Will the Election Influence Art Collecting?

November 08, 2016

... of course it won't. Everything influences the skittish world of art collecting.

Art collecting is always in a state of flux.  Whether it is the Trump and Clinton Election, Brexit or the natural disasters that influence us.

However with crazy world events or looming economic times, there are some things art collectors benefit from:

 

Emerging artists get attractive


With uncertain times, art collectors often can benefit from turning over stones to find undervalued artists offering lower prices and a strong possibility of return on investment. The worst times are actually good times to invest in historically under-valued artists. Along with elections, the market is democratized in that the larger number of artists and art collectors actually gain a better opportunity to connect rather than collectors just burying their heads in auction catalogs. This is where the art collector has the ability to get that "erik cocks work" before being priced out of the market.  An art investor can make a smart purchase of 10 pieces in bad times and they have a pretty good chance that at least one of them will blow up with the others at least breaking even.

 

No Matter if Trump or Clinton wins the presidential election it wont affect art collecting - BUT it will affect the value and re-sale of pieces.


Both candidates tax policies would likely influence collecting with tweaks on tax law after the election.  Can you still write off losses, re-structure art collection ownership, write off museum lending and so on?  Who knows, but art collecting will be affected because when your primary collection starts costing you money, some of that art is going to move!

 

The art market is still a major market


We will continue to see waves in collecting just like the general economics of the country in art collecting and value/spending.  However, the trend, according to Hiscox, is still one of upward growth. The new economy of the internet is pushing on the art auction houses and moving to direct, gallery based, and social knowledge of art dealers.

 

Art Collecting will always be changing

Art collectors collect art.  That's what they do.  Whether after the election or anytime.  There will always be opportunities for great bargains, great new discoveries and spectacular growth in the emerging artist world.