The word investment literally means the action or process of investing money with the hope of getting profits in future. The goods that are purchased not for consumption but for future use to create more wealth are an investment.

The most basic form of investment is considered to be the one that comprises of purchasing bonds, real estate, and equity shares. While these methods of multiplying ones money are quite common, there is another way to multiply the money you own- Fine art.

Art is considered as one of the best alternatives to the traditional modes of investment. Those who know about art and the art market and have the amount of money required to invest in the artworks, fetch an unimaginable amount of money at the time of reselling. On the other hand, those who aren’t well versed with the art market buy art when they see Indian art for sale but fail to get good returns.

Even though both these investments are entirely different from each other, they are still confused to be the same form each other. Investing in asset classes and investing in art deploys a different set of qualities and skills. They are like the parallel lines that even after being on the same plane can never intersect each other.

So, let us find out in this blog post how both the kind of investments are different from each other so that we do not confuse them with each other ever again.

• Buying art is easier than selling it-

There are so many beauteous artworks in the art market that no art store visitor can resist himself from its charm. The onlookers easily fall for a particular piece of art head over heels and end up buying the same as that doesn’t require many efforts. Moreover, people can easily find Indian art for sale at art fairs, galleries, auction houses and online portals. Some famous artists might have waiting lists, otherwise, every style and genre of art is readily available out there for you to buy. You have the option to pay in cash or through credit or debit cards and even in installments in a gallery or fair. In an auction, you can easily bid if you pass a basic credit check.

In short, the process of buying art is so simple that it makes one oversee the obstacles that he may face at the time of selling.

No art gallery wants to resell the work they have already sold as the space in a brick and mortar gallery is limited and they want to display more new artworks by various artists. For instance, if in case you want to resell Lord Krishna paintings, no gallery would be interested in reselling it until and unless it would be a creation of Raja Ravi Varma or some other renowned artist. If you will go to an auction house, they will also want to keep the famous works for bidding. All this requires great negotiation skills and is also a complicated process. The only thing that works here other than the value of your artwork is your connections.

However, buying and selling stocks and equity shares is very easy as finding investors there is no tough nut to crack.

• No concrete art price indexes for ascertaining risks and returns-

There are many authentic sites in the market to know the fluctuating prices in the stock market. One of such trusted site in money control. Besides, there are many news channels and new papers, dedicated entirely for the discussion of stock markets. There are debates, discussion and interviews of the advisors telling you when to invest in which share. However, when it comes to the art market the situation is quite the opposite. Even though people invest in art because they see chances of fetching a good amount in the future from selling it, the prime motive of buying art isn’t this. That is why you won’t really find any concrete sources telling you the price of the artwork you own in the forthcoming years. Remember you might fall for the bait and buy a painting by seeing the tag ‘Indian art for sale’ in a gallery but the returns on this investment aren’t assured.

Even if we talk about the art indexes built, they show an incomplete picture as they are built using the repeat sales of paintings in the auctions.

In short, investing in the art market is way more complicated and risky. You cannot expect the painting you own to fetch you 2x the amount you bought it for. You should, first of all, love the idea of buying art for your satiation. Yielding returns from it should be a secondary motive.

Read More: Investing In Art: A Key to Turn Your Pennies into Millions

Don’t frown, meticulous buying and good timing can still yield you great returns. Just keep the hawk’s eye on the art market price movements and buy, sell more of what you love.