July 2009


FOR IMMEDIATE RELEASE

 

Contact: Capucine Price    cappyart@gmail.com

312.203.0644

Put Your Assets on the Wall™

How Buying What You Love Can Get You the Return You Need

By Capucine Price

 

 

“Put Your Assets on the Wall™” details art’s unique history as an alternative for growing and preserving wealth. 

 

Today, art inspires a significantly higher degree of confidence than many of the nearest AAA-rated financial instruments.

 

“Put Your Assets on the Wall™” is a must read for anyone who is grappling with the quandary of how to invest in an era witnessing the ongoing dramatic decline in fortunes of traditional investments.  “Put Your Assets on the Wall” presents the timely analysis that demonstrates art’s superior investment performance during inflationary and other periods of financial upheaval throughout history. If investment methodology has one fundamental truth to tell, it is that proper asset allocation is the most important single investment decision an investor can make.  

 

In the midst of the current financial crisis, it’s clear that most savers and investors are overweighted in equities, despite recent experiences of the highest levels of volatility ever recorded. It may seem strange that a 14-year veteran small-cap value fund manager would say that, but in “Put Your Assets on the Wall™” Capucine Price uses the metrics of traditional investments to teach people about art as an alternative asset class, and a way to diversify one’s portfolio and hedge against volatility. 

 

In “Put Your Assets on the Wall,” former small cap value investor turned art entrepreneur Capucine Price helps people to gain an understanding of: 

 

Strategies to optimize portfolio performance

The role of alternative assets in a portfolio

How to inveset regardless of portfolio size

Why less expensive art outperforms

 

 

ABOUT THE AUTHOR

The writer is a veteran portfolio manager, co-owner of CapucinesBoulevard.com, and the author of “Put Your Assets on the Wall.” The author applies her background and expertise in investment management, specifically in small capitalization value stocks, to the world of art. Before heading into cyberspace, Capucine helped spearhead William Blair & Co.’s development of a value investment discipline and related products for institutional and mutual fund investors. 

 

 

 

Website: http://www.bestartinvestments.com/

 

“Your currency is likely to become my problem” Former Chinese Vice Premier Zeng Peiyan in a speech, July, 2009

 

The list of shaky, dollar holding creditor nations continues to grow.  Surplus countries like Russia, China, Kuwait, Brazil, Switzerland, and as of July, India, are openly revealing their intention to diversify their nations’ currency reserves out of the U.S. dollar, in light of the U.S.’ rapid accumulation of debt in just the past six months.  “The major part of Indian reserves are in dollars – that is something that’s a problem for us.” (Suresh Tendulkar, Chair of India’s Economic Advisory Council, July, 2009)

 

Meanwhile, the S&P 500 stock Index is now trading at a record P/E ratio in the 120’s, not only because of a run up in stock prices over the past few months, but because of a dramatic diminution of corporate earnings. Emphasize dramatic. What accounts for the fall? Well, when spending by consumers accounts for 2/3 of a nation’s economy and those people suffer not only declines in the value of their homes, their largest asset, but also rising levels of joblessness, that spending can come to a sudden stop, as it has in the U.S. Given the fundamental source of the spending reduction, it would be foolish to expect a resumption in anywhere near the short-term. 

 

As a result, the majority of businesses are unable to reliably forecast a return to former levels of sales and profitability, meaning that these reduced levels of corporate earnings are neither one-time nor short-term, and in most cases, changes in corporate strategy won’t solve the problem. Instead, corporate leaders will address earnings shortfalls with more layoffs, compounding the spending and production conundrum,  further elevating the price/earnings ratio,  and rendering the datapoint even more irrelevant as a way to gauge value. 

 

As unattractive as current bank rates of return are, the stock market by comparison is today loaded with unacknowledged risks.  Tangible assets like art are far more transparent with a degree of stability that many financial institutions, and even some AAA-rated government debt, can only dream about.