Savers invest in antiques
HONG KONG, April 22 /PRNewswire-Asia/ --
The first quarter of 2009 saw a dramatic change in fortune for the arts and antiques market as buyers re-entered the market looking for alternative investment opportunities, says the RICS Arts and Antiques Survey published on 20 April 2009.
Surveyors report that more people visited auctions houses in the first quarter of 2009 leading to 19 percent more Chartered Surveyors reporting a rise than a fall in all lot prices compared to -32 percent in the previous quarter. In preceding quarters, those looking to save money or make investments had been content to invest in traditional saving avenues. However, in the current climate, it appears that savers are now looking at the arts and antiques market as a safe haven for their money. Indeed, in the GBP 1-GBP 1000 tier the net balance jumped from -45 to 33, while the GBP 50,000+ tier moved less dramatically from -23 to 6 indicating that as more buyers are walking through auction house doors, the interest extends beyond the wealthy.
A lack of transactions in the housing market has affected the number of goods offered at auction; this has increased demand for quality items and has pushed up lot prices. However, despite a depressed housing market, the sale of furniture has seen a turnaround with 12 percent more Chartered Surveyors reporting a rise than a fall in all lot prices compared to 40 percent reporting a fall than a rise in Q4 2008. Surveyors believe that many house owners are either preparing for an upturn in the market or have decided to nest while they wait for the economic climate to improve.
For the first time in the history of this survey, Chartered Surveyors are reporting a rise in the Oil and Watercolours market with a net balance of 10 percent more surveyors reporting a rise than a fall compared to -47 percent reporting a fall than a rise last quarter. In contrast contemporary art is still in negative territory with 38 percent more Chartered Surveyors reporting a fall than a rise. This demonstrates a return to more traditional arts and antiques markets.
The Jewellery and Silver sectors continue to remain resilient; with, respectively in these areas, 50 and 36 percent more Chartered Surveyors reporting a rise than a fall. Buyers are continuing to invest in Jewellery and Silver as gold and silver prices continue to rise and stocks and shares fall.
Confidence is high for activity in the market for Q2, with 31 percent more Chartered Surveyors anticipating an increase in the number of lots offered and 39 percent more Chartered Surveyors anticipating an increase in demand over the coming months as homeowners clear out garages and seasonal art and antique fairs revive interest in the market.
RICS spokesperson, Jeremy Lamond said, "The start of the year has seen a renewed interest in traditional fine arts and antiques as buyers continue to seek tangible investments away from traditional saving avenues. Buyers are also looking to the lower end of the market with lots under GBP 5000 continuing to perform exceptionally well. Lack of supply is not deterring the public from bidding at auction and we expect this to continue in coming months as buyers see the value in investing in arts and antiques."
About RICS & RICS Asia
RICS (Royal Institution of Chartered Surveyors) is an independent professional body originally established in the UK by Royal Charter. Since 1868, RICS has been committed to setting and upholding the highest standards of excellence and integrity -- providing impartial, authoritative advice on key issues affecting businesses and society. RICS is the worlds' leading qualification when it comes to professional standards in land, property and construction. With over 140,000 members globally, RICS represents, regulates and promotes the work of property professionals throughout 146 countries.
The RICS Asia supports a network of over 11,000 individual professionals across the Asia region with an objective to help develop the property and construction markets in these countries, by introducing professional standards, best practice and international experience. It promotes RICS and its members as the natural advisors on all property matters. It also ensures that services and career development opportunities are provided to members.
The RICS Asia region covers national associations and local groups locating in Brunei, Malaysia, Singapore, Thailand, The People's Republic of China and the SAR Hong Kong. It also has members working across the region such as Bangladesh, Bhutan, Burma/Myanmar, Cambodia, Indonesia, Japan, Kiribati, Laos PDR, Macao, Mongolia, Nepal, North Korea, South Korea, Taiwan, The Maldives, The Philippines, Timor East and Vietnam.
Designated contacts for Hong Kong media:
RICS Hong Kong Public Relations Representatives
Ms Katherine Chow / Ms Kate Kwan
Tel: +852-2372-0090
Fax: +852-2372-0490
Mobile: +852-9256-3223 / +852-9077-1337
Email: kat@creativegp.com / kate@creativegp.com
