Date of Award
2025
Document Type
Thesis - Restricted Access (SIA Only)
Degree Name
Master of Arts (MA)
Department
Art Business
First Advisor
Lawrence Motz
Second Advisor
Brendan Burns
Abstract
“Art and money have always gone hand-in-hand” Simon De Pury
The interplay between art and finance has deep historical roots, tracing back to the practice of art patronage, where the wealthiest and most powerful entities of their time, such as Egyptian pharaohs, the Catholic Church, and influential families like the Florentine Medici, commissioned artworks as a reflection of their values, wealth and power. This traditional practice has persisted into modern times, with financial institutions such as UBS and Deutsche Bank amassing vast art collections, comprising 40,0002 and 57,0003 works respectively, and playing prominent roles as sponsors at global art fairs like Art Basel and Frieze. This exemplifies a longstanding legacy of banks as patrons of the arts, who extend their influence from global art events to local communities by supporting emerging artists and galleries. The economic value of art is intrinsically linked to its scarcity, aesthetic beauty, perceived historical significance and cultural relevance, attributes often reinforced or even ‘granted’ by art patrons over centuries. Consequently, art has come to be regarded not only as cultural capital but also as financial capital. This duality underpins the financialization of the art market, wherein art is commodified and leveraged as an asset class. This study examines the evolution of the art market financialization through a critical analysis of three key sectors within the Art & Finance industry : art investment funds, fractional art ownership models, and art lending. The Art & Finance industry is conceptualized here as an ecosystem comprising a diverse network of stakeholders operating at the intersection of art and financial services. Emphasis is placed on organizations specializing in art investment vehicles and art-secured financing. By analyzing art market reports, press articles, interviews with industry experts and white papers, this thesis explores how traditional financial institutions have expanded into their presence in the art market. It also investigates the emergence of specialized
Recommended Citation
Facquer, Paul, "The Art & Finance (R)Evolution: A Comprehensive Analysis and Future Perspectives" (2025). MA Theses. 234.
https://digitalcommons.sia.edu/stu_theses/234