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Via degli Aldobrandeschi 190, Rome, 00165, Italy

Tel. ++39 06 6654 3707

Vicente Arancón

Michael Ryan

Christopher OlesonRafael García PavónMichael AugrosJosé Ángel Agejas

Israel CamarilloRubén Sánchez

Ave. Lomas Anáhuac S/N 7º piso, Col. Lomas Anáhuac, Huixquilucan,

Estado de Mexico, Mexico.

Vicente Arancón

The articles represent the personal views of their authors, which does not necessarily match , those of the publisher. The liability is limited to the amount the acquirer paid for the magazine. This journal is published with the support of its sponsors.

Contents

By Armando Del Bosque

By Valentina Facciponte & Elisa GiraldiTranscript by Vicente Arancón

By Tiziano Parisi

By Stefania Gentile

Photographs on pages 7, 12, 14, 18, 19, 20, 22, 28 and 29, by Valentina Facciponte & Elisa Giraldi.

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year of life, and we are very proud to present it to you,

dresses up for ten consecutive days to celebrate humanity with grandeur and passion. The whole city opens its doors to visitors from every corner of the world. Artisans, politicians, entrepreneurs, civil

and institutions participate in this fantastic event.

main objective was to shed some light on why are investments in fine art ethically different from investments in securities in the stock exchange.

art and business ethics at the same conference? Well, it was not easy, but yes, we of course made it possible.

combination of very successful individuals from different-­

ethics. Never before had any other organization

transcript of this unique conference, masterfully

Sánchez Serrano.

We sincerely thank Ricardo for organizing this great event and the four distinguished speakers who so generously accepted to be with us for this occasion. They have been all a great group of speakers and their contributions to the discussions were simply brilliant. We would also want to sincerely thank the leaders of

who were kind enough to consider us for this event

winning essays of the course we held last year on “Ethics and Law” at the Regina Apostolorum Athenaeum in Rome.

We hope you enjoy the magazine and learn a lot out of its contents.

Vicente Arancón

Photo by Fidelis International Institute

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By Armando Del Bosque

Polydeck Screen Corporation, “Why did you decide to allocate 1% of your revenues to this program for

double digits, as it ended up being?”“Because I wanted to share what I had experienced as I got closer to God, “ Peter said. “It was not a business decision;; it was an inner call to share

we have become a Christ-­centered business.”

has created a legacy, and he is impacting everyone

“This is one of the truest applications of theology, and we are now in a position to multiply it,” says

Peter gave me his book, “The Business Card”, and Mark Cress, the founder of Corporate Chaplains of America, who was also at the meeting, gave more details about corporate chaplains and how they

have an outstanding 95% retention rate in the companies they work with. There are now thousands of corporate chaplains since Marketplace Ministries

with Corporate Chaplains of America, they are the leaders in the market.

As businesspeople, many of us “plug and un-­plug God” during the day, the week, or even less frequently. A

since the peace you feel is something you want to

plugged in 24/7, he is certainly very close. Instead of

day or week, Peter showed how he takes God with him everywhere he goes, all the time. “I am not afraid

they leave their religion behind. Perhaps, because there may be many different religions within their company, they are afraid to offend anyone, but then by not showing their own religious side, they end up showing no religion at all, thus missing the opportunity to add eternal value to the business world.”

“The problem I see,” Peter continued, “is that many

-­

punished by their own denomination in the process? Can this ministry even be carried out?” There are,

are admired by their employees, customers, suppliers and even competitors, and who have found in God the strength to be such great leaders.

exercises retreat in Atlanta. God revealed a new

business owner, he realized that the business and the success he had achieved were gifts from God and that he was a steward of these gifts, for which

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God would ask, “What eternal value have you created with the talents and gifts I gave you?” This change in perspective helped Peter realize that God had given him this business to use as a platform for ministry and

ROI

Polydeck ended up creating a “Caring Committee”, which oversees eight funds, of which four are directly

program has ended up not only paying for itself, but even making a profit. One example is the employee turnover ratio, which dropped from 35% to 7% and, according to Jim Payne, HR

5-­year strategic plan. Quality increased, and thus reworking and warranty claims went down, creating a great positive impact with customers and the market in general.

When Jim Payne joined the company as HR Manager four years ago and asked Peter what his main task was, Peter told him, “To help the employees

programs that improve their lives, and in so doing give them a glimpse of God in the real world, which will hopefully encourage them to get closer to the source of that love, God himself.” Jim was mes-­merized by the answer and knew that he could

a replacement for his HR position so that he can

Life Coach”, who will help the employees reach their full physical, emotional and spiritual potential,

happier. To summarize the business aspect of this article, clients, suppliers and even competitors are coming to Polydeck to see what they are doing and how they are doing it so well – and Peter welcomes them.

A few years ago, Peter, along with Scott Gajewsky,

Work”, whose mission is to encourage and equip businesses to apply Christian principles, adding eternal value to their business. They have written a book called “The Business Card”, which explains some of these practical principles.

To date, they have also coached 45 businesses representing 26,000 employees. One such company is “Qualfon”, a Mexican company that is also creating a family out of its 10,000 employees in four countries. This transformation is spreading faster and faster, in

Cancun for all business leaders who are interested

more information you can go to www.hiswayatwork.com.

as he refers to his company. He is now expanding and sharing his love for God beyond his Catholic religion

Everything is interconnected and clear when we

as a family, decided to cut hours and rates across the board so there would be no layoffs. The employees welcomed this news with a standing ovation. Polydeck became a family where everyone cared about everyone, where people turned the lights out to save money without anybody asking them to. How do we put a price tag on that?

Photo by Polydeck

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International Biennial of Culture and Environment and the historic Palazzo Vecchio was the ideal venue for this unique event organized by the foundation

cultural and environmental heritage of the economy with more than 150 events and 372 speakers from around the world, 9,000 members at conferences and keynote, about 200,000 total participants and

and all major Italian and international newspapers.

cultural heritage, the environment, creative industries, cultural production, and to play a dynamic role in the integration of new cultural policies according

of the new vision of economic development, which considers that culture and the landscape are not centers of unproductive expenditure, but rather as an indispensable investment option to promote

growth and overcome the current low productivity, where you can integrate more culture in economy means, increasing the potential for growth, of great importance in this historical moment marked by a deep economic crisis which threatens the artistic and cultural heritage. Instead, it wants to be proposed as a starting point to discover the values related not only to historical culture but also to the modern culture.

