More and more investors are turning to fine wine as an alternative to traditional financial options, due to its high returns, stability and the pleasure of investing in a tangible asset that can be physically enjoyed. With a compound growth of 10%, the last 30 years are proof that fine wine is one of the best performing assets. It also outperforms other investments including gold, cars and jewellery.

But it’s not all about returns The events in the past several years – Covid, Brexit, the growth of cryptocurrency and climate concerns are all things that can cause swings in global markets. A resilient type of investment, fine wine is relatively detached from the daily news cycle.

This isn’t to say that fine wine is completely insulated from market risks, but different market dynamics provide a degree of separation from volatility in mainstream financial markets. In instances where fine wine is affected, it snaps back quickly. When the Covid-19 pandemic hit, fine wine’s downturn was much shorter and less severe than most.

An enjoyable past time What really sets fine wine apart from other investments is that it’s interesting. The world of wine is full of stories, flourishing history and rich culture to fascinate anyone. If that’s not your thing, there are the geographical elements of fine wine, the scientific properties and the culinary aspects.
Let’s not forget the simple pleasure of enjoying a glass with loved ones too. As wine continues to diversify and expand, investors will see more opportunities for continued
performance. The future looks bright for many areas of emerging wine regions due to quality improvement and distribution channels widenings.

A no-stress pursuit You don’t need a great understanding of fine wine to invest, especially if you enlist the help of a firm like Vintage Associates who will take care of your portfolio for you. We will help guide you through all of your options to build a diversified portfolio based on your preferences. You can be as hands on as you wish!