1. Art sales at Christie's, Phillips, and Poly Auction HK have been strong, despite declines in other asset categories.
Auction houses around the world are experiencing record financial success even as the global economy struggles and other asset classes underperform. Last week, Christie's reported that it brought in $4.1 billion in the first half of 2022, an 18% increase from the previous year and the company's strongest result since 2015. This success was largely driven by the sale of Andy Warhol's Shot Sage Blue Marilyn, which became the most expensive 20th century artwork ever when it sold at Christie's for $195 million. Phillips also saw impressive results in the first half of the year, with global sales of $746 million, including $156 million in private sales, a 37% increase from the same period in 2021. The company's most valuable work to date, an untitled Basquiat painting from the collection of e-tail billionaire Yusaku Maezawa, sold for $85 million. In their tenth anniversary auctions last week, Poly Auction Hong Kong raised over $130 million, with modern and contemporary art sales exceeding $57.3 million, a new record for the department.
These strong sales results stand in contrast to the declining performance of other asset classes. The S&P 500 index is down 19.5%, bitcoin has fallen by over 50%, and the housing market has begun to show signs of instability as interest rates rise in an effort to combat inflation caused by the ongoing pandemic and the war in Ukraine. Some experts believe that the perception of tangible assets, such as art, as a hedge against inflation may be driving the strong sales figures. However, a study by researchers at the Higher School of Economics in Russia found that, from 1987 to 2015, art returned an average of 4% after accounting for inflation, which is similar to the return on wine but lower than the returns on diamonds (6%) and Lego sets (8%). While art may not be the most reliable asset for financial gain, it appears that it is still in high demand as a tangible and culturally significant investment.
2. Ed Cross on His Adventures in Collecting African Art and Promoting Emerging Artists.
Ed Cross is a gallerist, collector, and artist who has been promoting the work of African and African diaspora artists for over 13 years. He founded the eponymous Ed Cross Gallery in London, which recently opened its first permanent space at 19 Garrett Street. The inaugural summer show at the new location featured the work of seven artists, including Pabi Daniel, Leah Gordon, and Abe Odedina.
Cross has a long history with African art, beginning with his first purchase of a woodcut by Ugandan artist Jak Katarikawe in 1989. He was drawn to Katarikawe's expressive brushstrokes and lush vegetation, which reminded him of the work of Australian artist Arthur Boyd. Cross went on to purchase two of Katarikawe's paintings in the following years.
As a gallerist, Cross has had the opportunity to acquire many pieces of art, but he has only recently been able to purchase works by his own artists on a more regular basis. His most recent purchase was two paintings by Pabi Daniel, a young painter from Accra whose work reflects the surreal and intense times in which we live. Cross also plans to add works by Miranda Forrester, Wole Lagunju, and Eugene Palmer to his collection this year.
One of the highlights of Cross's collection is a work by Sahara Longe, whose career he helped launch. The value of the piece, titled Sally and Amadu, is uncertain, but a small work by Longe sold for around £60,000 at a charity auction at the Whitechapel Gallery.
In addition to works by professional artists, Cross also displays art by his friends and family in his home. Above his sofa is a piece by Abe Odedina, which was given to him and his wife as a wedding gift, and in the bathroom, he has a seascape on a plate by his oldest friend's daughter and a painting by his seven-year-old son.
Cross believes in supporting and promoting underrepresented artists, particularly those from Africa. He believes that the art world has a responsibility to give these artists a platform and to recognize and appreciate their talents.