And for this common purpose, many conferences and round tables were held, that included starring characters and leading italian and international

among them.

th

focusing on investing in art and with international guests of excellence. The conference called for

arts, shedding light on aspects that make these investments ethically different from others. Bringing together important patrons, collectors and investors, the forum has tried to answer these questions by analyzing the works of art and the meanings ascribed to them in different cultural and economic contexts of reference.

Introduction By Valentina Facciponte and Elisa Giraldi.Transcript by Vicente Arancón

Elisa Giraldi and Valentina Facciponte.

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Vecchio. It is a real privilege for us to have you here, as speakers, and all the participants that are with us today.

I will make a quick introduction of our speakers, you have their resumé printed in the program, but still I think that the group of speakers that we have today is so distinguished and so unique that it is worthwhile taking a couple of minutes to introduce them to you. You have no Idea what important four people you have here in the room joining us today.

most important businesswoman in the muslim world

the Gulf Area. She founded the Gulf One Investment Bank, based in Bahrein, having operations in several

series of boards in different companies that range from Aviation to Banking, including Education. She has been included in the list of the top 50 most

Times and by Businessweek, some years ago.

Then, we have Jonathan Ruffer. He comes from

three homes, so he spends some days of the week in London, and in some other places in England and keeps commuting with a very active life. Why we have the privilege of having Jonathan here is not only because he is one of the most prominent

because he is a passionate of art. Jonathan is a real patron of the arts. He is very active in developing a place in the Northeast of England, a place called the Auckland Castle. You can see in You Tube,

castle. It is a fascinating project. The Castle in itself is worth a visit, just for the architecture of it. But then add to the castle an exquisite collection of paintings by the

does in his free time, when he is not a banker.

We also have Sergio Autrey from Mexico. Sergio apart from being a Chemical Engineer and an MBA from Stanford, apart from being CEO of three or four companies, in Mexico, is active in businesses that range from know-­how development for employees, to publishing and many other areas. He is probably

the arts. Almost every important museum in Mexico wants to have him in his board. He sits in seven boards already. So, if anyone knows Latin American

Harald is probably the most contemporary art collector here today. He is a passionate for collections and we will see if he is also a passionate for art.

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That is still a mystery to me. But we will probably discuss that. Harald apart from also running his own company in the petro business is also very active in the world of art in Germany. He has a fantastic collection of more than 2,000 pieces of contemporary

he is also a professor of Art Theory in the Hamburg Academy of Art. He has also written some texts and some books with very provoking titles such

Room of Art”.

get these four fantastic individuals together, bring

they all come just for the love of art, and have them

discussing about art, ethics and investments, in other

The way we have structured this event is as an

panel asking them some questions.

when someone decides to acquire art, lets say, a Picasso or a Monet, in what way would you say that investment is different than when he or she decides to invest in the stock market?

call ourselves investment bankers. And we think

Ponte Vecchio, Florence. (dreamstime).

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ethics. I would start cynically. And just look at the art and the money. Oscar Wilde said that a cynic was somebody who knew the price of everything and the value of nothing. And I thought that I would look at this question through the eyes of Oscar Wilde. It seems to me, that they have one thing in common and one thing not in common. When you buy a company, the company is made out of individuals and that company will change over time. Some individuals will leave and others will join. Their activities might do well or do badly. But when you make the investment. The thing you buy, the investment you make, is bound to change. When you buy a picture, lets say, when you buy a Picasso

it, because it will never change. And therefore the dynamics as an investment are rather different.

Because what you have to consider if you buy a Picasso is not whether the picture will change, but will the attitude of people will change or not.

way that Coca-­Cola is a more expensive company than other drinks companies because its brand is so powerful, so the same is true of a picture. If you own a picture by Picasso, you have a very good brand, and I as a collector am always looking for pictures, which are not attributed to the painter who I think painted it. Probably the best picture in my collection is a famous Gainsborough landscape from the eighteenth century. And a hundred years ago it was one of the famous paintings by Gainsborough. But the expert, the academic expert of Gainsborough,

Gainsborough and the owner, who was in Buenos Aires sold it and I bought it, so when the expert

No problem.

But it seems to me that one of the things when we come on to talk about the ethics of art is that what we must have to understand is that somebody who comes to this world cynically is indeed looking at an investment. When he buys a gold bar, he buys something very similar to a Picasso painting. That

will never change. And I think those of us who are interested in the ethics need to understand that we

not expecting cynicism to appear in this Scene. So things seem to get even more interesting. Thank you very much for that. Please Nahed, actually I was going to ask you next. That is a perfect opportunity to connect it. You are also in the banking industry, and

investments when it comes to art for you?

want to relate to the bad word, so I think that after

disturbance we saw in the whole world, and the bankruptcy of several huge banks. I believe the only way to sustain development and move forward is to invest in real assets. And long term real assets, in addition to short term, but in a very few manner, but when it comes to long term assets and return on investment, as you asked me, we should look

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at assets that have value, that have social impact and give good return. And I believe if we look at the

art is real, in addition to its ethical value and social impact. I believe it is giving a sustainable return in the middle and long term. So I think the return on

ethical value and its educational value. If we look at

the whole world going on, I believe the whole genuine religions are giving us indications that we should work hard, that we should be creative, that we should

that, and the soul in each artist that is putting his effort in art itself could reflect the modesty, the humanity in a very nice way and collectors should

and give a good lesson to the whole world. So, I believe the return on investment is good in terms of money, social and ethical impact if we compare it to many investments in the whole world. I believe

of real assets and it is sustainable. It is very important

the variation and the mean value, if we use the

you little risk, good return in the long term and it

point of view is a good option for investment.

number of speakers have been referring to art as an exit strategy to the crisis. Would you have a reaction to that sentence?

investment is the future. It is the only way to go forward, even if some bankers are denying this and trying to go the old way, it will never be sustainable. I come from a bank that I founded to do ethical investments, in the Gulf world and the international world and ethical investment including investing in water, the electricity, the environment, the carbon emissions, the whole business that is never affected

one major thing, specially in the long term, to be added to this ethical investments. And I think it is

regulation of art is really very critical, so for a bank it is really impossible to have a good control about it. So, I think you have to have a real expert, and if you are not an expert, have a very reliable consultant. But to try by yourself is absolutely impossible. Because there are so many crazy works out there from Picasso, but only 20 or 30% of the works of Picasso are really regular and that changes everything. If you take, for instance, one of the older works which cost $ 200,000 and then others cost $ 10,000,000 and nobody knows exactly why. So you have to know the market very well. And I try to understand why they are so expensive and have to learn those secrets out of the market. I just wanted to add. So it is very critical see art for me as a business. And the most successful business made in art has been

-­ness, they did it just for the art. And concentrated on it. And then, in the end of the day it came out quite well. If you do it intentionally, you are always

Huntington Library. (dreamstime).

