The death of an artist constitutes a negative supply shock to his future produc- tion; in finance terms, this supply shock reduces the artist's float. Intuition may thus suggest that this supply shock reduces the future auction volume of the artist. However, if collectors have fluctuating...

Using a sample of European abstract art we show that reservation prices constrain pre-auction estimates in such a way that we are more likely to observe overestimation relative to the midpoint of the estimation window. At the same time, we also find that the low pre-auction estimate is a more...

We study the accuracy and usefulness of automated (i.e., machine-generated) valuations for illiquid and heterogeneous real assets. We assemble a database of 1.1 million paintings auctioned between 2008 and 2015. We use a popular machine-learning technique - neural networks - to develop a pricing...

The death of an artist constitutes a negative shock to his future production; it permanently decreases the artist's float. We use this shock to test predictions of speculative trading models with short-selling constraints. Symmetrically to Hong et al. (2006), where an increase in float decreases...

This study provides an empirical test of the Bolton, Freixas and Shapiro (2012) credit ratings model using data from art auctions. Our empirical work discovers that, despite the fact that art and bonds belong to totally different asset classes, financial intermediaries and investors behave in...

In this paper, we compute residual variance of art prices to examine asset pricing in contemporary art market. Our empirical work shows a few interesting results. First, we discover that the residual variance is significantly and positively related to the average price level achieved by an...

This paper investigates the emerging segment of the cryptocurrency market related to football fan tokens (FFT) – digital assets used for engagement with professional football clubs around the world. More specifically, we study investability of FFT from the perspective of risk and performance....

This study examines the risk and return characteristics of the NFT-based startups listed on the cryptocurrency exchange. Our investigation is motivated by the recent surge in the NFT activity on the part of creators, investors, and traders. We begin by proposing novel classification of the...

We utilize one of the earliest and largest NFT collections to investigate the pricing and the risk-return profile of NFTs. In general, we find that NFTs outperform traditional financial assets. Yet, investing in NFTs usually comes along with extremely high risks. The average monthly returns on...