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There are more likely sellers than buyers in the global art marke1, according to The Art Basel and UBS Survey of Global Collecting.
The art market is going through a generational shift that’s created a mismatch between supply and demand.
Dealers say the diverging paths of the various generations has led to an oversupply of seven- and eight-figure Impressionist and Abstract works.

A gallery staff member looks at a painting by Andy Warhol & Jean-Michel Basquiat, Collaboration, 1982-1985, estimate £1,000,000 1,500,000 during a photo call at Christie’s auction house showcasing the highlights of 20th/21st Century Evening Sale in London, United Kingdom on October 06, 2023.
Wiktor Szymanowicz | Future Publishing | Getty Images

A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.
The global art market is poised for its second straight year of declines, as demand for the top trophy works wanes and a new generation of buyers favors lower-priced pieces, according to a new survey.

Auction sales in the first six months at Christie’s, Sotheby’s, Phillips and Bonhams fell 26% from 2023 and 36% from the market peak in 2021, according to The Art Basel and UBS Survey of Global Collecting. The number of wealthy collectors surveyed who plan to purchase art in the next year dropped to 43% from over half in 2023. At the same time, the number who plan to sell increased to 55% — meaning there are more likely sellers than buyers in the market.
“For the biggest spenders, there has been a moderating in their spending or slowing of their pace,” said Paul Donovan, chief economist of UBS Global Wealth Management. “They’re taking a more considered approach.”
As the art world prepares for the big auctions in New York in November and Art Basel Miami Beach in December, dealers, galleries and auctioneers are hoping for a post-election rebound.
There are some bright spots. The vast majority (91%) of wealthy collectors were “optimistic” about the global art market’s performance over the next six months, up from 77% at the end of 2023, the survey said. That’s a larger share than were optimistic about the stock market, at 88%. Only 3% of high-net-worth collectors are pessimistic about the art market’s short-term future.
The median spending on art by wealthy collectors remains stable at around $50,000 a year, according to the survey. Over three-quarters of wealthy collectors surveyed had purchased a painting in both 2023 and the first half of 2024.

Yet a broad array of measures — from buyer interest to online sales — point to another year of declines or, at best, flat sales. Dealers and auction experts say geopolitical concerns (especially in the Middle East and Ukraine) along with economic weakness in Europe and China are draining buyer confidence. Higher interest rates also raised the opportunity cost of buying art, since wealthy collectors could earn an easy 5% or more from cash and Treasurys.
Just as in the classic car market, the art market is going through a generational shift that’s created a mismatch between supply and demand. Older collectors are downsizing their collection by selling off pricey but not masterpiece-level works. Younger collectors, mainly Gen Xers and millennials, are coming into the market to replace them, but they’re buying more affordable, more modern work from galleries and art shows.
“2024 suggests that rather than creating a supply-driven boom in value as they may have done in other years, trends towards greater selling will likely primarily affect sales volumes, with collectors tending to sell from the bottom of their collections, deaccessioning more but lower-value works, and advisors reportedly focused on ‘streamlining client collections’ with the disposal of more unwanted or insignificant artworks rather than trying to capture price appreciation,” the UBS report said.
Dealers say the diverging paths of the various generations has led to an oversupply of seven- and eight-figure Impressionist and Abstract works. According to the survey, the high end of the art market, or works priced at $10 million or more, was the strongest before 2022. Now, it’s the weakest.
“Gen X, and to a lesser extent the younger generations, they’re not necessarily going to be going out and buying the most expensive artworks,” Donovan said. “They’re more engaged but they also have potentially more budget constraints. The people who have traditionally been buying the higher-price art are slowing their purchase of those artists.”
Gen Xers, in fact, have quickly become the most important generation for collectibles. According to the UBS survey, Gen X respondents had the highest average spending in 2023 — at about $578,000 — and their lead continued in 2024, at more than a third higher than millennials and more than twice those of boomers and Gen Z respondents.

