Unique institutional-grade diversified portfolio of auction-quality
art secured loans
LOS ANGELES–(BUSINESS WIRE)–Shinnecock Partners launches its open-ended, standalone dedicated
alternative art lending fund, ALF, building on its 7-year non-bank
lending history and fine-art secured lending experience.
“Niche investment strategies offer the most compelling investment
opportunities in today’s low yield environment,” noted Alan Snyder,
managing partner of Shinnecock Partners. “The art market is vibrant and
growing, and boutique lenders like Shinnecock have a competitive
edge. Speed of execution, flexibility to custom tailor a loan,
constructive insights and independence from auction houses or tied-in
banking relationships combine for custom adaptability in loan terms.”
Deloitte Touche Tohmatsu Ltd. reported last year that outstanding art
secured loans were estimated to be $20 billion, up over $13 billion, and
boutique lenders have been growing fast at 15%. The potential market is
growing as the report indicates with 87% of art dealers looking for
financing. In addition, demand for financing is growing among collectors
according to Art Dealer Finance, which reports that more than 50% of
collectors are interested in using their art as collateral for loans
(Art Dealer Finance 2018).
Similar to traditional asset-based lending, art-secured lending is a
loan backed by fine art instead of more traditional forms of collateral
(e.g., real estate, equipment, inventory or receivables). The frequency
of fine art auctions offers the surety that art collectors will be
brought together, fostering a solid sales channel if required.
Deloitte & Touche (auditor) and SS&C (administrator) provide third-party
oversight, and accredited investors are able to participate in a
tax-advantaged structure with a low investment minimum. A blue-chip
advisory board offer further and significant domain expertise and
include:
- Susan Ginsburg – faculty member, School of Visual Arts in New York
-
Amanda Langer – exhibition coordinator, Dietl International Services
in New York - Andrew C. Rose – manager, Art Finance Partners (AFP)
-
Chase W. Rynd – member, the International Council of Museums and
American Alliance of Museums - David Paul Steiner – principal, David Steiner & Associates
For more information, visit www.shinnecock.com,
and click on “Art Lending Fund” at the top of the page.
Shinnecock Partners is a 30-year-old family office investment boutique
with a unique approach: empower investors to make informed investment
decisions. Shinnecock was founded by Alan Snyder (Harvard Business
School, Baker Scholar), former CEO, Chairman and President of Answer
Financial, President of First Executive, CEO of Executive Life and
Executive Vice President of Dean Witter (now Morgan Stanley).
Contacts
Media Inquiries:
Tracy Williams
[email protected]
Telephone:
(310) 824-9000