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to that?

and I think if I want to partner and to go into that

you. I believe it should be with an expert. Somebody

be a reliable partner for such an investment.

on contemporary art and collect it, with a passion that is even like a hunger of collecting. How do you select all those collections?

collectors. One type is for investment, and to save money. And there is a family having art for a long

second type, who see art as a property. And they

be in the art system and work with art, work with artists, work with museums and have discussions

own it or not. If I would be dead, I would have no interest at all that it would stay over. That my heirs

would do what they wanted with it, because I have

with the art. So it is not based in property. But there are basically two types. Both on their own right.

what is it based on?

on revenues. Because we have the different types of

type that stand for the biennale and the triennale, they have mostly a political background, they go for environment, they go for gender, for feminism, for

we do know. It is more the context of art. And this is one group, and the other group is the Art market.

been long reigned by the so-­called gallerists. The gallerists try to build up an artist. And this is the so-­called primary market. Where the artist delivers artworks to the market. But the primary market is

Nahed Tader, Ricardo Sánchez Serrano and Johnatan Ruffer.

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the secondary market, which brings these incredible prizes also for artworks already 50 after years after their creation.

context of art, and you have mentioned museums. Building on that idea, let me pass the word to Sergio. Sergio, you are very active, as we said in the introductions, in a number of museums. How do all these elements iterate when you go and lead those boards of all those seven museums down in Latin America?

question of art as an investment. And let me just tell you that I believe that there are very huge studies or benchmarks of art as a good investment. I believe

seventies. In which resulted in a large number of pieces that sold in the middle of the eighties. I think it was a good investment and it could be benchmark. Then the other part is the one in which

periods and due to the due diligence. Of course due diligence is very important in the art world, I mean, you could have apes, or you could buy, as

Jonathan did, a picture that was supposed to be or proven to be of the artist. So it is an imperfect

the old masters had less productivity than the contemporary art. So, you are getting those benchmarks, those returns that you can quantify because, yes there are people that do it to buy to sell all the time. But then you go into the other part like Harald or myself. We are here for the long

why a lot of my concentration is on, I would say, my

of selling it. Yes, we have accumulated forty works throughout the years, for thirty years. But again, I

part of the investment, say, the acquisition process.

Picasso Museum of Barcelona. (dreamstime).

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You handle it as a business. But then afterwards, you forget about everything and you think of the future?

in a museum or an institution, yes, you have a Mission or a Vision to accomplish. And there you have to curate or look at art and see what you should buy or what pieces to buy. But as a private collector I buy what I like. I do get to meet with the artist. I am involved with the artists.

artists? Because the consultant they have so many different interests and the best is the advice of the artist. Normally one artist saves the other artist. This one artist says this other one is a good

to know the artist. And with that, as Harald said,

art world.

anymore?

collection I would go for the artist, the production, helping create. And create what I believe is beauty or common good. I mean it has to be universal. I am very keen on trying to get art that has some beauty, has some symmetry but also is a common good for all.

good” in this sense?

lasting. I would say.

conference, we distributed a document prepared by Pope John Paul II, called “Letter to the Artists”, that was published some years ago. In that letter there is a quote by John Paul saying that there is an Ethic, even a spirituality of artistic service, which contributes in its

Sergio Autrey, Nahed Tader, Ricardo Sánchez Serrano and Johnatan Ruffer.

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way to the life and to the renewal of that people that creates the art. So, that is connected with what you were saying in the sense that it is a future investment, the common good.

ages, you try to see what man understands of man. And I think it is a cumulative knowledge that throughout the ages you are creating. And that is

was in terms of aesthetics or proposal, than in the Renaissance. But it is always building up. It is cumulative, cultural, historical, growth.

take that point and ask Jonathan. Please, about this concept of the participation on the renewal of the people that happens when an artist creates beauty. You as an investor, would you consider that you participate in that creation or renovation of the people. Could you share with us your ideas?

I am not an investor in art. I am very much more to the thing to what you have said, Harald, saying

do to this pictures after you are dead or possibly during your day. If it seems right for them, to go to a different place or to a museum, or something,

element in this question of investment, or if it is an ethical thing. Because, what I believe is that there is great power in art, and that the effect of that power on some people is to try to harness it. And if you try to harness something that is bigger than yourself, you will fail. You see old men with lifeless eyes, with a pretty girl on their arm trying to own something that is not ownable. You look at the life-­less eyes of some of those great collectors of past ages and you realize that they are trying to capture and own something, which cannot be. And I think that is the essential thing to understand art. Is that if you engage with it, it will unsettle you, because it

life down in the south of England where people are well off, and that have no problems. Because now I return to the north, where life is hard and relent-­less, and people struggle to get through the day. And I think that art is a circuit breaker. I think that

the way that people can be helped. To help them, is to give them something, which can grate that relentless grind of their lives. Now, sport can do that. The British did very well in the Olympics this year. But if that were to be effective, they would have to win the Olympics every year. And that is not possible. So, sport is a good thing. A hundred

ground is here, think of not just your community, think of the nation. And t was motivational for the people. What I see is that art is democratic. And although it is the rich who tend to collect it as an investment, the people who own it, some of them

them are meddling, some of them live lives where you think they would have no appreciation. And yet

that can help take people out of the mudbath, then

develop, for instance, the people in northeastern

Jack from a hundred years ago. How could art be different? Or, why is that different?

changes a person? We meet people who change,

what they think. And you have to think of something that is bigger than you. My Gainsborough is smaller than me, but art is bigger than me.

future maybe?

the best is conversion, and as a Christian I would say it is a conversion to Christ. But I can see that all religions can change people. But it is something which humbles people, it brings people to a sense of who they are. And I believe that the best thing I can do in the northeast is not to them help them to die, to give them free things and waves. It is to bring them something lovely and to show them it is lovely.

bringing humanity also.