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Overall, wealthy collectors are reducing their exposure to art. While art’s role as an “asset” is hotly debated, the report said the average allocation to art was 15% in 2024, down from 22% of their portfolios in 2021. Granted, some of the decline may be due to the increased value of stocks and other assets in their portfolios. Yet the drop suggests many collectors have paused their buying.
The super-wealthy have the highest exposure to art. Those worth $50 million or more have an average of 25% of their assets in art, down from 29% last year. Millionaires worth less than $5 million have about 12%.
Collectors who have been active in the market for decades have built up large collections, that will either have to be sold, passed on to family or bequeathed to museums or nonprofits. The average number of works owned by wealthy collectors worldwide is 44, according to the survey. Gen Z collectors have an average of 33 works, while collectors who have been buying for more than 20 years had an average of 110 works.
When asked about their biggest concerns for the art market, the largest number (52%) cited “barriers to the free movement of art internationally.” The second-largest concern was the “rise of legal issues in the art trade,” such as restitution cases, fakes and forgeries, as well as “ethical considerations concerning artists,” such as how they are compensated and promoted. “Art market fluctuations” ranked fourth.
The great wealth transfer, which could see tens of trillions of dollars in wealth passed from older generations to younger generations, could also usher in a great art transfer. Fully 91% of wealthy collectors had works in their collections that were inherited or gifted through a will or other bequest, according to the survey.
Despite the expectation that families will sell the works they inherit, 72% of those surveyed kept at least some of their inherited art. Those who do sell inherited art were more likely to cite a lack of display space or taxes as the reasons, rather than taste.
“There has always been an assumption that as art moves down a generation, the younger generation has different tastes,” Donovan said. “But to assume that this leads to the wholesale breakup of the collections or selling is wrong. Art is something which stimulates the emotions and there may be an association with certain pieces of art with your parents.”

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TO CALL APPLE a corporate behemoth is to be uncharitable. It is much bigger than that. On many financial measures it makes more sense to compare the iPhone-maker not with other companies but with stockmarket indices—and not some obscure ones, either. Exclude financial firms and India’s Nifty 50 sit on less cash. When Apple reports its annual results on October 31st analysts reckon its net profit will be just below what Germany’s DAX blue chips raked in last year. On October 21st its market capitalisation nudged $3.6trn, more than Hong Kong’s Hang Seng. More

However much you might want to keep politics out of business, politics has other plans for you. Events have a habit of sucking organisations into controversy. In 2022 Disney was caught up in a very public row with the state of Florida over a bill about teaching sexuality and gender identity in public schools. Earlier this year Google fired some employees who had taken part in a sit-in to protest against the tech firm’s cloud-computing contract with Israel. University administrators have conspicuously struggled to manage the passions aroused by the war in Gaza. More

Investors are accustomed to volatility in the semiconductor industry. But recent ups and downs have been especially discombobulating. On October 15th ASML, a supplier of chipmaking gear, reported that orders during its most recent quarter were only half what analysts had expected, causing its shares to plunge. Two days later TSMC, the world’s biggest chip manufacturer, reported record quarterly profits and raised its sales forecast for the year. More

TKO Group is paying $3.25 billion for three sports-related businesses from Endeavor Group.
The deal is all stock, increasing Endeavor’s ownership in TKO to 59%.
The three businesses are Professional Bull Riders, On Location and IMG.

TKO Group, the company that owns WWE and UFC, is expanding into sports-adjacent properties by acquiring three businesses for $3.25 billion from its controlling owner, Endeavor Group.
The businesses are Professional Bull Riders, On Location and IMG, the companies announced Thursday. The deal is all stock, and Endeavor’s ownership in TKO will increase from 53% to 59%.

The transaction expands TKO’s strategic ambitions by broadening its sports focus beyond the operation of leagues. While the company does acquire a new league in PBR, the world’s largest bull riding league, it also is expanding into luxury hospitality with On Location and media rights consultancy through IMG.
“Sports unify us and have never been in more demand,” said Mark Shapiro, the president and chief operating officer of both Endeavor and TKO, in an interview. “At TKO, we’re primarily interested in league ownership if that exists and businesses that can power our current sports ecosystem. That could be ticket sales, hospitality, consumer products, media rights expertise. That’s what we’re getting in IMG and On Location.”
Private equity firm Silver Lake announced its intentions to take Endeavor private earlier this year. As part of that transaction, Silver Lake wanted to divest certain assets, Shapiro said. Endeavor came to the TKO board with a proposal to sell the three businesses. TKO organized a special committee to examine the transaction, which it ultimately recommended to the board, Shapiro said.
PBR puts on more than 200 events annually for more than 1 million fans. PBR CEO and Commissioner Sean Gleason will continue to lead the organization, TKO said in a statement.
On Location provides luxury hospitality for major sporting events including the Super Bowl, the Ryder Cup, March Madness, the FIFA World Cup and the Olympics. 

