Compared to leading stocks, art has been a stellar investment over the past twenty years.
Since 2000, the top-end of the art market has outperformed the S&P 500 by 449% according to the ArtPrice 100 Index, with an annual average increase of 8.9%. At Mintus, we focus on Post-War and Contemporary art for our art investment offerings, but why is that?
The market for Post-War and Contemporary art has undergone a huge period of growth in the 21st Century. At auction in 2000, the sector accounted for only 17% of the market share by sales value. In 2021, it accounted for 55% of the value of the fine art auction market. This substantial increase is indicative of the fact that it has become by far the biggest and most active fine art market sector, and subsequently the sector with the most liquidity and best investment opportunity.
Art is of course subjective, highly personal, and generally reflective of the wider societal and demographic trends. So, it’s perhaps not surprising that works created since 1945 have produced by far the strongest returns; the ArtPrice Post-War Art Index has grown 267% since 19981.
Contemporary art reflects the latest fashions, connects with a recognisable zeitgeist, and often possesses a “wow factor” that captures collectors minds more than older periods. By definition, it’s newer and fresher to market, and it can attain cult status, making it attractive to investors. This is apparent in the prices, which have regularly found new highs following frenzied bidding at auction, and is reflected in the ArtPrice Contemporary Art Index, which has grown 358% since 19982.
The performances of both indexes are indicative of the potential profit of contemporary art investment.
Mintus focusses upon the Post-War and Contemporary sector for its art investment offerings. Post-War art refers to artists who came to prominence in the decades following the Second World War – from 1945 until around 1990 – such as Andy Warhol. Contemporary art generally refers to artists who came to prominence since 1990, such as George Condo. Whilst technically it is Post-War and Contemporary art that we are focussed on at Mintus, the sector may more generally be abbreviated to Contemporary art for ease.
The latest statistics from the UBS & Art Basel Art Market Report (2022) showed that whilst the majority of sales happened at the lower value end of the market, ultimately the majority of the market value sits in the upper end. Sales of $1 million and above accounted for only 1.2% of the sales volume but were responsible for 64% of the sales value.
At Mintus, we focus on blue-chip art investment. This means artists at the top-end of the market, in the $1+ million bracket. Examples of some of these artists are Andy Warhol, Jean-Michel Basquiat, David Hockney, Yayoi Kusama, and Gerhard Richter. All of whom have a sustained auction track record, international collector base, and market momentum over the last two decades, marking them out as some of the best contemporary artists to invest in. Yayoi Kusama’s Paintings Price Index, for example, has multiplied over 65-fold since 20003.
This kind of historical gain illustrates what is possible with well-known names. However, lesser-known artists can offer more speculative and higher-risk contemporary art investment opportunities as they become better known. With this in mind, we are also considering offering exposure to emerging artists in the future.
Register as an investor now to explore our art investment opportunities.
We answer some of your common questions here.
We welcome any owner who wants to unlock liquidity from their collections to contact our Fine Art Team. This includes individual investors, galleries, institutions, and artists. Please reach out if you're interested in listing your artwork on the Mintus platform.
All artwork offered by Mintus is stored in climate-controlled, specialist art storage facilities, under a Mintus account. Current paintings are held in a facility in Delaware.
Artwork is acquired through our unique relationships with the world’s most renowned collectors and galleries. Our Fine Art Team marries their own expertise with insights from fellow industry experts to identify one-of-a-kind investment opportunities from established artists with high-growth potential. Our team examines metrics such as the artist’s market track record, recent price velocity and momentum, and the size of their international collector base when making investment decisions.
If you need support you can send an email to [email protected] or schedule a call using the links on each page of our website. If you need to make a complaint you can write to [email protected]. A description of our complaints policy is set out in the Investment Terms & Conditions for each investment.
Mintus Trading Limited is authorised and regulated by the Financial Conduct Authority in the United Kingdom under firm reference number 942522. For more details on our regulatory permissions please see the Financial Services Register.
For more information on risks, see the Memorandum for the relevant artwork and the important disclosures.
Mintus does not sell NFTs. NFTs are digital assets. Mintus enables qualifying investors to participate in the art market by purchasing interests in high value, physical artworks. Mintus’ platform facilitates investment in real, iconic artworks created by established artists.
Mintus is planning to in the future introduce a Secondary Market for investors in permitted locations, which will facilitate selling of shares to buyers, dependant on demand. Further details, including the timing relating to launching any such Secondary Market, will be notified to customers in due course.
According to the regulations, certain investments can only be made available to investors who fall within these categories and Mintus must also follow appropriateness requirements when registering investors.
Fees are dependent on the specific artwork and the specific structure of the investment opportunity. Fees are clearly shown in advance for each artwork / investment opportunity, as displayed in the Memorandum that relates to the artwork / investment opportunity; this document is available to download from the profile of each artwork under the Opportunities section.
Both individual investors and institutions can invest in artworks. Individual investors will need to declare themselves to be ‘high net worth individuals’, ‘sophisticated investors’ or 'qualified investors' during the account creation process. Individual investors will also need to pass an appropriateness assessment. Professional investors including wealth managers, private banks and family offices should contact our team for more information on investing as an entity or managing multiple client accounts on the platform.
For the opportunities listed, a minimum investment of $3,000 is required however investments can be for any amount above this and generally range from $15,000 to $100,000. International payments are accepted.
Funds can be sent from any denomination into our USD bank account. We will show you the estimated cost in your chosen currency during the investment process, however, this may change at the point of transfer and does not account for fees charged by your bank. When transferring, your bank may show an estimated conversion; alternatively, the funds can be sent in your local currency and converted at the point of receipt. Other transfer services such as Wise display exact fee and currency conversion rates to ensure you're sending the subscribed amount.
Mintus does not provide tax advice. We recommend that investors obtain their own tax advice as every person has specific tax circumstances. Generally, income and profits generated from your investment can be subject to either income tax or capital gains tax (depending on the individual investor and the specific structure of the investment). Artworks are not income-generating during the period they’re held. If you are unsure about your tax or other legal requirements, please speak to a professional advisor.
Not directly. In order to take an investment from one artwork to another, shares would need to be sold to a willing buyer on the future Mintus Secondary Market and then proceeds reinvested on the platform. The Secondary Market will only be available in permitted locations.
Typically, valuations occur at the end of June and December, with reports distributed to investors as soon as possible thereafter.
All actions in relation to the asset are at the discretion of Mintus. Mintus will communicate with investors on a six-monthly basis with an update on the net asset value, and any further news will be communicated on an ad-hoc basis.
Distributable profits will be made available to investors as soon as possible, once all sale-related administration is complete.
Profits will be received into your Mintus wallet, with the option to withdraw the profits into a bank account or reinvest on the Mintus platform.
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