Luc Renneboog

Professor of Corporate Finance, Tilburg University
Photo by Steve Johnson

Investing in Art: Returns, Risks, and Market Dynamics Over Six Decades

This study analyses the financial performance of art investments over six decades using nearly three million auction transactions. While art underperformed most alternative investments (wine, classic cars) and traditional assets (stocks, bonds), its negative correlation with financial markets offers portfolio diversification benefits. Key price determinants include authenticity, medium, provenance, and auction house reputation.