IMG packages and sells media rights and brand partnerships, providing strategic consultancy on the biggest TV deals for the NFL, English Premier League, National Hockey League, Major League Soccer, UFC, WWE, and PBR. The acquisition of IMG does not include “businesses associated with the IMG brand in licensing, models, and tennis representation, nor IMG’s full events portfolio,” according to the TKO statement. 
In addition to the transaction, TKO also announced it is initiating an annual dividend of $300 million and has authorized a share buyback program of up to $2 billion for its Class A common stock.

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Southwest Airlines and activist investor Elliott Investment Management said Thursday they’ve struck a settlement that averts a proxy fight.
The deal includes the addition of six directors to the airline’s board and the earlier retirement of executive chairman Gary Kelly.
Southwest CEO Bob Jordan will keep his job.

Bob Jordan, CEO of Southwest Airlines, listens to questions from media during Southwest Airlines Investor day at Southwest Airlines Headquarters on September 26, 2024 in Dallas, Texas. 
Sam Hodde | The Washington Post | Getty Images

Southwest Airlines and activist hedge fund Elliott Investment Management struck a deal to avert a proxy fight in exchange for naming six directors to the airline’s board — short of board control — and an earlier retirement for executive chairman Gary Kelly. Southwest CEO Bob Jordan will keep his job as part of the deal.
“We are pleased to have come to an agreement with Southwest on the addition of six new directors that will enhance and revitalize its Board,” Elliott’s John Pike and Bobby Xu said in a statement on Thursday.

Five of Elliott’s board nominees along with former Chevron CFO Pierre Breber will join the board, which will stand at 13 members after the appointments, Southwest said.
The Southwest board will appoint a new chairman to replace Kelly, who will now step down next month instead of next year.
Elliott had called for both Kelly and Jordan’s ouster and criticized the airline’s leadership for not moving fast enough on sales- and profit-boosting strategies. The airline has made few changes to its business model in its 50 years of flying and is now planning to upend its long-standing policies like open seating and a single-class cabin for premium seats that more profitable carriers like Delta Air Lines offer.
Southwest shares are up more than 6% so far this year while the S&P 500 is up 21%. The airline’s third-quarter profit, also announced Thursday, topped analysts’ estimates.
The Dallas-based carrier has been slashing unprofitable routes to cut costs. At an investor day last month, it said the new revenue initiatives and other changes put it on track to boost earnings before interest and taxes in 2027 by $4 billion. The airline also authorized a $2.5 billion buyback, the first $250 million of which was announced Thursday. 

Elliott and Southwest as recently as last week had been girding for a proxy fight. The activist had been seeking to install 10 new directors to the airline’s board and had called for a special meeting in December when shareholders would have voted on them. Elliott’s campaign hinged in large part on the removal of Kelly and Jordan from their leadership positions.
With eight new directors joining as a result of the settlement and of Southwest’s earlier board refreshment, the deal is the largest board change Elliott has driven in a U.S. fight.
Southwest’s board said in September it would drop from 15 directors to 12.
Also in September, Southwest said Kelly would step down next spring, but the airline’s board had staunchly backed Jordan. Both Kelly and Jordan have worked at Southwest for more than three decades.
“I believe Southwest’s best days lie ahead under the vision and leadership of Bob Jordan and the oversight of this reconstituted Board,” Kelly said in a release Thursday.
— CNBC’s Leslie Josephs contributed to this report.
Correction: This story has been corrected to remove an inaccurate description for Pierre Breber, who will be joining Southwest’s board. Southwest previously announced its board would drop from 15 directors to 12. An earlier version of this story misstated that announcement. More

Jeff Vinik has sold an ownership stake in the NHL’s Tampa Bay Lightning to a group of investors led by Doug Ostrover and Marc Lipschultz, both of asset manager Blue Owl Capital.
Vinik will remain in control of the team and serve as the Lightning’s governor for the next three years.
As part of the deal, sports-focused private equity firm Arctos will sell a portion of its stake in the Lightning. Arctos will maintain a minority stake.

