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Wednesday, August 24, 2011

Artwork is viewed as a way for high net worth investors to diversify out of the volatile market

Affluent investors never should have all their "eggs in one basket." Diversification has long been the mantra preached by investment professionals over the years. The old theme of diversification has been tested recently during the stock market falls we have experienced in the past few years. During these volatile times, investment "correlations" were very tight and most traditional equity and bond assets fell in lock step with one another (gold being an exception). The quest for all affluent investors and their investment advisers is to find and utilize "alternative investments" to help lower the overall correlation in an investment portfolio and decrease the overall volatility by allocating assets to asset classes that are not related to the fluctuations of the stock markets.

As investors are now on the hunt for how they can diversify their investment portfolios, art work is on the come back as a respected asset class that can be used as a tool in the diversification of ones portfolio.

Read the attached link! 

  

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