Fine Wine Investment Tips

Peter Shakeshaft - Vin-X blog In a week when a lot of people’s thoughts are geared towards the betting medium of the World Cup, Royal Ascot and Wimbledon how do we at Vin-X pick our winning investment wines and what are we tipping at the moment ? We are proud that in the last 3 years our client’s portfolios have outperformed their relevant market indices. We rely on fundamental market principles such as buying at the lowest possible price which sounds obvious but isn’t always easy. We do not follow the herd and fortunately we do not have to buy en primeur if we think the price is too high. Similarly we are not afraid to advise clients to sell if the market has peaked or if we feel they could get better performance from a different wine.

John McCririck in top hat at Royal AscotWe believe that a fine wine portfolio should have a core of wine from Bordeaux but we have also advised clients to buy Rhone, Champagne, Super Tuscans and Vega Sicilia to achieve diversification in their portfolios. We stick to established First/Second Growth wines or equivalent that are of acknowledged investment grade (i.e. 95 Parker points or above), have an active secondary market and we feel have the potential to increase in price over our minimum investment term of 3 – 5 years. We particularly look at performance fundamentals where we believe a wine is underpriced comparable to an equivalent vintage. Finally we consider the fundamentals of the brand itself and how the owner markets and promotes their own wine globally.

The four wines that we are currently recommending at the moment are scored at 97 points at least and we believe are great additions to any portfolio:

  1. The 2004 Dom Perignon has perfect provenance and a very competitive price and like the 1996 Dom Perignon is owned by the luxury goods giant LVMH. The latter has very limited availability so is highly collectable.
  2. 2012 Mouton-Rothschild is from one of the best value vintages of recent years, possibly the best wine in the Medoc that year, close to the best price for a First Growth currently and owned by one of the world’s shrewdest banking dynasties.
  3. Finally 2000 Ausone, the top wine of St Emilion, and one of the best ever made. With 1,000 cases produced annually there is limited supply and it is very collectable. Again we have the best price in the market.

Please call your broker if you would like to receive further information on any of these wines.