The fine wine investment market is in a rather stable position at present, and it seems likely it will continue well into the new year and beyond.
There is speculation that on some fine wines, the prices have peaked, but the Liv-ex index tells a different story. The Liv-ex tracks the global trade prices for the world’s most coveted fine wines and has seen sustained gains for months now.
While Californian wines, vintage champagne and top level Italian wines saw increased investor interest, the Bordeaux market saw a resurgent interest. These, alongside Burgandy investments, have helped dispel any thoughts that prices have peaked.
There are never any guarantees of a return on fine wine investment, the same as any other type of investment. But with a greater interest in wine and the uncertainty in other markets, fine wine is holding its own and becoming an even more exciting and lucrative investment choice to make.
How the fine wine investment market has grown is in part thanks to the new cultural revolution which has taken place over the past few years, and it is perfectly described in the 2013 film, The Red Obsession.
As one man says in the film, wine is “more than an agricultural product; it’s something closer to a miracle”, we are inclined to agree.
Fine wines have once again become a must have addition to one’s investment portfolio, which means there’s limited supply but an ever increasing demand.
The other element driving the market is the increase in people drinking fine wines at home and dipping into their stock after the past few months; who can blame anyone for enjoying a bottle of some of the finest wines in the world.
We have reported throughout this time how well the fine wine investment market has done compared to other types of investments. The Knight Frank Luxury Investment Index has proven this, showing fine wine outperforming other luxury assets.
It doesn’t take data analysts to work out that fine wines are indeed an ideal choice for adding to your investment portfolio and ensuring a good and stable return.
