In a year where one would naturally think there hasn’t been much to pop a cork about the Champagne market is fizzing, as a result the Liv-ex Champagne 50 is the top performing regional index seeing a 5% growth trend YTD at the end of September 2020.
This time of year merchants are generally fielding orders for the festive season’s fizz – 2020 is a less predictable year, but whether we are celebrating in a bubble or not there will be bubbles and especially for fine wine investors and collectors.
Rare, vintage Champagne with excellent brand profile, quality and an active secondary market are delivering strong growth performance. According to Liv-ex, Champagne now accounts for £4million of live trades on the exchange and the region’s market share stood at 18.7% in the last week of September, having more than doubled from the previous week from 9.2%.
As the nationwide Covid Lockdown started to ease in June, Champagne popped its cork with key brands rated as the top market movers on Liv-ex; Dom Perignon, Pol Roger Sir Winston Churchill and Louis Roederer Cristal vintages seeing at least 10% price growth in that month alone:
Liv-ex Top Five Market Movers June 2020:
|Champagne||Moet & Chandon, Dom Perignon Rose||2006||£1,903||£2,126||11.7%|
|Champagne||Pol Roger, Sir Winston Churchill||2002||£1,575||£1,738||10.3%|
|Champagne||Louis Roederer, Cristal||2005||£1,280||£1,410||10.2%|
|Champagne||Louis Roederer, Cristal||2004||£1,730||£1,894||9.5%|
|Champagne||Moet & Chandon, Dom Perignon Rose||2003||£1,140||£1,230||7.9%|
Source: Liv-ex.com July 2020
Champagne has continued to please investors and collectors with some key releases and most recently the 98-point Taittinger 2008 Comtes de Champagne in September, which expert critic, Antonio Galloni, rated as his top-scoring release in 2020 with this being the last of the great 2008 Champagne vintage wines to hit the market in a year where the region has been the key focus for fine wine investors.
Within a week of release, the Taittinger Comtes de Champagne 2008 (at £1,070 per 12×75), traded at a 28.6% premium to its opening price. The Wine Advocate’s William Kelley noted that this wine “will be worth a special effort to track down” and suggested that “this is the finest Comtes de Champagne since the brilliant 2002”, which currently commands a Market Price of £1,996 per case on Liv-ex.
Antonio Galloni’s top-scoring Champagne releases in 2020:
|Wine name||Vintage||Score (Antonio Galloni)|
|Taittinger, Comtes de Champagne||2008||98+|
|Barons Rothschild, Blanc de Blancs Vintage||2010||97|
|Billecart-Salmon, Cuvee Nicolas Francois||2006||97|
|Henri Giraud, Argonne||2012||97|
|Bollinger, Nalnc de Noirs Vielies Vignes Francaises||2009||96+|
|Bollinger, Brut Rose La Grande Annee||2012||96|
|Billecart-Salmon, Cuvee Nicolas Francois Billecart||2002||96|
|Laurent-Perrier, Brut Grand Cuvee Grand Siecle No.25||NV||96|
Source: Liv-ex.com 30 September 2020
Fine wine offers an important means to diversify an investment portfolio and with the current economic recession calling to question all financial investments, it’s important to look to alternative markets to help protect your assets, deliver growth and manage risk. Champagne offers an attractive entry point into a market that is delivering stable growth during the worst recession on record.