“Book Review: Own a Fraction, Earn a Fortune”
Reviewed by Tucker Lieberman
An investor reveals expert tips on how thoughtful collectors can make money buying and selling items they love
Michael Fox-Rabinovitz is an investment advisor who specializes in collectibles. Speaking to those who have money to invest and who are ready for the effort, this book uses easy-to-understand language and years of experience to give readers a great first step in the business of art and collectible investing.
Most people are aware that paintings and sculptures can be extremely valuable. When rare pieces show up on the market, whether antique or modern, the sale prices make the news. A surviving work of the 13th-century Italian painter Cimabue was recently discovered and sold for $27 million, while a 1955 painting by Picasso sold for $179 million.
Other collectibles can also be lucrative even if the amounts or the items don’t make headlines. The “asset categories” Fox-Rabinovitz discusses include “classical collectibles” and miscellany like cars, watches, alcohol, coins, stamps, sports memorabilia, baseball cards, comic books, rare books and maps, jewelry, guns, and autographs. We’ve all fantasized about stumbling across a treasure like a 1776 Continental Dollar coin or a Babe Ruth rookie card, either of which could be worth over $100,000. But why wait for an accident of good luck? Fox-Rabinovitz tells readers how to deliberately enter this market in Own a Fraction, Earn a Fortune.
Certain types of purchases require careful planning, and the execution can be expensive. Here is an example of the type of hands-on advice beginners will receive in this book: Art has to be professionally packed, and if it’s truly valuable then it ought to be guarded while it is being delivered to you. For a physically small artwork, he says, “one can expect to pay $650 for a double case, a fully alarmed air-ride van and two men.” Once you have the art, you may need to store it in a climate-controlled room. If it’s large, you need to consider how it will be properly installed, and if it’s old, you may need to hire restoration professionals.
The newest technology has enabled the invention of new types of collectibles. With blockchain, today’s artists create digital art that can’t be reproduced. Just like physical paintings, digital collectibles have limited quantities, and their scarcity can translate to dollar value. But don’t forget about wine too! A vineyard’s wine tastes different from year to year because no two crops of grapes are ever alike. This makes wine collectible. There is a large market for investment wines, but it helps to know which wines are considered the best.
It’s information like this that can help transform readers into action-oriented investors of art and collectibles.
If you can’t afford—or don’t want to risk—the price of an entire collectible, you can become a “fractional investor,” owning just a portion of an item. Although such investors will “never be able to drive their cars, read their comic books, taste their wine, or hang their paintings on their wall,” they can still reap the benefits of a diversified investment portfolio.
Own a Fraction, Earn a Fortune reveals useful specifics about investment areas that people don’t often know much about. It describes the amount of intellectual study, material preparation, and legal precautions that can help a new collector succeed financially. Collectibles are driven by personal interest and ability, so an investment in a specific area may depend on where you find your joy and excitement, but a book like this sure would be a good place to start.
With Fox-Rabinovitz sharing his thorough understanding of the collectible space, this book will give budding art investors a solid knowledge foundation so that they can get started on reaching their financial dreams.
Genre: Nonfiction/ Finance / Investments
Print length: 315 pages
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