Monday, June 6, 2016

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A Lebanese Artist’s Nude Photographs

A Lebanese Artist’s Nude Photographs Spark Scandal and Inspiration

Installation view of “Rasha Kahil: Anatomy of a Scandal” at Art First. Photo courtesy of Art First.
All Rasha Kahil wanted to do was have a bit of fun. Little could she have expected that what began as a “game” would soon degenerate into a scandalous Lebanese affair, eliciting not only a spate of mixed responses from the general public, but also an artistic reaction on her part. In 2008, the Beirut-born, London-based artist began taking impromptu semi-nude pictures at the houses of friends in London and elsewhere around the world, unbeknownst to her hosts. These documentary-like photographs eventually comprised “In Your Home, a series of 24 prints exhibited in 2011 solo shows in Beirut and Istanbul. While one of her hosts was dismayed to find out the artist had taken such pictures in his private space, the relatively little negative attention she received was nothing in comparison to the furor a television presenter would spark two years later in 2013.
The host of Lebanese television program Trends on the Arabic satellite station Al Jadeed commented on the photographs in a minute-long segment in 2013, noting that while some audiences encourage the artist’s work, others only see nudity. Although nudes are certainly not anomalies in Beirut art galleries—“protected spaces,” as Kahil refers to them—she makes no bones about the fact that amongst certain lay individuals, there has “always been a bit of a stigma” attached to them.
Despite the provocative nature of her series, Kahil was nonetheless surprised by the flurry of comments she received following the television segment. “In the beginning, I felt assaulted,” she says. “It was daunting; you’re the center of attention, you’re being contacted by people you don’t know.” To say “contacted” is to put things lightly: In addition to innumerable Facebook comments directed towards her on various news pages, the artist was also sent emails and contacted by telephone. Some called her a hero, and others, a “porn star in the making.” She was slandered, extolled, and even proposed to; and, although she was the center of attention, Kahil, rather than respond, took a step back. Instead she began to archive this feedback, “not initially knowing what [she] was going to do with everything,” she says, until the commotion eventually died down.
Installation view of “Rasha Kahil: Anatomy of a Scandal” at Art First. Photo courtesy of Art First.
More than two years after the incident, “In Your Home” is enjoying yet another resurgence, this time at London’s Artist First Projects in “Anatomy of a Scandal.” In imitation of the pixels and black bands used by the media to censor her images, Kahil has altered the glass of her frames on four photographs from the original series currently on display. As a result, the images possess layers absent from their initial conceptions, much like the media-censored images. In addition to these photographs, also included in the exhibition is a collection of email messages that Rasha received, and, on a similar note, a video installation wherein the artist reads—in both English and Arabic—various comments made about her and her work on social media, along with the profile pictures of those who posted them. “It was my way of neutralizing [the comments],” she says regarding her recitations, “because they’re in my own voice.”
As with “In Your Home,” issues of privacy surround Kahil’s latest exhibition, although she is undaunted. “You have to be accountable for what you write online, even in a moment of passion,” she remarks. “In the same way [people] took everything from me, I’m taking things from them.” Altogether, though, the reception of the exhibition amongst London audiences has been particularly positive. “People are laughing a lot,” she notes.
That being said, the artist would like the images to be shown in their original context, in the Middle East, as she is aware that an exhibition in London could inevitably raise discussions of East versus West and the situation of Arab women in the region—which are not pertinent to her work. In any case, notwithstanding the fact that they’ve received attention three times over at various points in time, Kahil sees “Anatomy of a Scandal” as being the last visitation of the photographs she took nearly a decade ago. “I’m done. It’s come full circle,” she says, humorously accepting the end of her self-portrait games. “I started this in 2008 … it’s 2016!”

—Joobin Bekhrad
Rasha Kahil: Anatomy of a Scandal” is on view at Art First, London, May 19–Jun 11, 2016.
Rasha Kahil, 'Anatomy of a Scandal IV,' 2016, Art First


What You Need to Know about Auctions

The Art Market, Explained: What You Need to Know about Auctions

How did the art auctions business become a multi-billion-dollar industry? The first film in a series about the art market explores this question, leading viewers through the complex history of auctions, with specific attention to the last 20 years. The film unpacks record-breaking sales, like last week’s epic Jean-Michel Basquiat painting Untitled (1982), hammering in at $51 million, and anomalies such as Ai Weiwei’s Kui Hua Zi (Sunflower Seeds) (2010), which pop up at auction in countless different quantities, making the connection between the auction price and market value of art. Interviews with auction-house specialists, financial analysts, and art-world influencers like Adam Lindemann, Xin Li, Sarah Thornton, Josh Baer, and Don Thompson add personal insight and shape the narrative.
Auctions launches a four-part documentary series, followed by Galleries, Patrons, and Art Fairs, released weekly through mid-June. Together, the four segments will tell a comprehensive story about the art market’s history and cultural influence, providing an approachable yet nuanced introduction to a extraordinary subject.

