Art Investment Fund Booms

Art investing is firmly back in fashion as prices soar for paintings from Old Masters to edgy contemporary works, and a range of new art funds is hoping to attract investors with promises of big returns. About six art funds are hoping to get off the ground, but in spite of a flurry of publicity in the past year, Britain's 'The Fine Art Fund' is the only fully-fledged venture open for business to investors with at least $250,000 available. "We've been averaging returns on art sales to date of around 35 percent in the last 12 months," said chief executive Philip Hoffman, former Christie's European deputy managing director. "Investors realise this is an interesting asset class." The fund has spent about 30 percent of its money on Old Masters painted between 1300 and 1800, and another 30 percent on post-1960 contemporary art more popular with younger buyers, and 25 percent on impressionist art. Industry sources say it is now planning to raise up to $100 million for a second fund, although Hoffman declined comment. For the full story - click the title Irish Art