How to Start Investing in Contemporary Indian Art

If you’re looking for investment advice, people often recommend stocks, real estate, or various fixed deposit schemes. However, very few mention art, even though collecting art is one of the most unique and enjoyable investments.

Currently, art is as popular an investment as real estate due to the vibrant art scene and the growing profile of Indian art in the global market. The returns can be just as good, if not better, provided one invests in the right artists at the right price. Investing in art is quite accessible; you can invest small or large amounts depending on your budget. All it takes is a keen aesthetic sense and some business acumen to make a smart investment in art. You can start with as little as Rs. 25,000 and scale up to any amount that suits you.

To begin, you can invest in large works by young artists or purchase drawings or small works by established artists that fit smaller budgets. Buying works by young, talented artists is an excellent way to achieve long-term returns. Look for an artist represented by a reputable gallery, with positive reviews and good sales in their early shows. For short-term returns, opt for works by established artists that can potentially yield a 100% increase in value within two to three years. Make sure the artwork appeals to you, so even if its price remains static, you’ll still have a piece that brings you enjoyment.

Stay informed about trends in the art market by reading articles in magazines and newspapers, visiting the websites of reputable museums and auction houses, and attending art shows and museums. Auction results are helpful indicators of price trends and can point to promising future investments. Interact with artists, art critics, and gallerists, and keep track of the performance of artists whose works you’ve invested in. If they continue to produce high-quality work and participate in prestigious exhibitions, the value of your investment is likely to increase. Be cautious when buying art, as the market is not regulated like equities, and be wary of unknown antique/art dealers, artificially inflated prices, and forgeries.

Purchase artwork from reputable galleries or directly from the artist, and always insist on an authenticity certificate. It can be challenging to sell a piece without provenance. If you keep the above points in mind, it would be highly unlikely to lose money in art. Your investment is likely to appreciate in value, providing you with years of visual pleasure.

Art investment is not limited to high-net-worth individuals. Nowadays, even middle-level salaried individuals are buying art. For instance, I know of a couple who pays with post-dated checks and receives their artwork once the full payment is made. Over the past few years, they’ve built a substantial investment portfolio.

The profile of art buyers has evolved over time. While wealthy industrialists, business houses, and organizations once dominated the market, a more diverse group of buyers, including NRIs and middle-class individuals, are now showing interest in purchasing art. From the earlier refrain of “we don’t understand contemporary art” to the new generation of art aficionados, the profile of art buyers is changing, and art purchasing is becoming more broad-based. This shift is due to a combination of increased awareness about high-profile art sales and the refined artistic sensibilities of the younger generation. The art scene is rapidly changing, and a new class of buyers is emerging.

Manuel Marino

Manuel Marino is a seasoned Senior Producer, Music Composer, and Artist with over a decade of experience. He specializes in branded entertainment across various mediums, including video games, films, and advertising campaigns. With 20+ years as a game music composer, Manuel has worked on numerous platforms, creating diverse orchestral soundtracks. HIRE ME