Quantcast
Channel: BLOUIN ARTINFO
Viewing all articles
Browse latest Browse all 6628

The Curious Case of the Latin American Art Market: Low Volatility, Undervalued Stars, and Tenacious Collectors

$
0
0
The Curious Case of the Latin American Art Market: Low Volatility, Undervalued Stars, and Tenacious Collectors
English

Is Latin American art one of the few remaining categories left for the truly passionate collector?

Earlier this week, at the Artvest art finance conference in New York, Latin American art was often brought up as an example of a market that produces modest returns, but also boasts low volatility. Despite steady growth, Latin American art is, it seems, one of the few categories that has remained isolated from the frenzy that motivates hedge fund managers and Russian oligarchs to bid eight and nine figures for trophies by blue-chip modern masters. As such, the speculators and "art investors" are kept out, and great pieces of art from Latin American artists continue to be an attractive buy for collectors.

According to Virgilio Garza, the head of the Latin American art department at Christie's New York, "the nature of our market is very non-speculative. People are really passionate about this field — they don't sell things that easily or that often, so we see steady but upwards growth." As an example he pointed to one of the highest-estimated works in the upcoming sale, an abstract painting from 1944 by the Chilean artist Matta. It was executed during one of the artist's most important periods and has never before been sent to auction — two very good reasons for collectors to salivate over it. "La révolte des contraires" has been traded privately, but has only seen two or three owners, meaning each kept it for upwards of 30 years. Despite the fact  that Garza refers to the work as "one of the best [Mattas] that has ever been offered," it is estimated to fetch $1.8-2.5 million — the price of a third-tier Picasso, or 1/60th of "The Scream."

Fernando Botero is perhaps an even better example. In the May issue of Art+Auction, Julia Halperin referred to him as "Latin America's wealthiest and most recognizable artist." There are more than 30 Botero lots coming up for auction next week, and last November, many of the works sold by him nicked the high end of, or surpassed, pre-sale estimates. Yet, the best examples of his work sell for $1-2 million, nowhere near his contemporaries from Europe or the United States, and not far above where his prices were 20 years ago.

In November, the best result for a work by the artist was the gigantic sculpture "Dancers" (2007), which Christie's placed outside its Rockefeller Center headquarters for the few days before the sale. It hammered down for $1.76 million (est. $1.5-2 million), a record for the artist's sculpture. Compare this to stars in the contemporary market, artists who are around the same age: the record for a Lucian Freud work at auction is $33.6 million. For Gerhard Richter it's $21.8 million, set at last week's contemporary evening sale at Christie's. Botero's work — at least the paintings of his signature corpulent figures — have been fetching more than a million dollars at auction since the early 1990s. Back then, Richter's work was still in the mid-six figures.

But is the Latin American art market set for an explosion? It's possible that in the near future it will catch fire just as other 20th century art categories have. "You still have undervalued artists, you have opportunities, but it is not the same as 10 to20 years ago," noted Alejandro Zaia, the chairman of the Latin American art fair PINTA, which is held annually in New York and London. Slowly but steadily, prices are heading up. A rare Diego Rivera work is estimated to sell for $4-6 million next week at Sotheby's. Even better, Axel Stein, a Latin American art specialist and vice president of business development at the auction house, told ARTINFO that work by Frida Kahlo, the Mexican artist who was once known only for being Rivera's wife, has sold privately at Sotheby's in the last year for above $10 million.

But as Latin American art's star rises, its distinction also fades. Zaia explained that many artists born and raised in Latin America are choosing to move to art-centric metropolises in the United States and Europe such as New York, London, and Berlin. As such, they are becoming part of the "mainstream flow," and collectors in U.S. and Europe are more exposed to their work. At the same time, they maintain connections with their primary galleries in their home countries, and are thus collected both locally and internationally.

"When you hear the name of Vik Muniz or Fernando Botero, it is very hard to call them Latin American artists, except for the fact that they were born there," said Stein. "The world has adapted a global art language."

What does make art Latin American, versus contemporary or modern, these days? Take the work of Muniz. The artist was born in Brazil, but lives and works in New York. Three of his works are being offered next week in the Latin American sales, two at Phillips and one at Christie's. But almost a dozen works were sold last week in the contemporary sale. (To make it more complicated there are two Muniz lots slated for the Phillips photography sale in London this week.)

The answer turns out to be fairly subjective. "There is the incorrect idea that an artist upgrades by moving to other categories," said Garza. Choosing a category for a particular artist is an organic process, not a given. "'Jackson Pollock' by Vik Muniz [referring to Muniz's "Convergence: Number 10, After Jackson Pollock (From Pictures Of Pigment)," 2008] just looks better in contemporary."


Viewing all articles
Browse latest Browse all 6628

Trending Articles