New Delhi: There has been an enormous creation of wealth in India over the last 4 to 5 years, and the economy is moving at a fast pace. While many investors have satiated their appetites for equities, fixed income, and real estate, some are looking to alternative investments, like art, to diversify their portfolios.
As recently as 2000, some of M.F. Hussain’s work would have sold for less than $16,000. Just this year, his painting Battle of Ganga and Jammuna fetched a whopping $1.4 million dollars at a Christie’s auction. Art expert Professor Rajeev Lochan of the National Gallery of Modern Art in New Delhi says, ”Indian art has always been comparable to the rest of the world and can hold up in an international arena, and this is just the tip of the iceberg”, referring to the bourgeoning Indian art market.
To transform art into a credible asset class, about a half a dozen art funds have been launched in India over the last couple of years. Art funds belong to a small elite, sophisticated world that has the means to invest large sums of money. The minimum investment into some funds is 25 lakhs, for example.