Joe Syer, Co-Founder & Specialist Headjoe@myartbroker.com
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In the dynamic realm where technology and art converge, a groundbreaking product has emerged, poised to redefine the landscape of art investments. Managing Director Charlotte Stewart sheds light on the MAB100 and SingularityX, unveiling a transformative approach to evaluating the investability of prints and multiples. This interview unveils the intricacies of these cutting-edge tools, offering a glimpse into how they navigate the complexities of the art market.
With Commissioning Editor, Erin-Atlanta Argun, Charlotte Stewart explains the ethos behind the MAB100 and why we created it. Powered by our bespoke algorithm, SingularityX, the MAB100 serves to empower collectors and investors of era-defining blue chip artists with an unprecedented level of access, control, personalisation, and transparency.
Listen to the complete podcast episode here.
Think of the MAB100 as the FTSE 100 of the prints and multiples world. The idea emerged during conversations with investors through our algorithm, SingularityX. We wanted to assess the investability of a print, providing transparency in the marketplace. A friend questioned if there was an FTSE100 equivalent in the art world. We built the MAB100 to consider the same sensitivities needed to track an asset at that level, specific to prints and multiples. These sensitivities involve actual expenditure within a print series and the sale of the artwork over several years, focusing on value and liquidity in the print market.
The SingularityX algorithm was initially designed to track our private collection and advise collectors on market investments. The uniqueness of prints and editions lies in the data accessibility. Unlike originals, prints have a track record over the years, offering insights into their value trajectory. The algorithm considers private sales data, which is crucial, given that only about 34% of prints and multiples go through public auction.
MyPortfolio is a wallet to upload, track, and analyse artworks in real-time. Paired with the SingularityX algorithm, it utilises public and private data, employing regression technology to understand the influence of various factors on print values. This combination allows collectors to assess the market value of their collection dynamically.
The product addresses the opacity of the art market by using multiple data points within the algorithm to determine values. The trading floor provides transparency on demand and supply in the secondary art market, a challenge for collectors. This feature enables collectors to make informed decisions by considering the market's dynamics and potential saturation.
Auction houses strategically set reserves to attract bids and influence the perceived demand for an artwork. However, this strategic pricing may not reflect the true market value. Sell-through rates are critical metrics, and setting reserves too high can result in unsold artworks, undermining their fair market value.
In a changing world, people seek control in an unregulated art market. Providing data in a comprehensible language can empower investors. The MAB100 serves as a shop window for the SingularityX algorithm, showcasing the most liquid artworks with growth potential, offering a unique perspective on market breadth.
Investment managers intrigued by the art market often struggle due to a lack of data. The MAB100 provides a language they understand, making art market information more accessible. While not a finance game, it facilitates good decisions aligned with collectors' passion, allowing them to choose art they love with maximum potential.
Looking at artworks that have seen value growth over the last five years can be a good starting point. Prints and multiples offer the advantage of diversification, allowing investors with varying budgets to explore multiple artworks strategically.
The product isn't aimed at those uninterested in art; rather, it enhances decision-making for passionate collectors. It unveils the potential within the prints and multiples market, making blue chip artists more accessible and providing a platform for informed decision-making.
The objective is to create a marketplace where collectors have control over information. The MAB100 serves as a gateway, offering a tool for making informed decisions based on personal preferences, private valuations, and market dynamics. Feedback from users is crucial for optimising and improving the product to make it a game-changer for collectors. Please email us at info@myartbroker.com with your thoughts.