Thank you so much Im really glad you enjoyed the article 2023 The Millennial Money Woman, LLC. Based on everything I read, I would likely say that you have the choice to reinvest your profits (after Masterworks sells the painting for a profit or after you sell your shares on the secondary market) or to withdraw your profits. I was sent a follow up email stating I understand you are not looking to get started right away, so your membership will remain pending for now as it is reserved for active investors. Shares for all paintings are available to Masterworks members for purchase at $20. Next, youll be sent to this homepage for Masterworks investors. Im so glad to hear that you found this review helpful So, didnt work out for me. Had my interview today, both gents were cool and easy going. My question is that after they pay you, can you decide to just flip the money back into another piece of blue chip art? Other applicable fees may apply, which are detailed in the offering documentation that investors receive. =) Back on track because of this article! You had the best review out there. for many is that it offers the investor the opportunity to diversify their assets through artwork. If you prefer to keep your cash and not reinvest, you can also ask Masterworks to send your profits directly to your bank account. No need for an interview possibly due being based outside US. Its a great option if you want to diversify with a real hard asset. Fine art, of course, will always be of highvalue because of its rarity, and the possibility of it increasing in value is real. Note that with each investment input, the calculator to the right of the screenshot above (aka Masterworks Hypothetical Gross Value in 7 Years) spits out a number for how much return on your investment you could expect. Masterworks Sign-up Process [Step-by-Step Guide], The potential future returns of the painting. Masterworks is a legitimate alternative investment platform that gives everyone access to invest in million-dollar artworkat a fraction of the cost. From my understanding, you are right in that Masterworks would charge a 1.5% annual fixed fee on just your shares and not the cash thats in your Masterworks account. Thanks Fiona, Ill admit that my phone interview, although my representative was very informative and knowledgeable about the platform did seem a little pushy and he was fairly eager to have me invest. This was the ONLY real article I could find on this company. My advisor says he has other clients invested in Masterworks and did not put me off. It is entirely possible to build a profitable, successful online business easier without Masterworks, however. That means youll only be able to buy/sell your Masterworks shares to other Masterworks investors (so your pool of potential candidates is very small). The training program takes making money online to a whole other level. With a very small amount, you can buildyour own rare art portfolio. The good news is that even if youre not well versed when it comes to art investing, you can rely on the Masterworks team of analysts to make an informed and relatively calculated decision to help your investment earn money in the long run. First, consider whether investing in fine art would fit into your portfolio. Thanks again for your input and good luck! I enjoyed the facts. If one wants to buy gold, bitcoin, stock, etc. It must be said that Masterworks claims to have a rigorous diligence process, with only 1.8% of artworks passing their tests. If youve ever seen a Monet, Da Vinci, Andy Warhol, or Banksy painting, you may have wondered how much money those pieces of art would cost. Im bookmarking you! Now, I know you probably have tons of questions So, check this out to learn more. I didnt see this in your article, but can you just reinvest your profits directly, or do they send them to you and its up to you to do so? Following that, you would need a Dwolla account to keep and maintain the funds deposited to you. Simply createan account and then pickwhich items interest you. While they mention a waitlist to join the platform, going directly to their homepage from a browser tab (at the time of publication) allows you to "skip the waitlist." Masterworks is open to all investors. Next, Masterworks will send you an email to verify your information. Their office hours are 9 a.m. to 6 p.m. Eastern Time. Now, you and I can invest in million-dollar-artworks for a fraction of the price. If youre interested in signing up for Masterworks, then you may want to act today. Check out professional insights posted by Kevin Cox, Vice President at Masterworks Instead of owning the full million-dollar artwork, investors own a small share. Great article. Cheers, Masterworks does the rest of the work the analysis, the artist pre-vetting process, the storage, the insuring of the artwork, and ultimately the sale process as well. It was at that point I realized they lied to me and it was just a sleazy sales technique to get more money. If Masterworks is unsuccessful in selling the painting to individual investors for a reasonable profit by year 7, then Masterworks reconsiders its strategy. Masterworks gives everyone the chance to buy fine art by allowing virtually anyone to invest in shares of blue-chip artwork. The net proceeds of the Offering together with any unsold shares, if any, will be paid to Masterworks to acquire the Painting from an affiliated entity. Additionally, I did take a peek at the TrustPilot website, and have some information for you below: While there are only 6 reviews, it appears that the average rating is just under 3 out of 5 stars so one could assume that the Masterworks customer service is average. When you purchase shares in an an art piece typicallyfor $20 you can diversify your investment across 50 various items. A fixed amount of shares is set for each painting, and a Masterworks member can only own up to 10% of a single painting. When you invest in fine art, it couldtake many years to pay out for a single piece. Thank you for this article. Masterworks is an alternative investing platform that sells shares in works of fine art. My membership interview call was with the Director of Membership, though there are a couple of other employees on the Membership . Im really happy to hear that your