How to Invest in Art
Recent data has shown that millennials and Gen Z now account for a ‘significant proportion’ of art buyers
Always thought the art world was completely inaccessible except to the titled and totally loaded? Not anymore. The younger generations are starting to put their money into art, showing that you can begin investing even on a relatively modest budget.
Larger auction houses are having trouble securing high value pieces, due to volatile financial markets and the current geopolitical climate – the Sotheby’s auction of modern and contemporary art on 4th March reflected a shortage of inventory with only 38 lots – so people are being pushed towards the lower end of the market. But really who has a spare £4 mil plus change to drop on a Banksy anyway?
The internet has also played a huge part in connecting artists and buyers more directly – not only can you follow your fave artists on social media, which helps build a real sense of support and community, you can discover emerging talent much more easily. This report by Art Basel & UBS says that only 7% of Gen Z consider ‘investment potential’ important when collecting art, instead citing ‘enjoyment of the work’ and to ‘support talent’ they like as the main reasons for buying an artwork. And you never know, an early piece or print from an unknown artist now might grow to be worth big bucks in years to come.
With that in mind, we spoke to four experts in the art world to find out why art makes for a good investment, how you can start doing it on a budget, and some top tips for building an art collection.
Hugo Barclay | UK Fair Director at Affordable Art Fair
Can you give us a bit of background on yourself and how you’re involved in the art world?
My career has been largely centred at the commercial end of the art industry. Prior to Affordable Art Fair, I was at London Art Fair, Artsy.net and running my own advisory service. My interest in the arts began in my childhood – coming from a family of creatives encouraged me to see the world in nonlinear way. I’ve been collecting since the age of 10 with Panini football stickers and eventually transitioning to art.
Why is art a good investment?
Art is widely considered a good store of value that can offer considerable returns over time. Art as an alternative investment provides people with capacity to diversity their portfolios from more common forms of investing. While we may think in monentary terms when we talk about investment potential, I also would encourage collectors to consider the social and cultural benefits of this sort of investing. Collecting art is not only about what you get out of it, emotionally and monetarily, but also the reciprocal benefits of supporting artists, finding connection or a sense of belonging through meaning.
How can people start collecting art with a relatively small budget? Where are some good places to look for affordable art?
Start by setting a budget and focusing on discovery – don’t get too distracted by the big art world headlines or trophy names. Indulge yourself in the pursuit of the undiscovered. On modest budgets, start by exploring local galleries, printmaker studios, degree shows and art fairs as these are convenient places to see a lot of art at once – this will fast track the development of your visual and emotional taste.
What are the best kinds of pieces to buy?
In my opinion, the art that that has timeliness chrematistics, is art that resonates with you on a personal level. It’s a sweet spot where the subject matter meet ones visual comprehension of what you’re seeing. Look for art from living artists and those with a growing exhibition history, and don’t be influenced by big trophy names – it’s much more fulfilling to discover and follow a lesser-known artist and see their journey grow in time.
How should collections be stored / displayed?
Proper framing is essential for your work, along with avoiding direct sunlight and using acid-free mounts. Display your art at eye level and consider the environment, be mindful of little hands and their grubby fingers.
Any other top tips for people looking to build an art collection?
Engage with your local art community by joining gallery mailing lists and attending exhibition openings. This will help you stay informed about new artists and upcoming shows. Create a WhatsApp group with friends who share your interest in art to exchange discoveries and recommendations. Participate in printmaking workshops and other art-related activities to deepen your understanding and appreciation of different mediums. Building a collection is a journey that takes time, so enjoy the process of discovering the new, the weird, the arresting…..diverse art. Remember, the relationships you build within the art community can
be just as valuable as the art itself. Building a collection takes years, not days.
Ellen Stone | Founder of Public Offerings Ltd.
Can you give us a bit of background on yourself and how you’re involved in the art world?
