Although art has historically produced attractive returns relative to other asset classes, institutional investors have not traditionally optimized these returns using quantitative investment models. With Arthena’s proprietary technology, however, it is now possible to engineer investment strategies that achieve consistent and high-performing returns across various customizable risk thresholds.
Tangible Asset Ownership
As a tangible asset, art benefits from stable intrinsic value and consistent market demand. Especially during periods of economic volatility, physical artworks resist sudden depreciation and their prices are generally sheltered from macroeconomic shocks.
As an asset class, art offers valuable opportunities for diversification, but individually expensive artworks pose a liquidity and allocation challenge to some investors. Arthena’s financial products grant individual investors access to diversified portfolios without requiring overly concentrated commitments.
Arthena is an industry leader in determining fair prices based on the underlying values of artworks. By comparing prices to values, we can describe the true risk profile of the art market and design innovative risk-management strategies.
Arthena's specialized products employ and continually build on the proprietary pricing models. This enables Arthena to pursue products independently while operating within a central risk and operational framework. Arthena pursues its investment objective by leveraging the quantitative research engine to surface instances of systematic and situational market inefficiencies.
Capital is allocated to a number of segments in the art market through financial instruments that optimize returns. Arthena generally considers the following factors as part of its investment selection process and may determine to pursue products or strategies that employ all or a subsection of the strategies described above.