RICS: Arts and Antiques Still Providing Safe Bet for Investors

RICS UK Arts & Antiques Survey, Q2 2009

HONG KONG, July 13 /PRNewswire-Asia/ -- Arts and antiques continue to provide an alternative safe haven for investors, with prices continuing to rise in most segments of the market. However, the drop in the number of surveyors reporting price rises in the second quarter suggests that the rebound in other investment markets may be having an effect on sentiment says the latest RICS Arts and Antiques Survey published on 8 July 2009.

The number of Chartered Surveyors reporting rising prices in all lots fell back to 7 percent from 19 percent in Q1, but remains in positive territory. Contemporary art again saw the largest price falls and across all price brackets: 24 percent more surveyors reported a fall than a rise in prices of contemporary art with 33 percent more surveyors saying prices are dropping in the 5,000 pounds to 50,000 pounds tier.

In contrast to the contemporary arts market, the oil and watercolour sub-sector is still fairing well, recording a positive net balance overall of 5 percent, driven by positive results in the middle and top end of the market.

Meanwhile silverware, militaria and jewellery were the strongest sectors. Prices rose across the board in each of these categories with 39 percent more surveyors reporting a rise than a fall in silver, 32 percent more reporting a rise than a fall in militaria and 26 percent in jewellery.

The outlook for Q3 remains positive with demand expected to continue to grow. 41 percent more Chartered Surveyors see demand rising rather than falling up from 39 percent in Q1. At the same time the number of surveyors expecting supply to increase has dropped back, although it is still positive. 13 percent more surveyors say supply will rise rather than fall over the next three months, down from 31 percent in April. This could see further price rises in key sectors as demand outstrips supply.

RICS spokesperson, Andrew Davies says: "It is clear that some sectors of the arts and antiques market are fairing better than others at the moment with the traditional 'safe havens' of jewellery and silverware still attracting the more cautious investor. However, with a more positive flow of news coming from the stock market and the housing market in recent months, we have seen a slight decrease in those wanting to invest at the top end as they switch back to more traditional forms of investment. The outlook for arts and antiques remains positive in the near-term as demand is strong and looks set to stay so."

Notes for editors:

RICS Arts & Antiques market survey ( http://www.rics.org/Practiceareas/Property/Artsandantiques/aas_index_c_220408.htm ) (Note: If the URL above wraps to a second line, paste both lines into the browser, and delete the space in between.)

Published quarterly, the RICS Arts and Antiques Survey measures surveyor confidence in the general arts and antiques market and in certain sub-sectors including gold and silver, furniture, pictures, ceramics and clocks.

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 9,000 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. For further details, please visit our new website: http://www.ricsasia.org .

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