Highlights from the Art Market – Opportunities & Impact Webinar
Yieldstreet | Staff
Yieldstreet’s very own Cynthia Sachs, Chief Investment Officer of Art Finance, and Naomi Baigell, Managing Director of Marketing and Client Relations of Art Finance recently hosted a webinar where they discussed the state of the art market amid the coronavirus pandemic and economic slowdown.
During the webinar, Cynthia and Naomi were unable to answer some of the questions our viewers sent in due to time constraints. Here, they answer some of the questions we received during the live session held on May 20, 2020.
How are you addressing not being able to see artworks in person during this time?
One of the most important aspects of any sector of the art market is to see works in person. Early on, there were quite a few constraints during the height of social distancing. As many businesses were closed, we had to recalibrate our process. We were lucky, as much of our initial diligence can be done through image and research with tools readily available. Additionally, because so many in the field were in the same situation, we were able to collaborate with our outside vendors in order to find solutions that would help move our loans forward without too much strain. This is not to suggest that we did not still have hurdles, we do. But by using data, technology, and research, Athena Art Finance has been able to navigate through and support our clients’ immediate and long-term objectives.
How do you capitalize on the virtual market?
The global art community has had to revamp the ways in which people interact with all aspects of the art market. We hit the ground running once the coronavirus struck. Through our strategic partnerships along with the back up of our A+ technology team, we planned and rolled out a digital strategy so that our brand and message has been continuously present for our public audience. During this new paradigm, we have worked with other thought leaders and will continue to do so, on podcasts, webinars, ad campaigns, and focused content pieces that address the current topics that are top-of-mind for our existing and prospective clients. We look forward to promoting these engagements and further conversations to learn how we can continue to be relevant and add valuable solutions during this time.
How much demand (in comparison to pre-coronavirus numbers) is Yieldstreet seeing amongst collectors looking for art backed loans?
We are continuing to see growth in art-backed lending. Each week we are having more and more significant conversations as people are in pursuit of liquidity for a variety of reasons and many are looking to invest in other opportunities. To this point, we believe we can be a valuable, flexible, and quicker financial solution than one’s banking institution. As we are not transactional, we offer a solution that allows for time to be on one’s side, enabling collectors to hold their works of art and sell at a more opportunistic time so as to achieve the highest and best prices. Regardless of market conditions, until a sale is finalized (should that be how the loan is paid down), our lending solutions postpone any commissions, taxes, and other fees associated with the sale.
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If you or your clients would like to know more about the benefits of art-secured lending related to your trust and estate planning, please contact Naomi Baigell, Managing Director of Client Relations, [email protected].
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