FROM TICKER TAPE TO OIL PAINT: A COMPARATIVE ANALYSIS OF RETURNS TO FINE ART AND STOCK INVESTMENT(2016)
This analysis explores the relationship between US stock indices and the international fine art market with the hopes of shedding light on the viability of fine art, more specifically, paintings, as a form investment. I hope to provide insight to art collectors and prospective buyers on the estimated future value of artworks as it compares to the estimated future value of stock. I have compared these markets using average annual returns for three US stock indices, as well as annual US Consumer Price Index data, to repeat sales of selected artworks sold at auction within the 29-year period of 1987-2015, with data collected from the AskART database. Stock data was collected for the S&P 500, Dow Jones Industrial Average, and NASDAQ indices. Annual average rate of returns for this sample of artworks show a lower rate of returns, on average, than each stock index listed for this period. However, art investment may offer a potential form of portfolio diversification to a risk-neutral investor.
Publication DateFall December 8, 2016
DegreeBACHELOR OF ARTS
Field of studyECONOMICS
AdvisorsRoberto Pedace, Bruce Coats, Marina Pérez de Mendiola
Citation InformationAnna Ghadar. "FROM TICKER TAPE TO OIL PAINT: A COMPARATIVE ANALYSIS OF RETURNS TO FINE ART AND STOCK INVESTMENT" (2016)
Available at: http://works.bepress.com/annaghadar/1/