One Year with Masterworks

I decided to take a stab with Masterworks over a year ago. Back then, they mentioned a minimum investment per artwork of $5,000, but after talking to their sales representative, they lowered it to $500 per artwork. I feel like I could’ve lowered it further, but $500 was good enough for me.

My investments in Masterworks was primarily due to the ability to invest with a debit card on their platform. I invested using the now-defunct PayPal Key, which masks credit cards as debit cards, and hit my credit card’s sign up bonuses.

Masterworks Portfolio

In late 2020, I invested a total of $6,000 this way, spreading $500 across 12 investments. Since then, one of them got acquired, selling my original $500 investment for $663. I simply rolled this into another artwork instead of cashing it out.

Masterworks Sale Email

Masterworks Sale Proceeds

With a total portfolio value of $6,986.75 from a cost basis of $6,000, I’d estimate the annualized rate of return to be about 10-11%, which isn’t much, especially compared to Fundrise, which I would argue does more for society as well.

Am I going to invest anymore money? Nope, not unless the rate of returns increases.