Collectibles: Wine as an Investment
Valuable Tips for Choosing the Right Wine
Sep. 03, 2009
It is definitely possible to make money through investing in top wines; however, it is certainly not as easy as is often suggested. If you decide to invest in wine, which wines should you focus on?
First of all check out which wines were frequently traded on the Liv-ex Fine Wine Exchange and even better on the website of WinePrices. Both websites offer several instruments for making a good estimate. WinePrices currently tracks nine different portfolios of fine wines, with two internationally balanced and seven region specific indexes. Live-ex for example delivers the Fine Wine Power 100, a list of the top fine wine brands ranked by their 'power' in the marketplace. The wines you target as investments should match the following points:
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Check the forums and communities on wine social networks as Snooth, Cellartracker or Vincellar: Which companies are being recommended there, which are strongly advised against? Which wines does the community prefer?
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Famous brand with a long history in quality and steady high prices (which means only about 75 wineries around the world!)
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Highly rated by leading wine critics especially Robert Parker for Bordeaux wines (90 points and above). Follow ratings at least semi-annual. Valuation may change with every new tasting.
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Verify a long running global demand for previous vintages of the same brand.
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The wine should have an enduring ageing potential for storage and improvement, best over a long period (at least 10 years up to 50 years).
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Bottles per year limitation and fixed production output as well as fixed vineyard size.
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