Fine time for vintage wine

Demand for rare and fine wines appears to be high with the auction house Bonham’s reporting record sales for famous brand wines last month.

Vintage Champagne also appears to have weathered the markets; the Liv-Ex Champagne 25 index, which tracks the price of 25 of the top vintage Champagnes has risen 27% in the past year.

The trend for investing in wine began in the early 1990s, when investors saw an opportunity to combine the potential for profit with the pleasure of investing in an asset class they might enjoy. Interest in wine as an asset class has continued to grow, and this year all the main auction houses are busy with a number of sales planned for rare and fine wines over the coming months.

However, as with any investment prices can go down as well as up, and investing in wine is certainly not without risk. If you are considering adding fine wine to your portfolio, it is advisable to seek specialist advice to ensure you avoid common pitfalls.