This series is directed by Oscar Boyson and produced in collaboration with UBS.

—Artsy Editors

The Art Market (in Four Parts)
Coming Soon
June 13th
Art Fairs

The Art Market, Explained: What’s behind an Art Gallery’s Success?

What does an art gallery do for an artist? What fuels the global expansion of galleries like Gagosian and White Cube? And how has the internet affected the way galleries do business? In the second installment of “The Art Market Series (in Four Parts),” we look at the complex ecosystem of commercial galleries to probe these questions—and get to the root of how galleries effectively steward artists’ careers, promote their work, and protect their markets. Gallerists, artists, and art-world influencers like Amalia Dayan, Daniella Luxembourg, Dominique Lévy, Michele Maccarone, Elmgreen & Dragset, Josh Baer, Stefan Simchowitz, and Sarah Thornton provide their insights.
Galleries is the second installment of a four-part documentary series, preceded by Auctions and followed by Patrons and Art Fairs, released weekly through mid-June. Together, the four segments tell a comprehensive story about the art market’s history and cultural influence.

This series is directed by Oscar Boyson and produced in collaboration with UBS.

—Artsy Editors

The Art Market (in Four Parts)
Coming Soon
June 13th
Art Fairs


How and Why a Patron Supports an ArtistThe Art Market (in Four Parts) Auctions Galleries Patrons Coming Soon June 13th Art Fairs


The Art Market, Explained: How and Why a Patron Supports an Artist

What motivates patrons to fund artists’ wildest dreams? How has the concept of art patronage changed over time? And what’s behind the dramatic rise of private art museums? In the third installment of “The Art Market (in Four Parts),” we explore how and why patrons support artists and their careers, from the Medici family’s backing of Michelangelo’s work during the Renaissance to today’s most influential collectors, museum donors, and behind-the-scenes benefactors. Patrons and art-world influencers like Eli Broad, Maja Hoffmann, Josh Baer, and Sarah Thornton provide their insights.
Patrons is the third installment of a four-part documentary series, preceded by Auctions and Galleries and followed by Art Fairs, released weekly through mid-June. Together, the four segments tell a comprehensive story about the art market’s history and cultural influence.

This series is directed by Oscar Boyson and produced in collaboration with UBS.

—Artsy Editors




The Art Market (in Four Parts)
Coming Soon
June 13th
Art Fairs


... about Investing in Art Right Now

5 Things to Know about Investing in Art Right Now

Deloitte released the fourth edition of its report on the state of art and finance earlier this month. The 2016 Art & Finance Report comes at a time when investors and art market players alike are experiencing a softening in the markets. Yet several indicators show that we can remain bullish about the future of art as a viable asset class. Here’s what you need to know.

Current macroeconomic uncertainty is leading an increase in the extent to which collectors view art from an investment perspective


Analysts suggest that we could currently be at a low point in the down cycle of asset performance, with volatility ebbing in the second half of the year. Global GDP is estimated to increase at a rate of 3.2% this year, which is slightly lower than what was predicted at the end of last year, when the Fed increased interest rates for the first time since 2006. While economic down cycles have some impact on the art market, they also spur increased investor interest in alternative asset classes as a means of risk and portfolio diversification.
5 Things We Know about the Art Market after New York’s Spring Auctions
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Two factors are of greatest interest to wealth managers when considering an increase in client wealth allocation towards art. For one, art, especially at the high and ultra-high end of the spectrum, can be non-correlated in nature or at the very least less dramatically affected by macroeconomic swings and geopolitical uncertainty. While we saw a dramatic contraction in the gross value of art sold during New York’s spring auction season, the prices achieved were generally within expectations. Thus, wealth managers hold a view that art is well used as a store of value, rather than as a yield-oriented investment vehicle. An all-time high of 51% of wealth managers hold this view, up from 35% in 2014. Another key factor for including art in investors’ portfolios is inflation protection. Thirty percent of the wealth managers surveyed held the view that art could provide a buffer against inflation, doubling the 15% of those surveyed who held the same view in 2014.

The focus of art investment has shifted as a result


Two years ago, the art world was caught up in a flurry of speculation around emerging artists. Prices famously rose at astronomical rates (3,000% in just a few years for artists like Oscar Murillo and Lucien Smith). Things have since calmed down significantly. And the notorious “art flippers,” as they were called, have fallen out of the limelight as their headlining profit opportunities have largely disappeared. This means that investment-oriented art purchasing is also less visible to those working in the art trade.
However, collectors’ concerns about the potential return on investment when buying art has increased significantly in the past two years—from 47% of collectors citing this as a significant factor when buying in 2014, to 64% in 2016. The vast majority of collectors (72%) say their purchases are passion-led and investment-informed, while only 6% said they’re buying art purely as an investment. Wealth managers’ interest in art as a store of value can also be seen in the extent to which more consistently performing sectors of the market, like the Impressionist and modern segment, have grown in overall market share (33% in 2015 over 27% in 2014), while the contemporary market has stagnated at an overall higher 45%. The greater provenance and proven price track record for works in the Impressionist and modern sector make for lower, more predictable risk and thus a more palatable investment in less-certain times, macroeconomically-speaking.

