Masterworks Makes Fine-Art Investment Easy and ProfitableBuy shares in million-dollar art pieces by top artists, then share in the profits when they resell.

ByStackCommerce

Disclosure: Our goal is to feature products and services that we think you'll find interesting and useful. If you purchase them, Entrepreneur may get a small share of the revenue from the sale from our commerce partners.

Alina Grubnyak/Unsplash

Men and women with a nose for opportunity are always looking for reliable means of turning their money into more money. So when they see a sector that outperforms premium S&P 500 stocks by250 percent over the last two decades, it's worth investigating more closely.

不幸的是,投资领域艺术world. And while escalating prices on blue-chip works are undeniable, there are usually two looming entry barriers to becoming an art investor. First, you need the knowledge about which paintings will see the best increases in value. Then, most importantly, you often need access to hundreds of thousands, even millions, of dollars to add an essential work by an esteemed artist toyour portfolio.

Masterworkstakes care of both of those concerns. They offer the modest investor the chance to buy into blue-chip art pieces at a fraction of the traditional cost while still enjoying a big appreciation on their investment.

Masterworks started securitizing artwork back in 2017, purchasing Andy Warhol's 1979 painting1 Colored Marilyn (Reversal Series)for $1.82 million. They thenoffered small-sum investors the chance to buy sharesin that painting, allowing 1,300 Masterworks members to actually own a piece of a Warhol, a portfolio asset impossible to acquire for anyone but millionaire art investors.

Since then, the Masterworks team has created handfuls of those investment opportunities, analyzing over 60,000 data points to find works primed for big valuation increases. Masterworks buys those paintings, then makes shares in those works available to their investors through the Masterworks app, atshare prices starting as low as $20.

From works by Picasso and Monet to Zao Wou-Ki and Gerhard Richter, Masterworks investors can build a portfolio including million-dollar works by artists that are household names. Buyers can even make their portfolios public, then take their share of the profits when Masterworks eventually sells those works at big increases over their original purchase price. For example, investors bought $1,000 shares in the Banksy paintingMona Lisaafter Masterworks purchased the painting. They eventually sold the work for $1.5 million in 2020, giving each investor a 32 percent annualized return on their original share price.

Budding art investors cansign up through the Masterworks website. After answering a set of introductory questions, a Masterworks investment representative will contact the buyer to help get their investment portfolio started.

Prices are subject to change.

Wavy Line
StackCommerce

Entrepreneur Leadership Network Contributor

Account Manager

Editor's Pick

Related Topics

Business Ideas

55 Small Business Ideas to Start in 2023

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2023.

Business News

Netflix is Hiring an AI-Focused Role—and the Starting Salary is up to $900,000

The streaming giant is looking for a leader in its machine learning department.

Data & Recovery

This $20 Training Bundle Could Help Your Freelance IT Business Grow

Hone your cybersecurity chops with this training bundle.

Growing a Business

Senior Executives Are Falling Behind The Digital Curve — Here's What It Takes to Stay Ahead.

Learn how to stay ahead of the digital curve with the top areas of digital transformation that all corporate leaders should know.