I am a curator, critic and consultant. I’ve been working within the UK and international art scene for over a decade with a mixture of galleries, artists and museums. I am the founder of Public Offerings Ltd. which is an art photography consultancy that focuses on redefining the narrative around showcasing and collecting art. I am also the creative director of Side Gallery, in Newcastle Upon Tyne, which has a mandate to create new ways for artists and those interested in visual culture to connect using art.
Why is art a good investment?
Financially art is a good investment choice, unlike purchasing stocks or crypto currency, art holds its value well and market fluctuations aren’t too severe – basically it remains stable when other investment categories drop. It is a slow burn, but your investment should steadily increase over time and the more you hold onto art the more potential you have to earn. The biggest thing for most early collectors though isn’t just the financial viability, it’s also that art holds a prestige amongst assets (it looks good), and is something you can display and enjoy. You might have money in shares but an artwork can be seen and appreciated whilst also working for your pocket.
How can people start collecting art with a relatively small budget?
The biggest thing I come up against when talking to new collectors is that good art doesn’t have to break the bank. Do your research, find aesthetics you like, follow artists on Instagram, make a Pinterest board – the more you invest in learning and working out your style then you’ll start to see patterns and people you want to invest in. Then think reasonably, buying an edition rather than a unique piece, for example, is a great way to get work from bigger names without breaking the bank. Also contact smaller galleries and local artists, engage with people on a personal level and you’ll find out when new drops are happening or flash sales. Artists want to cultivate a community, so show up and support and you’ll be able to access discounts and buy new pieces before anyone else.
Where are some good places to look for affordable art?
There are a lot of great art fairs which help new collectors, visit things like The Other Art Fair where you can interact with artists and buy work direct. You can also look online on market places like Saatchi Art, and reach out to artists directly too on social media. If you’re really looking to make this more than just buying some work you like and want to build into a collection though then talking to an art advisor will mean you can have real professional advice about how you can make your own art investment portfolio work.
What are the best kinds of pieces to buy?
For an early stage collector I always say buy what you like. There’s no point in spending thousands on a piece you don’t love, because art collecting isn’t about flipping pieces quickly. You’re going to have to hold onto a work for years to see growth, and you don’t want to be saddled with something you don’t want to look at. Other than that, then think about medium – how much space have you got to store/display something? If you’re in a small urban flat then maybe sculpture isn’t going to be your best investment.
How should collections be stored/displayed?
You want to make sure you’re always using archival standard products to store artworks – for each medium there is a lot of advice online, research any piece you have and best packaging standards if you’re going to keep it packaged, don’t just assume what it was delivered in is best for long term storage. When it comes to display, the best thing to suggest is to make sure you invest in good quality framing, this will keep the work secure and safe from the elements as much as possible. Finally, think about humidity and light damage – art won’t fair well over a radiator, in direct sunlight, or next to your shower, so consider the environment before displaying/storing anything.
Any other top tips for people looking to build an art collection?
You should always think like an archive or a library. You want to make sure you have all of your paperwork from a purchase, any authenticity documents, and any shipping documents saved – put these somewhere safe as the provenance of a work of art is integral to its future value. This then leads onto making sure you have a log of your pieces and get them properly insured. Paperwork is your friend and is the difference between buying a few pieces because you like them and starting a real collection for the future.
Sara Hill | Chief Creative Officer at Clarendon Fine Art
Can you give us a bit of background on yourself and how you’re involved in the art world?
I studied art to MA level before moving to France and starting my career in design and marketing, identifying European trends for UK and US markets. This role sharpened my eye for aesthetics and audience appeal, and provided a strong foundation for my move into the world of fine art. I joined Clarendon 20 years ago, I was invited to become a director in 2006, and am now Chief Creative Officer, overseeing the curation of our collections and nurturing relationships with our portfolio of artists. It’s a dynamic role that involves discovering exceptional new talent, working closely with established artists to develop their collections, and ensuring each of our galleries showcases art that inspires and excites. The most rewarding aspect is seeing how art can transform spaces and lives, whether that’s helping an emerging artist reach new audiences or watching a collector fall in love with a piece that perfectly captures their vision.
