Despite COVID-19, Banks Maintain Art Purchases... Becoming the New Medici Families

ECB, UBS Group, Societe Generale, and Others Continue Art Acquisition

The Uffizi Gallery in Florence, Italy, temporarily closed last March due to COVID-19.
[Image source=EPA Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] If the Medici family, who ruled Florence, Italy during the Renaissance period from the 15th to 16th centuries, was a strong patron of genius artists such as Leonardo da Vinci, Michelangelo, and Botticelli, the most important entity actively supporting artists worldwide today like the Medici family is the bank. The acquisition of artworks by banks, which began in the 20th century, has continued despite the COVID-19 pandemic.

According to Bloomberg News on the 20th (local time), Roa Hagen, chairman of the Pictet International Association of Corporate Collections of Contemporary Art (IACCCA), stated that 78% of the 56 member companies continue to purchase artworks despite the COVID-19 crisis. IACCCA includes global financial firms such as UBS Group, Deutsche Bank, Soci?t? G?n?rale, Fidelity Investments, ING Group, as well as the European Central Bank (ECB) and the National Bank of Belgium as members.

Since the outbreak of COVID-19, about half of the member companies have maintained their art acquisition budgets as before, said Chairman Pictet. He said, "Banks are clearly playing the role of patrons," adding, "We are facing a moment when the means to publicly own and support artists' works are almost disappearing."

Since the COVID-19 outbreak, lockdowns and other measures have led to the closure of museums and art galleries worldwide. According to the American Alliance of Museums (AAM), about one-third of museums nationwide have not opened even once since March, suffering financial damage. In this situation, Bloomberg reported that banks' acquisition of artworks is helping the art world.

Banks have been purchasing artworks since the mid-20th century to decorate building lobbies or meeting rooms. However, in 1959, David Rockefeller created an artist support program called "Art at Work" at Chase Manhattan Bank, establishing a new environment for bank sponsorship. Arnold Witte, a professor of cultural policy at the University of Amsterdam, said, "Bankers are stepping up like the new Medici," adding, "Since the 1950s, bankers needed to create a new and positive image for themselves, and bankers like Rockefeller knew that art could be used to achieve that purpose."

Most banks acquire artworks to hang inside their buildings or create separate exhibition spaces to showcase the artworks to customers. Bank of America (BoA), for example, operates a program that loans its artworks free of charge to small art organizations for exhibitions. So far, it has held more than 130 exhibitions worldwide. Bloomberg explained, "Most banks are doing this."

Professor Witte emphasized the need to understand how banks' art collections have evolved as protectors of the global art world, explaining that corporate art collections "have a positive impact on art appreciation and cultural consumption."

This content was produced with the assistance of AI translation services.