Photo by Giulio Riotta

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thing that we call art. Which is bigger than us.

religion. You have mentioned spirituality. You have mentioned that from your Christian perspective. Let me take that and ask Nahed, you are not Christian, you are Muslim, so, let me ask you, do

in art. How do you live that?

world, since 700 hundred years ago, when they

art, you will be surprised how lovely they had in their last days. But unfortunately nowadays, that went away, specially where I come from, since the

the thought of it and they went into real estate, land

and whatever, and they forgot teaching about the art aspect. And how important it is in educating the generations for the future and to give them lessons. It is amazing. So, I think Islam has a lot of support to

hear about the creativity, about the humanity. In all religions, I believe, either in Christianity, Islam or Judaism, all agree on the same grand aspects of developing human beings, respecting the goodwill,

point, and that we all should focus on it. And I came here today to say that we in the Muslim world are willing to put huge money, not just because of the investment or trading aspects of that, not at all.

But as an ethical, as a social, as a business, together, and we should care about the three aspects together. And we have support, but very limited, in our country and we are here to partner with professional people in the global world. No matter what religion they are. But to the support of the humanity with the best art. We are here together and we can collaborate and

a better world through art.

is that art in a sense, transcends the limits of established religions. Would you say that it goes beyond?

sorry to say, the silly differences between different

asks for being fair, for creativity, for a lot of good aspects. And here today we can prove to the whole world that we are working together to make this happen. I think religion, and Islam as a religion, is

look at artists, they support the calligraphy of the Coran and this is amazing art and I buy a lot of that. And I love it. I see beyond the writing of the Coran. I can read the Coran in a book. But when I see it in calligraphy it gets me beyond the reading of the Coran.

somebody writing the Coran in a very nice way.

The holy Quran. (dreamstime).

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Saying that it is not only the message in the Coran,

art. And I believe we should make huge efforts to explore this together and show it to the world. Instead of putting it aside and ignoring it.

an investor, or a collector, or a patron in the arts. You somehow get connected with whomever created that work of art and you establish an unclear connection, somehow, with the person who created that masterpiece. At some point you talked about

art as well.

is. I believe we should partner as bankers or as investment people with the professional people that have a lot of knowledge in art and collaborate together to multiply on that. We can add value through our money and through our knowledge with them to spread this art all over the world.

with the person, whomever that was, who created

the art. Harald, you have been quoted more than

quotes out there in the Internet. And there are also some other quotes saying that what you really care is what the artist was trying to express. Could you share with us your experience or your feeling?

And there is something I would like to add to the investment. I make also some investments in my job. And then, I must be rather sure with it. Or it may be rather risky and I have to tell to other

is an essay. Art is to try something and you fail. Success is going from failure to failure without

that you do something different from the routine of life. And therefore there is something that is seducing you. And you get involved in it because you work with the artist, assist the artist, assist the museum, you get to work somehow, and do something

involved?

Holy Quran And Rosary. (dreamstime).

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you deal with art, and become an art collector, and you become bigger, then you have done it wrong. That is my prediction.

people. You have to come back to your normal life.

know anymore how it looks like out there, and if you go with artists, then you know how it is. And then you meet people from the street, people from the society, and other people. And there is something

myself with an artist. Some of them have the look of long beards and anarchic views, and hippies, and so, but I have to go visit them next morning

overnight. So I naturally have to have a distance

But any good business in the world should start as

employee the other way around. I honestly believe from my experience, that if you run after good things and good business, the money will come later. So,

the money will come later.

comment that you made in a moment where all stocks exchanges are going down, the Euro crisis,

business, when all the banks went into crisis even in the Gulf area, a lot of bankruptcy, and a lot of things because of the following of the real estate funds in America and Europe. We sustained our ordinary interest rate because we went into sustainable real

“buy bonds”. We went into the real business, real

was mentioning. Again, social affair and humility,

running now in some provincial areas in Mexico. You were mentioning to me this morning about going to this states where you do that, with local, smaller museums. Could you share that experience with us?

Nahed Tader. Sergio Autrey, Nahed Tader, Ricardo Sánchez Serrano and Johnatan Ruffer.

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do in this festival is to promote commissioned art, like operas, or concerts with the sinfónicas or to establish Mexican groups of artists that are very well known and need to be promoted. Yes we have made investments or launched some operas in

with Mario Lavista as the composer. The latest one is “Únicamente la Verdad” by Gabriela Ortiz, a young Mexican composer and she did a work of art. One of the very popular narco-­corridos, that is, the drug dealers songs of about thirty years ago, that everybody in Mexico knows, “Camelia la texana”,

recreated. So those things are risk business. And even if the business of a private festival, we are able to put those shows in the stage. Because a lot of institutions are very political in Mexico and they will not to take any risk.

world” that Harald was mentioning?

creating. I think it is the only way to promote the art from within. Also with these festivals we try to bring the best of the world that is not known in Mexico.

Manu Chao, he will repeat as a commercial artist. Or the Cigala, or Goran Bregovich, from Serbia. You bring them to Mexico, and then they will come back as commercial artists later. I think we are doing well. In the theater we call it “pay to see”. And we produce a theatrical thing, and what I hope to, is that it will

business.

further things.

that you hope that will have a season. If it happens, we are successful. If we bring somebody to Mexico and he comes back later. We think it is successful. One of my greatest successes in the future would be if one my operas could travel outside of Mexico, then I think it would be a product of my festivals.

la Verdad” is an opera that would be travelling outside of Mexico. Those are the changes that I

bringing new things to the society that they recognize. And then offer something that they needed more or they want other things to be are just as good.

Harald Falckenberg.

