A Study On The Operation And Investment Strategy Of Chinese Art Fund

Investment in art, stock and the real estate are regarded as the world’s three major investment areas. They have the same function on the maintenance and appreciation of value. Currently, the cultural industry is strongly supported by the government. During the financial innovation and exploration of art industry, art funds emerged as a combination of art and financial, transferring capital to the art market and promoting the prosperity of the art industry. However, the development of domestic art fund is not smooth. It is popular for a short time and then suffered from a sudden crash, because of the immature market environment, lack of investment operations experience, lack of supervision and other shortcomings. Exploring how to build a successful art fund based on domestic environment is a significant problem.Combing through the history of art funds abroad, we find the evolution of the art fund depends on the combined effects of a variety of internal and external factors, which is the same as the law of its investment subject matter. Influenced by changes in the political environment, economic development, the rise and fall of art market, the change of investment group and other external factors, foreign art funds experienced three stages, the origin, development, and re-exploration. At the same time, team building, structure differences in design, management & operation, investment policies and other internal factors, also lead to different advantages and disadvantages of art fund in later survival. In nearly a hundred years, the survival of the fittest provides us with a wealth of historical experience.The influence also works in domestic art fund. When considering the common situation and defect of artwork fund, the absence of regulation policy, economic slowdown, tightening of money supply and the art market adjustment are considered as the external challenges, while the lack of professional talents, short operating period, blind speculation and single exit channels are regarded as the internal deficiencies.Based on the above, this paper presents:When we talk about successful operation of Chinese art fund, the key lies in the investment strategy. At first, the art funds and fund managers should follow the operation rules of the art market and the law of artworks. And also pay attention to the unique characteristics of Art investment products. Therefore, art fund is supposed to positioning itself as an alternative investment. Then we should find comprehensive talents and form an excellent operation team. By designing a scientific product structure, standardizing the management mechanism and diversifying the use of investment strategies, we can finally achieve long-term sustainable development together with stable return on investment.