Why is art a good investment?
While we understand many purchase art for investment, we take a different approach at Clarendon Fine Art and focus on the joy and inspiration of purchasing art. Our founder Helen Swaby established Clarendon after being made to feel unwelcome in an art gallery herself – an experience that inspired her to create spaces where everyone feels welcomed and encouraged to explore art, whether they are a seasoned collector of first-time buyer. We believe the true value of art lies in its ability to bring joy to your daily life. Many of our collectors do find that quality artworks maintain their value over time, and come to us looking to start investments, but our focus is on helping people find pieces they’ll love living with. We regularly work with clients seeking specific pieces that will transform their homes and create lasting emotional connections, guiding them through what should be an exciting and inclusive journey of discovery.
Where are some good places to look for affordable art? How can people start collecting art with a relatively small budget?
At Clarendon, we welcome art enthusiasts at every stage of their collecting journey. Our expert consultants take time to understand each collector’s vision and can guide you through options across different price points from accessible pieces by emerging artists to original masterpieces for serious collectors. Whether you’re drawn to contemporary painting, limited-edition prints, or investment-worthy originals, working with a knowledgeable gallery can help you navigate the options and discover art that resonates with you. Expert guidance can make all the difference, ensuring you invest in pieces that not only suit your space but also have lasting value.
What are the best kinds of pieces to buy?
The most important thing is choosing art that resonates with you personally and emotionally whilst complementing your space. Some collectors are drawn to bold contemporary pieces, while others are after more traditional styles or abstract works. I have a period property but I love to mix classical and contemporary in both furnishings and artwork. I have abstract originals that bring a room to life with a splash of colour and classical pieces that sympathise with an interior. When choosing art I believe if you love it, have it, it will find its own home. While it’s important to understand the artist’s background and exhibition history, the strongest collections are often built from pieces that truly speak to the collector’s personal taste and lifestyle goals.
How should collections be stored / displayed?
Art should be displayed with confidence – it’s meant to be enjoyed! At Clarendon, our specialist team can offer expert guidance on both styling and installation, ensuring your artwork is presented beautifully in your space. Consider placement carefully; a well-chosen piece can transform a room, whether it’s a bold statement above a fireplace or a curated gallery wall. When it comes to practicalities, proper care is key. Keep artwork away from direct sunlight and areas of high humidity to prevent fading or damage. Use secure hanging systems suited to the weight and size of the piece, and always ensure fixings are properly installed. It’s also wise to maintain documentation of purchases and certificates of authenticity, and to check that your insurance covers your collection, to protect your investment for years to come
Any other top tips for people looking to build an art collection?
Trust your instincts while doing your homework but do spend some time finding out what has a positive impact on you personally. The first piece you purchase should make your heart skip a beat when you enter the room – that emotional connection is often the best indicator of a piece worth investing in. Build relationships with galleries and artists, as these connections can lead to exciting opportunities as your collection grows.
James Thomas | Head of Private Clients at Marten Stanmore
Can you give us a bit of background on yourself and how you’re involved in the art world?
I have been passionate about art from a young age, but after university, I initially pursued a career in security investment. However, I quickly realised that it wasn’t where I truly wanted to be. When the opportunity arose to work in investment at a leading London gallery, it was the perfect way to combine my two interests, art appreciation and direct client engagement. Working with global clients allowed me to gain experience in galleries across Europe, with my favourite being working in a gallery in Jersey. Over the past decade, I have specialised in art advisory and investment, helping clients build and manage their portfolios in the most streamlined and financially efficient way while maximising returns. When the opportunity arose to take on the role of Head of Clients at Marten Stanmore, especially with the expansion into new Chiswick premises and a fresh direction aimed at engaging the next generation of art investors it felt like the ideal next step in my career.
