update
Sebastian Duthy and Veronika Lukasova of Art Market Research, which provides the data we use to track the performance of art - one of the 11 asset classes covered in our Luxury Investment Index – provide an update to the current market
2 minutes to read
How was the market for art performing prior to the Covid-19 outbreak?
Brexit uncertainty compounded by China-US trade tensions undermined confidence in the art market in 2019. However, this was offset to a degree by growing online sales which are more inclusive of younger generations keen to collect.
Our Global Index of artists, which tracks the value of their works sold at auction worldwide, has risen by 134% over the decade, but grew just 4% during the past 12 month. In the first quarter of 2020 it was up 1%.
How has the outbreak affected the market?
The outbreak of the coronavirus had an immediate impact on the number of public sales and auction houses were quick to offer online viewing services and private sales.
An uncertain future has split views among collectors, however, and while those who buy for passion are holding fire, the less risk-averse are seeing an opportunity.
Leading gallerist David Zwirner even suggested that 2020 might be one of the great years for collecting.
At Sotheby’s carefully curated Contemporary Day Auction in May, 96% of the lots on offer were sold. Sotheby's records the number of bids for timed auctions and the most keenly sought after were for works by artists born in the 1980’s – Claire Tabouret, Loie Hollowell, Jullie Curtiss and Lucas Arruda.
Christie’s online sale Contemporary Art Asia (closing April 30), showcasing prints and multiples by in-demand artists, was 100% sold with two thirds selling above estimate.#
How do you think the market will change once the world has recovered from Covid-19 and which are the artists and genres to watch
Collectors are increasingly expecting a return at some point down the line and with many more buying online, auction houses will have to create exciting new formats to stay relevant.
Christie's announced a new kind of sale called ONE in July which is a global 20th-century art auction spanning four cities in one relay-style format.
Sales of women artists continues to pick up slowly and if recessions hit hard around the world, we can expect to more consignments from private collections.
In May, one of just a few works by the female Old Master, Orsola Maddalena Caccia, made a surprise appearance at Sotheby’s. Still Life of Birds is a study of a chiffchaff, blue tits and a goldcrest and came from an Italian Private Collection.
The work was knocked down at £212,500 (with fees) after 49 bids against an estimate of £10,000-15,000.