Masterworks Investor Presentation Deck
Art During High Inflation
Inflation is a Key Risk to Portfolio Returns in 2022
15.0%
10.0%
5.0%
Inflation hit a 40 year high in 2022
Contemporary art has demonstrated strong real
appreciation in high inflation periods, and
appears well positioned for a "lower for longer"
real rate environment
0.0%
13.5%
5.5%
Contemporary Art
Contemporary Art Real Appreciation in High Inflation Periods (¹)
Based on repeat-sales from 1985 to 2021
40.0%
Contemporary Art vs. Selected Assets - High Inflation (2)
Average real appreciation for periods during which inflation was equal to or higher than 3.0%
S&P 500
30.0%
20.0%
10.0%
0.0%
29.1%
3.9%
4.5%
1987-1991
Average Real Return ▲ Average Inflation
3.2%
Gold
23.9%
3.1%
2003-2007
15.1%
2.7%
1986-2021
0.5%
US Corporate Bonds
10.0%
Emerging Market Equities
Sources: Internal Masterworks analysis. Bloomberg. 12/31/2021. Index data updated as of 12/31/2021. S&P 500 is represented by SPXT Index; Emerging Market Equities is represented by GDUEEGF Index; US Corp. Bonds is represented by
LUACTRUU Index; Gold is represented by XAU Curncy
Notes: There are significant differences between the asset classes presented. For additional information, see Important Disclosures.
1.
Reflects the two highest 5-year average inflation rates since 1985.
2.
Reflects average price changes in the indices since 1995
7.5%
INDICES ARE UNMANAGED. AN INVESTOR CANNOT INVEST DIRECTLY IN AN INDEX. INDICES ARE USED FOR COMPARATIVE MODELLING PURPOSES ONLY. THE TIMING OF TRANSACTIONS RELATING TO AN ASSET OR
PORTFOLIO, ADVISORY, AND TRANSACTION FEES, AND OTHER MANAGEMENT ACTIVITIES CAN CREATE SIGNIFICANT DIFFERENCES BETWEEN THE PERFORMANCE OF AN INDEX AND AN INVESTMENT SEEKING SIMILAR
OR SUPERIOR RELATIVE PERFORMANCE RESULTS
5.0%
2.5%
0.0%
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