Why is art a good investment?
Art can be a highly rewarding investment when guided correctly, offering significant financial returns over time. Unlike stocks or bonds, it holds both cultural and financial value while serving as a powerful tool for portfolio diversification. Its low correlation with traditional assets provides stability during economic downturns, making it an attractive option for investors. Historically, blue-chip artists such as Picasso, Warhol, and Basquiat have seen strong long-term appreciation, with some pieces yielding returns comparable to high-performing stocks or property. The key to successful art investment lies in selecting works with strong growth potential. Through careful analysis, we help clients acquire pieces poised for appreciation, ensuring they benefit from favourable market trends. Beyond financial returns, art also carries emotional and cultural significance, allowing investors to enjoy and display their pieces while they increase in value. At Marten Stanmore, we are witnessing a significant rise in Gen Z investors choosing art over traditional savings accounts, recognising it as a more lucrative and dynamic investment opportunity.
How can people start collecting art with a relatively small budget?
At Marten Stanmore, we specialise in guiding new art investors on their journey, with entry points starting from as little as £3,000. Our expertise lies in helping individuals select pieces that strike the perfect balance between affordability and investment potential. We often recommend focusing on emerging artists or specific categories such as limited edition prints, which offer strong value while maintaining promising growth potential. Our investment advisors work closely with clients to identify strategic opportunities, ensuring that every budget is maximized for long-term gains. By carefully selecting works with significant upside potential, even modest investments can generate impressive returns over time.
Where are some good places to look for affordable art?
Typically, it can be a bit of a minefield and finding affordable art with strong investment potential requires knowing where to look. Emerging art galleries and online platforms are a good start, as well as art fairs such as the Affordable Art Fair and The Other Art Fair, which offer curated selections at accessible price points. Smaller auction houses such as us, Tate Ward and Chiswick Auctions often feature works by up-and-coming artists at competitive prices. At Marten Stanmore, we specialise in finding art across a variety of channels, from curated auction selections to private sales. We focus on artworks that align with the individual’s investment goals, whether they’re at auction, through private galleries, or from emerging artists whose works are gaining market traction. Our auction house offers access to exclusive art collections, and through our advisory division, we offer insights into where to find the best deals and hidden gems, ensuring that you make informed purchasing decisions.
What are the best kinds of pieces to buy?
My advice to clients focuses on selecting art that offers both artistic value and strong potential for financial appreciation. The best opportunities right now lie in acquiring works from promising emerging artists, limited edition prints, or art movements expected to grow in the coming years. Maximising returns requires careful selection of pieces that not only retain value but appreciate significantly over time. While this can be done independently, it demands extensive research into trends, artist performance, and historical data to ensure each purchase aligns with a solid investment strategy.
How should collections be stored/displayed?
Proper storage and display are crucial for maintaining and growing the value of your art collection. Things for consideration include framing, lighting, and environmental conditions to ensure that each piece retains its value and remains in top condition. For investments in art, we recommend climate-controlled environments to prevent damage from humidity, light, and temperature fluctuations. Additionally, you need to consider how to display works in a way that not only enhances their visual appeal but also ensures their long-term preservation.
Any other top tips for people looking to build an art collection?
Start by defining your focus, whether collecting for personal enjoyment or investment, and identifying styles, artists, or movements that appeal to you. Research is key, so follow galleries, auction houses, and art fairs to stay informed about emerging artists and market trends. Set a budget that allows for exploration, beginning with limited edition prints or works from up-and-coming artists. While investment potential matters, remember to buy pieces you love. Diversify your collection by including different styles, mediums, and artists. All of this is time consuming so make sure you’re passionate about what you’re looking for or engage with an art investment house. Consider the long-term value of your pieces by evaluating an artist’s career trajectory and upcoming exhibitions. Finally, ensure proper care and storage to preserve the condition and value of your collection.