representative was not pushy personally speaking, that makes a big (and positive) difference to me. The Millennial Money Woman may have financial relationships with some of the companies on this site. My #1 pick proves this. Thanks for the write up! Because so few people are knowledgeable about fine art, you would be completely reliant on their management skills. Masterworks FEES: "Masterworks charges a 1.5% annual management fee, plus the company takes 20% of any profits from an artwork's sale. To officially become part of Masterworks, . All content is posted anonymously by employees working at Masterworks.io. Masterworks takes 20% of any profit from sales, and also charges a 1.5% annual management fee. The best investment apps offer you. Did you know that Masterworks main investment thesis is focusing on female minority artists and ethical investing? Its platform is well-structuredand user-friendly, with relevant documentation shown clearly. Take the anonymous British street artist Banksy, for example: Masterworks shares a bio about Banksy, and then shares several of Banksys paintings and for how much they have sold in the past. While there certainly is a potential for profit, it is important to realize that art is a risky investment. Thank you so much for your kind words And Gen-Xer is a pretty cool name, Ill admit it! As more money enters the market, particularly in the hands of the wealthy, the rare artworks valuesoars to unprecedentedheights. Masterworks still approaches art investing with an air of exclusivity, since you technically have to be invited to join the art investing world by completing a phone interview. The average tree service job is anywhere from $500-$2000! Im going to take you through my step-by-step guide on how to sign-up for your Masterworks account today. Continued use of ScamRisk.com is contingent on acceptance of Scam Risk's legal policies. If youre already invested in the stock market, then you may want to branch out and consider other investment options todiversify your portfolio. Fiona Smith is the founder and CEO of The Millennial Money Woman. They accomplish this byconvincing people to investsmall amounts of money to buy shares of well-known and rareartwork pieces, which is likebuying stock in blue-chip companies. Otherwise, if you are an art enthusiast like me and want to be a part-owner of some of the most expensive contemporary art of our times, this is the way to go. The artists that Masterworks selects have typically shown an above-average historical appreciation (with returns typically higher than the average returns of the stock market, which range at around 7% to 10%). My representative told me about this statistic, and I was impressed, to be honest. Masterworks could be worth your time and money if you: If you feel like these points are you, then Masterworks could very likely be one of the best investment platforms for you. It looks like I was one of the lucky members who were able to skip the waitlist and am ready to schedule my phone interview to join the Masterworks community. Shouldnt a minimum investment have nothing to do with my overall financial profile? They ask all kinds of questions to figure out an amount. What exactly is this 1.5% fix fee a year? Unlike other investment platforms I've reviewed in the past, Masterworks is in no way related to the stock market, real estate, or cryptocurrency. All you have to do is build and rank a LOCAL website and forward the jobs off to a business owner in town, you could even email it to them! Another note is that investing outside of the USA e.g. Get exclusive wealth building strategies straight to your inbox. If I was in this situation, Id probably take a closer look at the data to see what the long-term potential would be of the artwork and how that would factor into my overall financial plan. I hope is on the investment. Join over 20,000+ others who receive my weekly newsletter, where I share the secrets to building modern wealth . If you want to learn more about the historical prices of paintings created by specific artists, you can always elect to click on the top tab that says Price Database.. Another special benefit is that you will be assigned a dedicated agent who will be available to answer your concerns. Interviews at Masterworks Experience Positive 54% Negative 23% Neutral 23% Getting an Interview Applied online 89% Recruiter 11% Difficulty 2.8 Average Hard Average Easy Interviews for Top Jobs at Masterworks Account Executive (2) Associate Creative Director (1) Marketing (1) Account Manager (1) See more interviews for top jobs It was very thorough and Im glad I read it before my interview. Masterworks is a legitimate alternative investment platform that gives everyone access to invest in million-dollar artwork. There typically is a waitlist to qualify for phone interviews, which could take a few days or even weeks. Masterworks Fractional Share Investing: Explained, Masterworks files the artwork with the SEC, Masterworks creates an LLC for each artwork purchased, You can buy $20 shares of ownership for each LLC, until all shares are bought, The artwork is kept for up to 10 years before it is sold, Masterworks sells the artwork, dissolves the LLC, fees are paid, and proceeds are distributed to the investors, Keep in mind that because youre technically a part-owner of an LLC, you should expect to receive a tax form thats called a K-1 at the end of each tax year to, Easily accessible Masterworks funding calculators. Lets take a big-picture look at the Masterworks pros and cons: Track record of 9% to 39% net annualized returns, Masterworks handles the entire process of finding, purchasing and storing artwork, Fine art does not have an income stream, so you should only invest thinking about capital appreciation, Artwork is insured and stored in secure facilities, You need to do a phone interview before you start investing, Offers secondary market to buy/sell your art shares. Art is typically held for three to 10 years, and after the holding period, investors will receive pro rata proceeds if and when the painting sells, net of fees. This includes beginner questions and portfolio help. Much more informative than the guy with whom I did my interview with. Screenshots, logos, company names & styles are IP, copyright and trademarks