Guarantees are not what they used to be

Written by : Collections Posted on : 29/05/2018

Felix Salmon, Are Auction Guarantees the New Private Sales? Yes, for Art Sellers Who Don’t Want to Get Ripped Off, May 24, 2018.   Read the full article here.

Auctions are a great way to sell expensive art but have a drawback – price uncertainty. Arrangements similar to underwriting help manage this risk. The added complexity is such that it “defeats the purpose of hiring an auction house in the first place. In a sense, then, the real purpose of going to auction is increasingly just rip-off insurance.” Excerpt from The Easel newsletter / website on May 29, 2018.