Have you ever looked at Fine Wine as an investment?

Looking for an asset class that is Capital Gains Tax EXEMPT?
Used your ISA allowance for the year or want to look at growing your earnings by a larger percentage and looking for a tax exempt investment?
Looking for an asset that is non-business cycle specific and so acts as a perfect inflation hedge given global inflation levels?

The Fine Wine Investment Market

The Liv-Ex 1000 index, the broadest available index for investment grade wines is still is up around 300% since inception just over 20 years ago.
However, in the last 2.5 years, the industry has gone through a consolidation period which has seen it lose more than 20% since its 2022 high.
This being said, we are starting to see a better outlook for fine wine, especially in light of Central Banks in developed countries likely to pursue cutting interest rates and the Trump tariff's are not to be 200% as first feared for European wines.

The returns over a long period can be impressive but is it a safe asset?

Yes, provided you are using a correct fine wine market investment house. Typically, you physically will own the underlying bottles of fine wine. The fees attributable to buying those wines will cover your storage, transportation, insurance against all eventualities, portfolio management and advice.
As with all market investments, they can go up or down in value, however the fine wine market is based on demand and supply rather than market moves or business cycles.
It is an alternative investment asset class, so we would always suggest a maximum of 10% be held in alternative investments based on your own personal total assets.

Looking to know more about investing in Fine Wine - take a look below at Our Guided Videos of Fine Wine Investing and some of the main FAQs surrounding the process. For everything else, please reach out directly.

Fine Wine Investment Series Explainer Videos