Art crash proves beauty is no safe haven

Some dealers pitch art as an investment that provides diversification away from other asset classes like stocks, commodities and real estate. That can be true, but it doesn't work when all asset classes fall in unison.

The Mei Moses index shows that art prices fell 35 percent in the first quarter of 2009 as high net worth investors battered by the recession and Bernie Madoff sold off their collections, often at fire sale prices.