Hedonova Review – How To Invest In Art, Wine, Startups, and More
The following Hedonova Review is a sponsored partnership with Hedonova. Disclosure: I am not your advisor, so always do your own research as well when it comes to investing.
Did you know that you can invest in assets such as wine, paintings, startups, crypto, real estate, music royalties, and more, all in one easy fund?
If you are looking for a different type of investment, then Hedonova may be something you will want to look into further.
Hedonova is a US-based alternative investment fund management platform. It’s like a mutual fund, but for alternative assets such as art (for example Monet), wine, crypto, startups (like SpaceX), and more.
Plus, with Hedonova, you can start investing with as little as $1,000.
In today’s Hedonova review, I will answer questions such as:
- What is Hedonova?
- What is an alternative investment?
- How does owning artwork work?
- Who can use Hedonova?
- Is Hedonova legitimate?
- How much does it cost to use Hedonova?
Please click here to learn more about Hedonova.
Below is my Hedonova Review
What is Hedonova?
Hedonova was started in 2020 by Alexander Cavendish and Suman Bannerjee. The platform was created to give people more freedom to invest in what they want and wherever in the world that they want. Hedonova consists of a team of 16 investors, economists, researchers, engineers, and marketers, with team members spread across all around the world.
Hedonova is a hedge fund that is open to people around the world.
It consists of over 12 alternative asset classes in one simple fund. They invest in alternative assets such as art, wine, crypto, startups, NFTs, real estate, and more.
What is an alternative investment?
Hedonova is definitely different, which is refreshing to see, when it comes to their investments and asset classes
When you think of a traditional investment, you may think about stock in a company such as Amazon or Apple. But, with Hedonova, this is different.
As you can see in the image above, they invest in assets such as:
- Startups – Hedonova invests in startups such as SpaceX, Swiggy, Flexport, and others.
- Real estate – They invest in commercial real estate, data centers, industrial buildings, vacation rentals, and warehouses in countries around the world.
- Art – They invest in art created by the top 100 artists such as Claude Monet, Jean-Michel Basquiat, Arpita Singh, Cecily Brown, and more.
- Wine and whiskey
- Music royalties
- Students and their careers
And more. They have a wide range of alternative investments in their fund, as you can see.
You can check out their exact portfolio here to learn more.
Does Hedonova own the artwork? How does this work?
Okay, so you are probably wondering how this all works. Do they own the artwork and physically have them somewhere? Can I go see the artwork and enjoy it? How does something like artwork + Hedonova work?
Hedonova does not own the artwork themselves.
Here is what they say about this question:
“Instead of owning artwork directly we invest via special purpose vehicles and syndicates set up by specialized art investment firms, art dealers, galleries or private banks. Typically, a special purpose vehicle (SPV) is created collectively by a few investors like Hedonova which acquires and stores the artwork. These SPVs are Delaware LLCs regulated by United States SEC under Regulation A. The SPVs have no indebtedness, no other assets apart from the artwork and conduct no other operations other than ownership, maintenance and eventual sale of the artwork. We purchase ordinary shares of the SPV which help us take exposure to the work of art in the form of a traceable security.”
Who can use Hedonova?
Hedonova is open to U.S. as well as international investors around the world.
Is Hedonova legit?
Yes, Hedonova is legitimate. There are pros and cons, though, which I will discuss below.
Hedonova does have a management fee of 1%. This is charged to your account at the start of your investment, and then on an annual basis thereafter. There is also a 10% performance fee. This means that 10% of the gross profit from capital gains and dividends are charged annually at the end of each year.
You can enter and exit their fund at any time, as there are no exit charges. You can request a partial or full redemption from Hedonova through email or on their website and the time required depends on the liquidity of the asset and may take up to 30 days.
That being said, there is risk when you invest with Hedonova. They have a risk disclosure that states things such as:
- “Hedonova makes speculative investments and involve a high degree of risk.”
- “Any investment in Hedonova should be discretionary capital set aside strictly for speculative purposes.”
- “An investment in Hedonova is not suitable or desirable for all investors. Only qualified eligible investors may invest.”
- “Hedonova’s offering documents are not reviewed or approved by federal or state regulators.”
- “Hedonova has little or no operating history or performance and may use hypothetical or pro forma performance which may not reflect actual investing done by the manager or advisor and should be reviewed carefully. Investors should not place undue reliance on hypothetical or pro forma performance.”
You can read more from their risk disclosure here.
Hedonova review – Quick summary
Hedonova is definitely an interesting way to start investing, and I haven’t seen something like this before.
If you are looking for new assets to invest in (such as wine, crypto, music royalties, students, startups, and more), Hedonova is an option to try something new and possibly diversify yourself in new areas.
There is a high degree of risk (which Hedonova is upfront about), and Hedonova does charge management and performance fees.
But, you can get started on their platform with just $1,000, which is nice because you can simply get familiar with their alternative investments with a low amount of money.
Please click here to learn more about Hedonova.
Do you have any questions that you’d like me to answer for this Hedonova Review? Would you invest in alternative assets? Why or why not?