Abstract
The economic downturn during 2000 left many investors with burnt fingers and weary of investing in equities. Since then, there has been a search for alternative asset classes to fulfill the need to preserve returns, while not involving too high a risk. Arising from the media’s continued concern about a potential bubble in the housing market, many investors are showing an increasing interest in alternative asset classes that are not so highly correlated with equities, and provide hedging potential as part of a diversified portfolio of investments. One such innovative alternative asset class to stocks, bonds and real estate is art, which is seen increasingly as not merely items with aesthetic value, but also as attractive investments with a potential capital gain. The planned launch of a Fund of Art Funds by ABN Amro in 2005, aiming to channel money into some existing (and some yet to be launched) independent art funds, serves to highlight this point.
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© 2007 Rachel Campbell and Roman Kräussl
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Campbell, R., Kräussl, R. (2007). Time-Varying Downside Risk: An Application to the Art Market. In: Gregoriou, G.N. (eds) Asset Allocation and International Investments. Finance and Capital Markets Series. Palgrave Macmillan, London. https://doi.org/10.1057/9780230626515_1
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DOI: https://doi.org/10.1057/9780230626515_1
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