Though the art market is currently down, certain sectors of the market continue to outperform key economic indicators


As with much of the investment landscape, the biggest returns when investing in art are at the very top of the spectrum. The Mei Moses World All Art Index (a somewhat controversial but widely cited market indicator) was down 3.1% in 2015, while the S&P was up 7.14%. However, works sold for over $10 million have generated a 27% compound annual growth rate, or a 1,000+% return over 10 years. Deloitte highlights that this return more than doubles that of gold and other frequently cited commodities. Looking at a 20-year spread, the Mei Moses’s compound annual return of 5.26% was below the 8.33% of the S&P500. However, if you segment out post-war and contemporary art or traditional Chinese art, Mei Moses beats the S&P at 10.71% and 9.13%, respectively. A similar picture is painted when looking at a 50-year spread, with art returning 7.89% annually against the S&P’s 9.17%, but post-war and contemporary delivering 10.85%.



Significant growth in the art-secured lending space is allowing those with assets allocated to art to access the value of those works without selling them


In the past, a major hesitance among wealth managers with regard to their clients including art and collectables among in their portfolios has been that art—often even more so than real estate or private market equities—is a relatively illiquid asset. To achieve maximum return, resales must be timed precisely. And even then, if we’re talking about a truly significant piece, there are only major sales in New York (the most business-friendly city for art dealing) twice per year. However, art-secured lending has grown rapidly in recent years to fill this gap. (Deloitte estimates 15–20% annual growth in the sector over the past five years.) Now only 62% of wealth managers cite liquidity as a major concern for clients with art in their portfolios, down from 83% just two years ago.
Uncovering the Surprisingly Secret World of Art Auctions
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According to the survey, two major use cases have come to the fore for art-secured loans that have surprised some in the space: collectors who are entrepreneurs (or gallerists) leveraging their art holdings to obtain short-term liquidity when a significant business opportunity presents itself; and the elderly, who are using art-secured loans as a sort of reverse mortgage on their collections. The arrangement allows for collectors to get cash out of their art without paying the capital gains taxes that would be associated with a sale. And, at least in the U.S., it also allows them to keep the art hanging on their walls. In Europe, regulations are stricter and force any art loaned against to be handed over for the duration of the loan, hindering growth in the sector.



Investment vehicles tied to art remain relatively far off and wealth managers are generally bearish on art funds


With such significant growth in art-secured lending, one might expect that securities built around these debt obligations would be near on the horizon. Not so, says Deloitte. Art Collateralized Debt Obligations (ACDO) and Art Credit-Default Swaps (ACDS) remain a ways off, despite the fact that they could enable current debt holders to hedge risk. The central mitigating factor here is the liquidity risk on ACDOs being too high. In other words, the current risk analysis suggests that the securities may not be able to generate sufficient income for their cost and/or that those leveraging art holdings may default at too high a rate. More nimble hedge funds may, however, be able to enter into custom arrangements with auction houses and other major market players in the short term.
Wealth managers also currently have a declining interest in art funds. Only 10% said that the sector will expand in the next two to three years. That’s down from 20% in 2014, and understandably so, given that the market has contracted from a high of $2.13 billion in 2012 to $1.2 billion in 2015. The art fund market is also heavily concentrated among very few players, most notably The Fine Art Fund Group. The typical concerns around the art market—lacking ability to conduct pre-investment due diligence or track current valuations while invested, and the unregulated and non-transparent nature of the market—are amplified when wealth managers look at art funds, according to the report, with all three issues being cited as a major concern by over three-quarters of those surveyed. This also suggests that more traditional exchange traded funds (ETF) based on an art index remain a relatively distant prospect.  
Should the Art Market Be More Heavily Regulated?
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There has been one interesting, late-breaking development in the art investment space, however. London’s Passion investment eXchange (Pi-eX Ltd.) received regulatory approval in February of this year to begin offering a new instrument called Contracts on Future Sales (CFS). CFS is essentially a derivative based on an upcoming lot set to come up for auction. It should allow both art buyers and sellers to hedge their risk when selling a particularly major piece, something that could, if adopted successfully, have interesting implications for the auctions business and the guarantees houses currently use to help consignors mitigate their risk exposure. It also means that interested fund managers may be able to begin trading art futures in the same way they trade other commodities.

Alexander Forbes