Island Life Magazine Ltd February/March 2009 | Page 62
life
ANTIQUES
By Philip Hoare
Money in Quality Not in the Banksy
We're here at last in 2009! I
hope you all had a wonderful
Christmas and an excellent
party on New Years Eve!
As the nebulous clouds of
intoxication drift away its
time for us all to sober up
to a year which brings with
it much uncertainty as the
world recession continues to
bite. Every facet of business
culture will be affected, since
globalisation inexorably links
the worlds economies. I have
personally experienced two
major recessions during my 43
years in the world of antiques,
62
and on both occasions the
markets were affected with
substantial decline in value for
pedestrian and middle-quality
pieces and an increase in value
for rare and fine quality pieces.
I do hope I am wrong, but
this time I suspect that the
downturn will be longer and
more painful. So, as before,
there will be a significant
downward adjustment in prices
for general art and antiques, in
particular furniture. However,
the reality is, that since the
stock and property markets
have suffered so badly of late,
there will be a considerable
increase in demand for
collectable's and Objects d'Art
with an emphasis on quality.
I believe there will be many
new investors looking for
alternative ways of, not only
preserving their capital but
(perhaps not in the short term
- certainly in the long term)
realising substantial growth
on their investment. Rare
and fine objects will increase
significantly in value as they
become more scarce and
sought after.
Let me give you an example:
The quality of workmanship
of the Russian silversmiths
and jewellers pre-revolution
was truly exceptional. and
this has been reflected by the
continual increase in value of
fine Russian works throughout
2008. A fine, diminutive
Teapoy, decorated in various
shades of blue enamel was
bought in 1998 for £5,900
it sold in November 2008
for £220, 000! Interestingly,
there has been a substantial
downturn in the market for
contemporary avant garde art,
which has been much discussed
recently both in the press and
on the television. Perhaps the
great roller coaster of Brit Art
is finally grinding to a halt (I
certainly know what I would
rather have if I had to choose
between a Banksy or a piece of
Faberge).
It is noteworthy that the
leading auction houses have
reported a significant increase
in demand for old master
paintings which have been
in the doldrums for several
years. I believe that established
markets based on quality will
survive the downturn far better
than the contemporary market!
We know the old property
adage Location Location
Location, well when investing
in an antique one should
always bear in mind Quality
Quality Quality!
Philip Hoare 07773 877 242
Email: [email protected]
Banksy painting
"Peter the Great" Faberge Egg
The Island's new funky radio station www.wightFM.com