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these examples. You kept using the word “success”. So you want projects of course, to be successful.

history is a success. We have had many failures in between. One example is “Aura” the opera, it was demolished by the critics.

advocate. If this is about success, I mean, we want success, but we are willing to take many failures in the middle. Then, Jonathan, help me now. You work in the city of London. How do we measure the return on investment, when it comes to art. Can it be measured?

would be a point of honor not to measure success.

we do, I mean, what is fascinating to me about this conversation is that what I can see is that art is a

and that it is something that is very delicate as well.

And what I can see, listening to Harald and listening to Sergio, is that if you are looking at contemporary

artists who have something to say to the world that it is now. You have to treasure them, you have to honor them to ensure that the greatness that is hidden

able to talk to any of the artists I collect because they have been dead for 200 years. And I have a different challenge. I have a challenge that the long tradition of art, which Sergio rightly said, is a cumula-­

And that is a different, but is equally valuable thing

where do we come from. In Britain, the television programs, the most popular now “Who do you

great grandfather was sent to Australia, and that is a bit of a joke in a sense. But in another, who

grandparents lived in. And I would answer your question, Ricardo, by saying that we will only know in Heaven whether we have done a good job in

this powerful perfume which permeates the world. I will speak for myself, but I can see three people, who in presence of the Archangel Gabriel, I would give them the entry pass.

things. You described our cultural inheritance, and the cultural inheritance that is the typical metaphor in a museum. They have preserved us, they have shown us growing and this is about history, about religion, about different religions. And that is actually something different than the museums are today. You will see for instance, your beautiful Tate Modern and Tate Britain, last year they had 7.2 million visitors, and how did they get these visitors? Through some shows, they had around 60 shows and they gross

Not into the collection. Only 50% went for the collection. It is a beautiful Collection, it is the same as the MOMA, the museum of Modern Art in New York. Now they have this wonderful collection in

because they have seen three or four shows in other levels before.

Johnatan Ruffer.

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Spring 2013

as opposed to the permanent collections?

and therefore it is why I say there are two things. One does not exclude the other. We have to go for the inheritance, that is neglected today I must say, and the spectacle. If you have for instance a rather poor Edvard Munch, of “The Cry” and it was sold for 115,000,000 €, and then the people got at it and made applause. why do they applaud at that

reason to applaud?

the Euro is worth.

to, for instance, Art Basel or to other important events around the world. Then we cannot make the connections we need to evaluate art. I need to talk to the people because I need the evaluation of the artwork, specially of young art. You have to hear many opinions. So the artwork has no value by itself. And the value is given by the others.

Harald, is if you look back at when a society is not interested in new art, art dies. If you look at the

impressionists came on the scene. It was terrible. It is really awful because it had nothing to say. And I think that art, modern art, which loses its morrings from its tradition, is not going anywhere. And although I think, we, you and I, Harald, are extreme, you as a modernist

Painting exhibition of Pablo Picasso at the Pera Museum,Istanbul,Turkey. (dremastime).

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Spring 2013

knowledge of the old art. Because otherwise you cannot say what the difference is. So old art is good art? There is art and good art. Only by difference of

And you have to compare old art to new art.

different opinions. And found some coincidences. Let me pass to this side of the panel and ask Sergio and then Nahed for their opinion.

and Mayan art, and all the pre-­hispanic art. I am

many, many years, centuries, it was a forgotten art. Really, all the pyramids were disregarded, they were in ruins. Also, we as Mexicans cannot own any of the pre-­hispanic art, because it is owned by the government. But how do we get involved in reassuring that this pre-­hispanic art, that is a totally

years ago we launched a magazine of archaeology. It is called Mexican Archaeology, which is a very

but in Mexico there is a lot of pyramids, a lot of ruins all across Mexico. And small towns do have

some pre-­hispanic identity. And it is incredible all the letters that we get from school teachers, from persons that send us small stories.

is this sample? Tell us about what is behind my backyard? I cannot go out and rebuild the pyramid, because it is owned by the government. I cannot own pieces of pre-­hispanic art, because they are owned by the government. But we as a society can provide means to revalue that art that is there, and for the society as a whole to take more interest in perpetuating, in conserving, in enjoying what we have.

in that perpetuation of the art?

the magazine, and all the photographs that we have taken, all the investigations, all the scientists, the archaeologists, they do speak now and they come and they like to be published in our maga-­zine. It is an honor to be published in it. And I am

to be ethical and do good to what we have. And in Mexico we have that beautiful richness that we just have to promote, to increase, to make it more understandable for everybody.

that it operates at an individual level, you mean,

something institutional because you were saying that apart of what the government does or does not do.

We are very close to the Instituto Nacional de Antropología e Historia, a government institution, and we are also working with all the universities, the

be something personal.

we went to visit all of the ruins. And I was the photographer. My wife is the editor of the magazine.

Sergio Autrey.

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Spring 2013

And I became the one who took the photographs. My sons, they are also involved. So, there is a passion, because, what I see it is that there is beauty that has to be told and retold, and not only to Mexicans,

is important to get involved not only in the creation, but also in the preservation and conservation of art. And the incremental knowledge that we are accumulating of the pre-­hispanic ruins, or Gainsboroughs, or present day modern artists, that are trying to make their contribution to the world.

Sergio is saying. I really love what you are saying,

terms, like the venture capital. I believe that an art entrepreneur should handle something like knowing how to value the newcomers and the new authors and the new art. Because we cannot to deny that the world is changing. The vision of a new generation about art might be different from the old one. So we have to respect both. And I believe seeding new artists is a great thing,

that succeeds and ten that fail. It is absolutely true, because a regular banker or a commercial banker cannot take this risk, a commercial investor cannot take this risk. But they need guts and encouragement from an art entrepreneur that knows the value of such a thing and can work hard to promote it and make it succeed for the new generation, to see

having to come to the old way or not. I believe, yes, we should support both and we should really work hard to respond to changes.

in venture capital you might have several failures

also have this same trends. Now, when you train people at your bank, you get the new generation of investors, you teach them elements on how to pick the best deals or how to try to do the due diligence, all the evaluation process, and then select the good projects and discriminate the bad ones. How would you advice young art collectors or young people who want to invest in art? What would you say to them?

really put their hearts and guts in to it. It is like in IT. IT is never easy. IT is an art in itself. So lots of investors in IT would do the same, they would invest in venture capital funds. And the beauty of venture capital funds, is that there are nine failures and one success. The one success compensates for all the failures, because the growth is massive. So when you train them to do the due diligence, I am not an expert in art, so you train them to deal with people that are professional experts, and go hand by hand to put their money and try to understand the art world, to support it, but not to be worried about failures, because a success for an artist is going to compensate and multiply and cover all the loses and make more money.

need to handle it as a venture capital deal? You would need to get the help from the experts?

