A Brief Beginner's Tutorial On Purchasing Fine Art As A Financial Investment

Over a decade ago, a very hip humor magazine put together the art of children and showed it in a gallery space -- pretending that the work was made by adults. Then they secretly documented the observations of the hipsters who came into the gallery and commented about how cosmopolitan the artwork was. To me, that little exercise proved that beauty is entirely in the eye of the beholder. And many times, similar to the story "The Emperor's New Clothes," it's also a matter of crowd opinion.

In the general scheme of things, it does not really matter what a piece of art looks like; it's only important that you like it -- unless, of course, you are collecting for investing purposes. That's another story entirely! The art world can be intimidating, so if you're new to collecting art and you're wanting to obtain some that will be valuable down the road, these suggestions will aid you:

* Become well-informed
Though art work is subjective, there are actually several rules regarding what can make it valuable. Some art types, such as window art and other similar types of artwork, are more in demand than others, inevitably causing them to be more valuable. And it's beneficial to recognize the distinction between prints on canvas and original oil paintings, because the valuation of each differs greatly. To learn about these complicated facets, you can join your community art museum, read art mags and books, attend art exhibitions, speak to painters and collectors, or spend time touring art galleries. Also, newspapers in large cities often offer art criticism, so they can help you get up to speed.

* Invest in artwork you have a passion for
Be conscious of your gut when it comes to acquiring art work and only purchase pieces you have a passion for. If you have a strong positive reaction to a piece of art work, it's likely that a number of other people may too. That fact can impact the future value. But no matter how much you appreciate the artwork, you ought to identify what you'll be getting before you buy. So you should determine if the piece is an genuine original, a limited edition or a reproduction. If it's a reproduction, uncover as much as you can about the type of paper or canvas and the process used to produce the reproduction, as these variables can influence the valuation.

* Get the right paperwork
The potential valuation of any art work you purchase can only be improved if you have the right documentation. When you buy from a gallery, retailer or from the painter directly, make sure to get a bill of sale. If the item is a limited edition, secure a letter of authenticity that documents the piece number, if appropriate. This documentation should be attached to the back of the art in a large envelope, in addition to the artist's bio (if this is available).

* Safeguard your investment
In addition to taking the preventative measure of shielding the art work in transit to your home or office, it is also advisable to provide for protecting it in the future. Be sure that direct sunlight or air from your air conditioning and heating system do not hit it directly, that it's not placed above a working fire place and that you display it high enough so that small kids can't access it. If you are going to be framing it, use Ultraviolet-blocking glass or Plexiglass that will help block light that can diminish the colors. And if the piece is very precious, you should insure it. Art insurance is quite reasonably priced, so you should be able to get plenty of coverage for a small amount of money.

The points above are just some of the elements to be conscious of when purchasing fine art as a financial investment. The advice to buy what you love is perhaps the most significant though. Money values may come and go but great beauty is everlasting. And you just can't put a price on how having beauty surrounding you can greatly enhance your everyday life.