Cosmo

Investors see the market as changing

 Is art really an investment that is worth the cost?



 SB: Investors see the market as changing. Investors are looking for something that's stable -- and, you know.



 what's stable? A Picasso. An example of a Picasso.



 Art intrinsically offers all these benefits that could be Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts utilized as an alternative asset type, and it also has lower volatility compared to stocks which can suffer.



 double-digit losses in one day for example. Art allows investors to transform some liquidity into an asset well-suited to preservation.



 In times of extreme uncertainty, how can you increase wealth



 Javier Lumbreras, philanthropist, collector and investor,  Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts created the Guernica V Fund. This fund was his first in 2008, shortly after Lehman.



 Brothers broke up. In that time period there was a possibility in the world of art to purchase very expensive, historically important artworks at a price that was lower.



 (they were still millions of dollars however, they were  Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts reduced in price due to the recession and distress sales).



 There were collectors that, due to being wealthy, wanted to dispose of a few things so they could free up cash flow. There were still other things to be done.



 Investors were interested in using blue-chip art as an asset  Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts class due to its lack of correlation with the S&P 500. Like is an asset to own during times of economic or political turmoil.



 What we're seeing right now, with the pandemics, is actually a good time to diversify and buy art.



 A portfolio with artworks in it will usually offer a risk reduction of 10-20% than one without. The S+P 500 was a great investment portfolio, as we saw in 2008.



 The Moses Mei index of art fell by only 4.5% while its collapse was 37%..



 The works were bought by the fund with the idea  Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts  to sell them later. They waited for three to five years more before selling. Market conditions had improved significantly by this time.



 The fund is liquid and was able to buy and sell the works when it needed to. This was possible by the network they built and their geographical leverage.



 Arbitrage can be used to benefit currencies. The launch in  Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts  2008 of the Artemundi Global Fund was a huge success. Investors saw a 19% increase.



 return.



 Covid has caused markets to be volatile again. This was the ideal time to launch a new fund. This is how the Guernica V was born.



 fund. Guernica V Fund has a high buyin (Guernica V, which is worth $200,000 is an illustration). However, you can still invest in other funds.



 options available. It doesn't necessarily mean you Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts Hyper Cuts need to own an expensive Picasso in order to earn good profits. If you have an eye for detail, it is possible to find other options.