Maya stela in Chichén Itzá, Yucatán, México. (Photo by Jesús Laveaga).

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Spring 2013

aspects. I think it has its own evaluators, and auctions and things.

comprised of grotesque art, which is later coming to surrealism and other things, and then you have to cope with decades and years to be an expert.

you should do really about to be convinced that you can collect this artist and that artist. That is totally relevant.

capital you can have IT deals or you could have pharmaceutical deals that might pay off or might not pay off. But then, yet, it seems that all of you tend to agree that there is a businesslike process needed for the selection of art.

moral involved.

that there will be a number of failures, and then, there will come one success, or two successes, but I mean, few will be.

the right artist, you have to really have the experts. But young artists are a little bit different. Then you

who know about them. So, I would say that 15% of my artworks make 66% of the value. That could tell you how big the value is. By the way, in the

20% of your customers.

relation and that is also similar compared to young

art. That shows you how big the risk is if you see it as an investment. But on the other hand, you suddenly like an artist and ordered a print of 5,000

So, there is that 60%. So this is something that you

people being so kind to be with us. Please notice that we are talking art. This is an art Biennale. We are inside a museum, in the Italian city for art. And yet you have here four successful business people from all geographies, from all religions and they

approach art. And how their investments in art are dealt with. This is something remarkable, I think.

Now, can we agree on something? Can we agree maybe that art investments and ethics make sense in the same sentence? Or this idea is totally ridiculous or out of the question? I would like to ask the four

after that I would like to open it for questions, from our audience. So whenever anyone is ready, just let us know.

in art and Ethics? Is it measurable to some stance, the return of those investments? Or shall we just leave it for Heaven? As Jonathan was probably suggesting. Or do we do it for more important

really something more for other generations? Who would like to start?

money I invest. It is the time I invest with the artist.

that much time to go and visit all of the artists, and be with them, and get involved. So it is almost my

have the time. I do see it, like you have mentioned it, more like a venture capitalist, because they are young artists, they are starting and I have known

one period of painters. I have invested for thirty years on most of them, and I would say, probably 90%, at sixty years old, are still painting as artists.

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Spring 2013

I think I made an excellent choice when I was very young in following these artists that thirty years after are still painting.

Mr. Sánchez

has been. I have no benchmark. If have gone in-­vesting in the old masters, I think there is pretty much knowledgeable, reasonable benchmark that you can say how much it was worth twenty years ago, and how much it is worth now. But this part is more adventurous.

investment in terms of money value. Investment is

today for something more in the future. And I go back to this idea, but its when people change how they think that they can change for the better. And

do it. And it seems to me what Sergio is doing or Harald is doing, or what Nahed is doing in your initiatives, are all directionally going to help that happen.

would be the indicator?

have become a librarian forty years ago, but stays as an artist. His life has changed. He must have been affected in that period. So that means he has had an effect on other people. That is the most important aspect of a good investment. And

next “I would give it away tomorrow”. You can see

values, one is tolerance, very important, the next is overcoming international interests and therefore

it is today. Based into the modern pattern, the old pattern was more a colonial pattern. Now we are in a pattern where we have very important, for me, the art world was for a long time, what we called Euro Centralized stuff. And then the Americans with

it should be an international exchange of culture. And that is why it is very important to work with a young artist in this collection. And that is for me the

good to work with another person, if you will. And young collectors always take their personal styles.

Picasso Museum of Barcelona, Spain. (dreamstime).

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Spring 2013

They are very good at getting close and very personal of the artist.

new dimension for looking internationally, because now the world is open and it seems the new generations are providing the world with a new culture. It is not closed anymore. So I think investing in art really should be with a new dimension with a new support to the artists and to move forward and support them seriously, because they are the

art and great artists were being supported massively.

our role here to get together, but with a new custom tailored dimension to the new world and the new generation and see what they believe in and support them to move forward.

international barriers is simply not alive anymore. It is just something that completely seems to belong to the past, and should be left away. Now, the questions of religion that we were saying before is also not a limita-­tion. Your presence here today is a proof of that. So it is a global world in all senses. And we can talk about art as ancient as Aztec or Mayan or as contemporary as your collections Harald. And these principles seem to be a common denominator yet to all of them.

I think we have had a fascinating discussion. I really thank you all. And before we run completely out of

case there are any.

commission the creation of art. And that is not the case anymore. What would be the case now?

with many of the painters I support. I do something I call “buy without seeing”. Because it is just a proposal

of this matter” and they will describe the twenty paintings in detail, but they have not done them. So, I will be paying them as the paints come out. It is a patronage in advance. It is a commission. In order to create, you need time, you need supplies, and as you produce them, I will be paying you.

as well. You know, up to the middle of the XIXth

there was the Natural Art movement, all works were made by commission, always, either by the Church or by the Noble Men. And it was at that time, when artists did no longer want to be commis-­sioned, but to work on their own. Some examples of that are the Expressionism and the Cubism, and artists tried to sell it as normal entrepreneurs. By the way, this is a very important movement now.