of their respective owners, used on this site for their promotion or editorial illustration. The network requiresno minimum investment threshold, although it is assessed by every investment. Obviously these guys are not here for charity, they would still make money if the painting is sold for the same price or even for less in that 11% margin. Individual investors are not allowed to hold more than 10% of the shares of any specific work. Masterworks is the art investing platform weve all been waiting for. Masterworks, or "Masterworks.io," is an investment platform that allows everyday people to invest in an asset previously only available to the one percent: fine art. One of these assets is fine art. I interviewed at Masterworks.io in Feb 2023. Leveraging the power of the unique asset class Typically, the world of fine art investing is exclusively available to the high roller, glitz, and glam world. During the interview with the hiring manager . . So while I wasnt pushed to purchase anything during the call, I will still have to hop back on another call to make that first transaction and become a member. It seems like the phone interview experience really depends on the customer service representative that you are paired with. Hopefully this helps provide you with some guidance! Each work of art grows in value over the yearsas a result. Masterworks does all of the behind-the-scenes work to find the best art investments possible. What is the appreciation rate of each individual artist? However, Masterworks takes a completely different approach to the . in 10 years its $15, which is 15% of my principal. 731 followers 500+ connections. With Masterworks, youll have the option to: Lets take a deep dive into this Masterworks review and find out if Masterworks is the best art investment platform for you. I should note the secondary market is strictly peer-to-peer. Why This Investment: Art is an extra asset class which is usuallyonly available to the rich and privileged. Finally, keep in mind that purchasing artwork is considered along-term investment. In fact it doesnt even matter that the job isnt coming from their website namethey see it as it isexpanding digital real estate. In order to activate your Masterworks account, you do need to schedule a phone interview (which typically lasts between 15 to 20 minutes). But what if you could make even more money off of little local websites without having to spend tens of thousands to set up an affiliate blog? As you can see, Masterworks certainly doesnt keep the customer in the dark. Its pretty easy to link your bank account, and you can start browsing throughinvestments as soon as youveverifiedyour account. Join to view profile Masterworks.io. Opinions expressed in reviews, commentary and articles are those of the author and are not necessarily shared by Scam Risk. It's as easy as requesting an invitation on the website and becoming a Masterworks member after a phone interview. The economic environment does not appear to influence the value of the artwork, so an art investment could preserve your overall net worth in a recession. That means at bare minimum you have an asset worth $500 a month! Masterworks Homepage. Thoroughly researched and information-driven articles that provide investors with insight into the art investing worldArticles often include pieces written by major platforms including Deloitte, Morgan Stanley, etc. Thank you so much for your incredible research! Unfortunately what you are getting from masterworks is like some stock shares with the fees of a hedge fund. If you want to learn more about the historical trading numbers for artists and paintings, click on the Trading tab at the top. Masterworks enables you to buy artwork although you have no prior knowledge. Then he included four deal sheets on current offerings and instructed me to contact him if I would like to invest in one. Violations will result in a likely 60 day ban upon first instance. For as little as $1,000, you can make an investment in fine art through Masterworks. And when an artwork is sold, Masterworks get a commission at 20%. As an example, below is a graph illustrating the consistent increase in value with the contemporary art index versus the interest rate environment over the past 2 decades: The art index (green) continues increasing which means more money in your pocket. Membership Coordinator (Weekend Position) Remote. In other words, you dont technically have to wait the full 3 to 10 years before Masterworks sells the artwork for a profit. The main downside here (which Ill explore further in the fees section of this article) is that Masterworks charges pretty hefty fees (similar to a hedge fund) where they take 20% of any profits upfronton topof your annual fee. To be very honest, thats a tough question. You will be contacted for a phone interview to go over some important details before getting the approval necessary to start investing in art. Once the training program is completed you will also have access to a Facebook group much better than the Masterworks community in our opinion. I also 100% agree to be firm and not let yourself be pushed around by the salespeople. Do you want to sell your Masterworks shares because youre sick of waiting for them to sell the painting and give you your cut? Masterworks is a one-of-a-kind platform that aims to democratize art investing. Now Im not saying stop investing in the stock market and dump your money into the art market to get higher returns. With a cumulative 75 plusyears of art collecting experience, Alberto Simon,Scott Lynn,and Hai Minh Tran established the organization. While it used to take millions to make an investment in rare works of art, the Masterworks platform has made invaluable art investing accessible to the general public. Of course it does! Service is available by email at support@masterworks.io or by phone at 203-518-5172 from 9 a.m. to 6 p.m. Eastern. Save my name, email, and website in this browser for the next time I comment. Next, you can start browsing which offerings are open for investment and simply take some time to browse their website. However, the interface and user experience itself (in my opinion) makes up for the complexity in the fee structure, because its very easy to navigate your Masterworks portal.