Art as an alternative asset class: risk and return characteristics of the Middle Eastern & Northern African art markets
- This chapter analyzes the risk and return characteristics of investments in artists from the Middle East and Northern Africa (MENA) region over the sample period 2000 to 2012. With hedonic regression modeling we create an annual index that is based on 3,544 paintings created by 663 MENA artists. Our empirical results prove that investing in such a hypothetical index provides strong financial returns. While the results show an exponential growth in sales since 2006, the geometric annual return of the MENA art index is a stable13.9 percent over the whole period. We conclude that investing in MENA paintings would have been profitable but also note that we examined the performance of an emerging art market that has only seen an upward trend without any correction, yet.
Author: | Roman KräusslORCiDGND |
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URN: | urn:nbn:de:hebis:30:3-356082 |
URL: | https://www.ifk-cfs.de/fileadmin/downloads/publications/wp/2014/CFS_WP_494.pdf |
Parent Title (English): | Center for Financial Studies (Frankfurt am Main): CFS working paper series ; No. 494 |
Series (Serial Number): | CFS working paper series (494) |
Publisher: | Center for Financial Studies |
Place of publication: | Frankfurt, M. |
Document Type: | Working Paper |
Language: | English |
Year of Completion: | 2014 |
Year of first Publication: | 2014 |
Publishing Institution: | Universitätsbibliothek Johann Christian Senckenberg |
Release Date: | 2014/11/25 |
Tag: | Alternative investments; Art price index; Optimal Asset Allocation |
Issue: | June 2014 |
Page Number: | 29 |
HeBIS-PPN: | 351114319 |
Institutes: | Wirtschaftswissenschaften / Wirtschaftswissenschaften |
Wissenschaftliche Zentren und koordinierte Programme / Center for Financial Studies (CFS) | |
Dewey Decimal Classification: | 3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft |
Sammlungen: | Universitätspublikationen |
Licence (German): | Deutsches Urheberrecht |