If you're looking for a way to diversify your investment portfolio with an alternative asset class, the Masterworks app might be the solution you've been searching for. The fractional art investment platform allows people from all walks of life to purchase fractional shares in blue chip art assets, such as paintings from some of the world's best-known artists.In this Masterworks review, we'll take a closer look at the features of the platform and how it benefits investors looking to protect, diversify, and optimize their portfolios.Masterworks OverviewMasterworks is a leading firm and platform specially designed to help investors purchase and trade shares in multimillion-dollar, blue-chip artworks. Since inception, the company has acquired more than $882 million in blue-chip contemporary paintings, allowing customers to own a share of pieces like Banksy's Mona Lisa.Scott Lynn founded the company after seeing the rising value in his own art collection. He wanted to make art a more accessible asset class, giving everyone the opportunity to purchase “pieces” of a multi-million dollar creation, instead of purchasing them outright. After all, fine art is a compelling asset class to investors. Not only has it outperformed the S&P 500 by significant margins in recent years, but it also benefits from low correlation with other asset classes during periods of financial stress.With Masterworks, individuals can purchase shares of art pieces carefully selected by Masterworks, based on their potential for growth and profitability. The artwork is securitized, and held for between 3-10 years, during which users have the option to sell their shares on the Masterworks trading market. Eventually, when Masterworks resells the painting, the platform's investors share the profits on a prorated basis.Masterworks Key FeaturesAs a fractional alternative asset investment platform, Masterworks offers a few noteworthy features:

These features collectively present Masterworks as an innovative solution for art investment. You can unlock all of the benefits that some of the world's richest people access by purchasing and selling blue-chip art, without the hefty costs.Masterworks Pricing and Business ModelThe pricing for each share of a piece of art on the Masterworks platform varies depending on its estimated market value at any given time. However, the good news is that the platform is free to use, with no monthly subscription costs, or trading fees.With an invitation to Masterworks' trading market, you can buy and sell shares with others across the US, and view transparent pricing data for paintings. There are even order books you can review to analyze pricing trends.The Masterworks business model is also relatively straightforward. The company sources art by painters who exhibit attractive investment characteristics. These artists are identified by a research team using proprietary data analytics tools. The works from those artists are then sourced by an experienced acquisition team, and held by the company for a series of years.Masterworks earns a 1.5% annual management fee, distributed in equity. This means you don't pay your fee with cash out of your pocket, but your ownership stake does dilute slightly over time. Additionally, Masterworks earns a 20% profit share after an artwork is sold. Each investment entity also pays a one-time expense allocation or artwork sourcing, securitization, and platform fees.Who Is Masterworks For?Whereas fine art investing was once accessible only to the ultra-wealthy, the Masterworks fractional model lowers the bar for entry, so that new classes of investors can now participate.

Masterworks vs Other Art Investment SolutionsWhile Masterworks was one of the first companies to introduce the world to the concept of art fractionalization and tokenization, various other platforms have emerged since. There's the Artex stock exchange in Liechtenstein, for instance, and the Mintus platform in the UK.However, many of these alternative platforms do impose limitations on who can invest.Additionally, the company's proprietary approach to research and data analytics ensures it only invests in the pieces with the most profit potential, reducing investment risk.Final Verdict on the Masterworks PlatformIn summation, Masterworks isn't your standard digital investment solution. It's a powerful platform for people looking to diversify their investment portfolios and leverage the benefits of blue-chip art.The company has proven itself to be a reliable choice for its users, and it now has more than 810 million members worldwide. Plus, since risks and profits are both pooled, new starters and veterans alike can both access the benefits Masterworks has to offer. If you're looking for an easy way to get started in the art investment landscape, Masterworks could be the platform you've been searching for.