Champagne really is that special drink everyone loves to celebrate with. But what about investing in vintage Champagne as a lucrative pastime?
When contemplating investing in anything worthwhile, popularity and rarity are the two most important considerations. Brand popularity is a leading reason why Krug, Dom Pérignon, Comtes de Champagne, Louis Roderer Cristal are so popular among fine wine and vintage champagne investors.
Investing in vintage Champagne
The Live-ex Champagne 50 index certainly has both of those vital elements covered as they showcase the best to invest in their chart.
Champagne has seen an increase in market value over the past ten years and has risen over the past 5 years by an incredible 58.6%, up by over 11% in the same period in 2020.
While many expected the investment trade to lessen after the festive frivolities, the usual lull did not transpire. January 2021 was just as busy as before Christmas, with almost 200 types of champagne traded on Live-Ex between January and April 2021, an increase of 27% on the same period as the previous year.
So, investing in vintage champagne is not just for Christmas; it seems this thrilling pastime is enjoyed by many all year round and is steadily growing in popularity.
Champagne is not just for celebrations
Champagne’s exemption from US tariffs on EU wine imports could have provided a boost, but there is clearly a trend happening here. The recent UK budget certainly won’t harm this uptick in investment interest in sparkling wines.
Champagne is a drink for celebrations and a drink that is celebrated itself for the success it has enjoyed over so many decades. Champagne is an event, it is luxury, and it is a mark of opulence which is why Formula One drivers continue to spray the crowd with Champagne on winning… because they can.
Champagne is also adored for the serious pleasure of drinking because there is nothing quite like it and especially when it is an exquisite vintage or rare bottle.
Champagne, the gift that keeps on giving
A good vintage Champagne can age for decades which is one of the reasons it can be so investible. The older the bottle, the less there are, the greater the popularity, the better chances of a good return.
In our opinion, a vintage bottle of champagne should be in everyone’s wine collection or investment portfolio.
Dom Perignon released their 2008 vintage, which was £1,200 for a crate of 12 standard bottles. Within just one day, prices had risen by 16% to £1,400 a case. And Cristal 2005 release rose by 30% in the last year, with a case now valued at almost £1,500.
Rosé Champagne, according to Liv-ex, has increased in value by 250% compared to 2020.
Are you contemplating investing in Champagne? 2012 vintages are now ones to look out for.