Angelus vintages benefiting investors with prices at all time highs

Well into August as we are when, let’s face it, things can go a bit quiet, the mid-summer rise of Liv-ex’s indices shows no sigh of abating. The benchmark Liv-ex 100 went up for an eighth consecutive month in July (increasing by a healthy 3.6% while Liv-ex 1000 was up by a similar amount), but it was Liv-ex 50 that headed north by the most – a whopping 5.4%. And the graph’s continued climb in August for that particular index is also encouraging.

The first week of August’s rise was 0.6% up on the previous one, and Monday 8th saw another nudge upwards of nearly half a per cent to 311. This is the highest level since September 2013, and reinforces the notion that Liv-ex’s indices are, as Peter Shakeshaft noted a fortnight ago, heading in the right direction. The five-year high of August 2011 (445.56) may be some way off, but the low last November of 261.37 looks well behind us. 

Pleasingly, the Right Bank 100 index hit an all-time high last month of 236.19, helped by new top prices for both the 2009 and 2010 vintages of Angelus. Both were upgraded 12 months ago to 99+ points from Robert Parker, and both have been increasing in value considerably in recent months. The respective new latest trades for the St-Emilion jewel are £2900 and £2802 per case, the latter up 12% from April and the former up 8.5% from June. The Angelus 2010’s lowest trade price (£1989 in June 2014) was 40% lower than its current value. Those who were savvy enough to buy then have reason to be cheerful, even if they got lucky with a Parker re-score. Incidentally, Angelus 2001 and 2004 also hit all-time highs in July, although the 2005, a 100-pointer, was last traded at £250 below its peak of £3,700.

Recent rises in trades for other investment wines makes for interesting reading. Margaux 2010 saw a 10% increase between June and July, while Latour 2003 was up 9.6%. Opus One 2012 also fared well, rising by 9.9%, as did Cos d’Estournel (up by 8.7%), but top Burgundies generally fell, with Armand Rousseau, Chambertin 2010 sliding 9.8%. Likewise, Penfolds Grange 2009 was down 4.1%.  The Rest of the World index is still, however, the best performer in terms of percentage increase since the market peak in July 2011.

Plenty of food for thought then. What is clear, though, is that Bordeaux, both for volume and value, is on the march again. And investors may want to alter their weighting as a result.