Collectors of the World have overwhelming treasures. They possess most of the art heritage. Once in a while, collectors face necessity to sell one of the masterpieces…
Scenario #5. Collector in need of money discovers that painting can be used as cash influx without selling. Information is inconsistent and comes from some consultants as a story about 30-50% weekly/monthly profitable deposit.
Owner has great painting with proper paperwork and outstanding price estimate.Hoping for fast profits, collector starts trading paperwork. This include large investments. Only with complete paperwork traders will work with collectors. Eventually, it becomes obvious that collector’s painting is profitable to others (estimators, insurance agents, consultants, bankers and many more) not the collector. Also, trading agreement only shows up to 5% profit from evaluated price. In small print, agreement states that all operations with securities are risky to the barrower as well as to the lenders. This means that owner can lose not only trading percent but the painting it-self.
Our Center for Art Research “Collector’s Luck” herd many stories of such trades directly from the collectors. Luckily, they were able to get out of this game in time. If someone has it, we would like to hear and share a happy story about successful trade.
Collector’s mistake: Collector choose to get large profit on risky operations, without risking the painting. The reality is different. Financial structures designed to make profits for them-selves not others.
Recommendations to collector: When large sum of money from selling authentic painting is desirable without additional investments, collector should choose auction or private sale. Portion, no more than half, could be invested in trading. In case of failure you will have at least half of the money. Our Center for Art Research “Collector’s Luck” wish you luck. We offer any help in sales and consulting for your investments.
To be continued….
The Center of Art Research “Collector’s Luck” states that this article based on prolonged and detailed research of world’s art market.