Jeffrey Vinik, owner of the Tampa Bay Lightning.
Adam Jeffery | CNBC

The Tampa Bay Lightning’s ownership group is expanding.
Vinik Sports Group, run by titan investor Jeff Vinik, is selling a portion of the National Hockey League team to a group of investors led by Doug Ostrover and Marc Lipschultz.

Terms of the deal weren’t disclosed, but earlier reports indicate a valuation close to $2 billion. The transaction represents a compound annual growth rate of about 18%, based on the team’s valuation in 2010 when it sold to Vinik.
The deal was approved by the NHL’s Board of Governors on Oct. 1, and will take effect immediately, according to a news release. Vinik will retain control of the team after the transaction and remain as the team’s governor for the next three years. At that time, control will transfer to Ostrover and Lipschultz.
Private equity has been rushing to acquire stakes in professional sports teams in the U.S. Most recently, the owners of the National Football League voted to allow select private equity firms to acquire up to 10% of teams.

Tampa Bay Lightning center Steven Stamkos (91) hoists the Stanley Cup after the Lightning defeat the Dallas Stars in game six of the 2020 Stanley Cup Final at Rogers Place.
Perry Nelson | USA TODAY Sports | Reuters

Deal-making has intensified as valuations among professional sports teams have skyrocketed.
As part of the Lightning deal announced Thursday, Arctos Partners will also sell a portion of its ownership and remain a minority stakeholder.

Ostrover and Lipschultz are co-CEOs of Blue Owl Capital, an asset manager with a sports strategy fund. They were introduced to Vinik through their relationships with Arctos.
Arctos has a deep bench of investments in sports, and was among the private equity investors recently approved to take stakes in the NFL. The firm — which earlier this year closed its second sports-focused fund, totaling $4.1 billion in commitments — owns roughly two dozen stakes in sports and e-sports teams.
The Lightning have won two Stanley Cup championships since 2020 and three overall. Vinik acquired the Lightning in 2010 for a reported $110 million and since then has invested billions in real estate development in downtown Tampa Bay. More

Southwest’s sales and profits topped analysts’ estimates and the airline forecast higher revenue to end the year.
The carrier’s leaders have been trying to fend off activist investor Elliott, which has called for leadership changes at the airline.

Southwest Airlines’ third-quarter profit fell from a year ago but topped Wall Street estimates as the carrier worked to drum up revenue and fend off activist investor Elliott Investment Management.
Elliott and Southwest struck a deal, announced Thursday, that averts a proxy fight and adds six of the activist’s candidates to the board. CEO Bob Jordan will keep his job as part of the deal.

The Dallas-based carrier forecast unit revenue for the fourth quarter would increase 3.5% to 5.5% on a 4% drop in capacity compared with a year ago. It said costs, excluding fuel, would likely rise as much as 13%.
“Thus far in the quarter, travel demand remains healthy and bookings-to-date for the holiday season are strong, demonstrating the continued resilience of the leisure travel market,” Southwest said in an earnings release.
Other carriers have pointed to strong travel demand to close out 2024 as airlines scale back unprofitable capacity that pushed down airfare.
Separately, Southwest last month laid out a three-year plan that the company would add $4 billion to earnings before interest and taxes in 2027. The airline also said it authorized a $2.5 billion buyback and would slash underperforming flights from Atlanta to cut costs.
Southwest said Thursday that it will repurchase $250 million of Southwest stock through an “accelerated” program under the overall buyback plan.

The carrier is planning to abandon its longtime open seating to instead charge for seats as well as offer extra legroom options that come at a higher price, the biggest changes in its more than 50 years of flying.
Here is how Southwest performed in the third quarter compared with Wall Street expectations, according to consensus estimates from LSEG:

Earnings per share: 15 cents adjusted vs. an expected zero cents
Revenue: $6.87 billion vs. $6.74 billion expected

It reported third quarter revenue of $6.87 billion, an increase of more than 5% on the year. Net income fell 65% from the year-earlier quarter to $67 million, or 11 cents a share, though that was ahead of estimates. Adjusting for one-time items, it reported $89 million in net income or 15 cents a share, compared with analysts’ forecasts to break even on an adjusted basis.

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