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Spring 2013

more than 110,000 million pounds, I think. It was a very good day. But you see, commissioning is today very unusual in Central Europe. Naturally, we have commissioning with big installations, because there are video installation works that only can be commissioned. But the days of portray commis-­sioning, are more or less over. Maybe here in Italy is still a conservative country over this, but I can tell you from Central Europe that there is not much or hardly any commissioning.

would be for young investors. And I think it is a very interesting topic and it would have been very nice to discuss it more, since I think we should really think of the future. And when we think of private

investors, we think of people like you, and you know, successful men and women with some sort of knowledge in the art, and some sort of capital to back off full pull. But when we talk of young investors, that maybe put some little savings on the side and they want to have an introduction to the art market,

faith that things to go right, but if they go wrong, they go big wrong. So, what I think that is lucky in the

that leads you through it, but you can trust on what

with all of the tools that technology gives us. So I was just wondering what were your thoughts in regards to this transparency for the art market and if you think it is a relevant aspect and if you think that making the art market more transparent would actually be a motivation for young people to go into it. Because I strongly believe it is a wonderful

newspaper for the last issues has been all about having loans for purchasing art. So I think it is a very timely topic and it would be great to involve more young people.

question, and I am sure you will like to come in on this. Because when we talk about business ethics,

transparency is a completely fundamental element. So I really like to hear it from the experts. Who would like to start?

could be treated, for example, if you are a small

Right? But you love the aspect itself. So I believe

step by investing their capital or their money in

the rest and when it gets kind of stable, get this whole investors, think a small commission, but not enough for you to loose the money. So you would be safe. That is what I do in many risky assets

Great gallery of a Kunst-­Historisches Museum in Vienna. (dreamstime).

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Spring 2013

in my bank. But in art it would be more custom tailored towards art and taking care of this whole investing, lowering the risk, and putting it in safe hands for them to enjoy their investment and put more money as it is more invested for the future.

by the bank itself or the high net worth investor and then to be given to that small investor with a small premium which would be fair, even to the small investor. Thank you.

prices. These fairs that allow galleries and artists

dollars, for any piece of work. And allow the artist

a young collector, I would recommend him to go to these fairs, as a starting point. It is a low-­end, entry-­level investment. But you have good galleries that are putting good pieces of work at reasonable prices. So I would probably start investing there as a young collector.

all by yourself, try to get some advisor, consultant, try to contract several people, not only one, or just ask me. And there are naturally some kinds of art that is not expensive. You can have videos, you can have photographs, and I would advice not to spend much money on it. Many people lose a lot of money because they “trust their feelings”. That is not the way art is going to happen, so I would advice to seek good consultants, to go with low price art, which is available everywhere.

needed, regardless of how much money you want to put in.

little drawing by a very good artist, that will bring you much more, than you would have worth maybe one thousand, two thousand, and that is the result if you get a consultant.

is that there is no better place for a talk about the Santa Croce Church, Florence, Italy.

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Spring 2013

progressive thing, but really, maybe it is not.

Maybe it is just something that we have forgotten.

banking, the model of that, could change fundamentally to accommodate this investment in art? Could there be art speculators, in essence, these advisors that you advice about which is a good choice about art. And you are paying people to do that.

They happen to be around, all the investment bankers for years and years now have banked to their holes. And they are not so much anymore there. And they try with all the tricks of our market to bring the art, in a very short time, from very low to very high prices. And there are tricks, one of the biggest motors of that was the involvement of

New York City, this is a true story, wanted to promote

worth 30,000 € and they gave 5 works of him to

price high up to 400,000 € and then two months later there was a private sale in this gallery and

of € 400,000. In this way, you have to watch out, you are too innocent. That is the truth of the market. And this has not much to do with the art. So speculators, I hate speculators. But that is my opinion.

here. Thank you very much.

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Spring 2013

In order to respond to this question, we need to make a preliminary distinction between the words “morals” and “ethics”, too often used synonymously.

of actions and sensations, for a group of people in a certain place and historical period, that sanction

good and evil. By its nature, morals are apt to evolve, and thus to change over the years. If we are repulsed today by the mere thought that a man could be the servant of another man, slavery was viewed very naturally up until last century. Only through timeand evolution of human thought have we come to regard as wrong something that until then was considered not only necessary for the economy, but also absolutely normal.

There is not just one set of morals, but many, as many as there are groups around the globe. These

ideas can converge in a common sentiment or be diametrically opposed. With social and economic globalization, these cultural differences are certainly more subtle than before, but even so, each group has kept its own opinion about what is right or wrong.

dimension, since it is an integral part of man rather than something that can be added to him, like morals. Indeed, even if all our behavioral patterns and judgments are inevitably influenced by the historical and socio-­cultural tissue into which we are born and grow, there is no doubt that there is something superior and preordained in our being that waits to come forth.

In this vein, I remember an interview with an ex-­boss

natural for him to kill anyone who broke his code of behavior, the moral code of his people. Homicide, in

By Tiziano Parisi

Photo by istockphoto

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Spring 2013

this perspective, gave him no remorse because he was convinced that he was right by committing it. One day, however, this conviction, which came from the fact that he grew up in that particular environment, was destroyed instinctively by another

until the day before seemed right to him up and that he had fought for, appeared wrong all of a sudden.

Leaving aside the cases in which repentant people take advantage of their redemption to obtain early parole, what happened in that man to make him change his mind in such a sudden and powerful way? I think it is precisely the occasion to best explain what ethics truly is, that is, a sentiment we all have from birth that can be developed to a greater or lesser degree, or not at all, from person to person, but which is present in all of us. It is universal sentiment that tends toward the good, which is common to everyone.

What then is the relationship between morals and ethics? Good and disinterested morals, free from other interests, is the means by which man can discover ethics more quickly. Ethics, in its turn, is

which is interior joy, happiness. Today much is said about ethical codes that great businesses adopt, but

should speak of codes of conduct or moral codes of business, as they are rules dictated by people for other people. In fact, that is the very nature that does not allow one to classify them as “ethical”, since ethics cannot be imposed by a written rule, but it is necessary to feel it take root in oneself. Ethics cannot be taught or explained, but is discovered.

This distinction between morals and ethics also mirrors the distinction between the concepts of law and justice, so close yet often separated. Law should tend toward justice as morals toward ethics, but that is not always the case. Something can be legal but unjust, just as something can be moral but unethical. Take for example a judge who applies an

or the aforesaid case of slavery. Obviously, laws and morals, like any powerful instrument, bring us to a very different result if they are wielded by the wrong hands and directed to other means.

