Important. For accredited investors under Regulation D 506(c). This page is informational and not an offer or solicitation. Any investment will be made only by confidential offering documents and executed agreements. Art investing involves market, liquidity, valuation, authenticity, custody, insurance, tax, and regulatory risks.
Art Fund
Mandate and Objective
The fund acquires and manages a focused portfolio of fine art supported by documented provenance, credible market references, and clear exit routes. The objective is to generate attractive risk-adjusted returns within a defined term through selective purchases, prudent stewardship, and a programmatic sale plan.
Investment Focus
- Artists and movements with stable collector demand and transparent sale histories
- Works with clean title, authenticity documentation, and insurable condition
- Lot sizes with sufficient depth to sell without price distortion
Control Framework
- Independent appraisals and comparables pre-purchase
- Artist, period, and medium limits to manage concentration and correlation
- Custody segregation, audited inventory, and active insurance cover
Outcome. A portfolio that can be monitored, insured, and sold within the fund term without forced sales.
Structure
| Vehicle | Closed-end partnership under Reg D 506(c) for accredited investors |
|---|---|
| Target Term | 5 to 7 years with extensions subject to advisory committee approval |
| Capital Calls | Drawn against a documented pipeline with use-of-proceeds schedules |
| Valuation | Quarterly NAV framework supported by independent appraisals and market references |
| Governance | Advisory committee oversight for conflicts, key sales, and extensions |
| Reporting | Quarterly reports, audited annual financials, inventory and insurance certificates |
Sourcing and Valuation
Pipeline sources include auction houses, dealers, galleries, estates, and private collectors. Each work is screened for liquidity depth, provenance integrity, condition, and potential fee leakage at exit. A walk-away price is set before negotiation and completion occurs only after third party checks are concluded.
Due Diligence
- Provenance and title verification with legal review
- Independent appraisal with dated comparable sales
- Condition report, conservation notes, and insurance binding prior to completion
Execution Routes
- Auction, dealer, gallery, and private treaty
- Use of reserves, irrevocable bids, and negotiated fee structures where available
- Settlement through approved escrow and custodians
Custody and Insurance
- Approved fine art storage with environmental controls and restricted access
- Itemized insurance with agreed values and named insureds
- Barcode inventory, photo records, and periodic third party audits
- Movement logs for loans, viewings, exhibitions, and sale preparation
Portfolio Construction and Risk
Position Sizing
- Artist and period caps to manage single-name exposure
- Liquidity tiers defined by turnover and bidder depth
- Cash buffer for fees, carry, and pre-sale preparation
Key Risks
- Market timing across auction calendars
- Valuation and authenticity challenges
- Custody and transit risks and insurance exclusions
- Tax and cross-border rules on import, export, and VAT
Divestment and Liquidity Program
- Sale plan aligned with the fund term and reviewed at set intervals
- Exit via auction, dealer placement, or private sale based on net proceeds analysis
- Pre-sale preparation including updated condition reports and cataloging
- Targeting marquee sale weeks and relevant regional demand
- Post-sale reconciliation and distributions under the partnership agreement
Fees and Terms
| Management Fee | Applied to committed or invested capital as set out in the offering documents |
|---|---|
| Performance Allocation | Over a preferred return with standard catch-up mechanics |
| Organizational Costs | Capped and amortized per the limited partnership agreement |
| Transaction Costs | Deal and sale costs borne at the portfolio level |
| Investor Terms | Minimums, closings, and any side letters as disclosed |
Exact figures and mechanics are provided only in the confidential offering documents.
Next Steps
- Confirm accredited status through our investor accreditation form
- Receive the term sheet and fund materials
- Review the deck, disclosures, and draft agreements
- Complete KYC and subscription documents
Proceed to Investor Accreditation
Kindly complete the accreditation form to access the term sheet and offering materials. For accredited investors under Reg D 506(c).
ContinueDisclaimers. This summary is qualified by the confidential offering documents. Investing involves risk including loss of principal. Past performance is not predictive of future results. No offer or sale will be made where unlawful.