Often it is asked whether ethics is useful to modern man or whether it is not rather something that slows down his individual path to progress. The recent world crises seem to give an answer to this question once and for all, even to the most skeptical among us. Even if it is true that all this does not bring

possible, it is easy to forget that we are not alone,

Each person can be compared to a piece of the huge jigsaw puzzle, and the more pieces crumble,

everyone how speculation on Wall Street ends up affecting the portfolio of a worker who lives on the other side of the planet within a few months. Therefore, it is appropriate, for the good of all, to draw up new rules for the economy supported by a common ethical sense, in the truest sense of the word.

if not toward his discovery, seems to be the only way to truly overcome the current crisis and the only tool to lay the foundations of a forward-­looking and better future, not only on the short-­ or medium-­term, based on the harmony of the whole.

Photo by dreamstime

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By Stefania Gentile

In Caritas in veritate Benedict XVI underlined the importance of a vision converging on human dignity and of the work that will allow us to overcome poverty and promote development, showing that only the ethical interaction of consciences and minds will be able to sustain human evolution. More recently, a type of “dignity revolution” has

and global crisis, which deeply impacts different

dignity, above all the concern that is an essential condition for equal dignity, as proclaimed in Articles 1 and 4 of the [Italian] Constitution. Recent studies have shown that the ethic-­civic problem

progressively lost all contact with the real economy,

the real economy is the only one able to create work and to distribute the wealth produced, stemming from the values of subsidiarity and its resulting development, condition of the marriage between economy and values.

always advocated the importance of work as the central and crucial element of human dignity and underlines the inseparability between peace and social justice. Thus, the respect for fundamental rights and their protection play a primary role in the desired development of an inclusive society, that is, endowed with mechanisms that allow an active participation in the political, and economic and social life of the country, permitting it to overcome differences and assuring equal opportunity to individuals.

stability and sustainability is to replace the markedly individualistic and egotistical perspective with the altruistic one, focused on the ideal of social justice that connects the economic foundations with those

of the person and his rights, by means of building awareness of the dignity of each. The teleologically personalistic nature of our regulations encounters its norm of substantial closure in the concept of

value of ethical origin on the political and juridical level .

The principle of dignity is the heart of the doctrine on human rights;; thus, understanding its meaning is the necessary premise to individualize a common and shared nucleus of values after an evaluation that considers the interests in play which have general import . Today, dignity has a normative connotation because it is contemplated in most international and national charters of fundamental rights. It is an ambiguous concept that can express a judgment of

Photo by istockphoto

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historical analysis of its development, it is derived

solidarity, which work and are oriented in different ways. It is beyond doubt that the ambiguity of the principle appears above all in its relationship with the value of freedom, due to a series of questions that can be summed up in the much-­debated dilemma of whether dignity is a predicate of freedom or vice versa. As has been authoritatively proved, this question summarizes the fundamental value that every person bears and that constitutes the essence of each person in the static dimension, while the value of freedom is proposed in subjective terms of projection and immediate development of the person in the outside world, with the limit of respecting equality and nondiscrimination, principles that are closely connected to each other and to the principle of solidarity.

unitary and complete guarantee of the individual, in himself and in his social evolution. Therefore, in light of these premises, the economy today should certainly be oriented toward the human sphere, by a normative framework founded on the awareness

by means of moral management and an effective application of ethics in economic relations and in the working world, with the human person and his dignity at the center, and by giving importance to solidarity and mutual trust in trade.

“In an acute synthesis, Francesco Viola indicates, among the pillars of the evolution of the Church’s social doctrine,

tends toward equality beyond the economic and social differences;; this also implies man’s independence – and thus his freedom – from the bondages that condition his spirit, as well as the necessary quest of the freedom of the spirit;; the right and duty of man to exercise his freedom in his conscience and to refuse or submit to the slavery of the spirit.” G. ALPA, in Status e capacità, La costruzione giuridica delle differenze individuali (Status and Capacity: The Juridical Constitution of Individual Differences), Libri del Tempo Laterza, 1993, 163 [trans. ed.]

For the so-­called “3S paradigm”, sussidiarietà, solidarietà, sviluppo [subsidiarity, solidarity and development], se A. Q.

CURZIO, Economia oltre la crisi (Economy after the crisis), Ed. La scuola, 2012 In these terms, Ruggieri and Spadaro have shown the role played by human dignity within the problem of the hierarchy of constitutional values. Cf. A. RUGGIERI and A. SPADARO, Dignità dell’uomo e giurisprudenza costituzionale -­prime notazioni-­, (“Man’s Dignity and Constitutional Jurisprudence: First Notations”) in Pol. Dir., 1991, 1, 347 s. [trans. ed.]

From a philosophical point of view, most of the modern theories on the universal recognition of human rights are due to the famous German thinker Emmanuel Kant, who equates it with the safeguarding of human dignity: “Humanity is dignity itself” (The Foundation of the Metaphysics of Customs, 1785). Thus, man cannot be reduced to be treated as a simple means, but always as an end. “Man considered as a person,” argues Kant, “is above any price” (The Metaphysics of Customs, 1797). According to the philosopher, man’s dignity consists in an absolute intrinsic value that imposes respect on all other reasonable beings, respect both for oneself and for others. According to Kant, respect for the others translates to the recognition of their dignity, and contempt is the negation of the respect due any person, in general. Kantian thought is not completely new in man’s history;; in fact, it seems to be the ideas already expressed in the Gospels, translated into philosophical terms.

“Dignity is not only a word;; it is also a value, a principle, a general clause, an element that indicates a juridical system as well as a limit.” G. ALPA, Dignità. Usi giurisprudenziali e

boundries”), in Nuova giur. civ. comm., 2000, part II [trans. ed.]

Recalling the ambiguity of the concept, it has been proposed to erase it from the table of reference values, accepted as the base of a new human anthropology, and spoken of as an empty box susceptible to various manipulative interpretations, as other general principles. “Faced with these visions, the emphasis of those who speak of dignity as a Trinitarian concept, that is, referred to the person and thus his organic, physical and symbolic dimensions, does not appear exaggerated.” G. ALPA in I diritti umani e fondamentali nella formazione dell’avvocato europeo (“Fundamental Human Rights in the Formation of the European Lawyer”), Acts of the Congress, Rome 9-­10 April 2008, G. ALPA e A. MARIANI MARINI, 26 [trans. ed.]

A. BALDASSARE, Iniziativa economica privata (“Initiative and Private Economy”), in Enc. dir., XX, Milano, 1971

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