Thought splashing out on a well-aged bottle of wine was a luxury reserved for special occasions? Think again! Sure, uncorking a vintage gem is a wonderful way to celebrate- however the savvy businesspeople of the world also know that fine wine can be a fantastic investment idea. Why? Read on for our list of four reasons why fine wine is always a worthwhile venture.
Luxury palates of the Far East
While Europe may still be feeling the aftermath of the credit crunch, the upper class Middle East demographic has a healthy appetite for the fine things in life. Unsurprisingly, this includes fine wine!
Cheers to China
Another market that’s guaranteed to be enamoured by fine wine collections is China. Despite changing economic conditions, the nation’s well-heeled consumers retain their appetite for luxury goods. Avery Booker, partner at China Luxury Advisors explains, “The stock market fluctuations are unlikely to have a significant impact on luxury consumption. Chinese consumers generally see the Chinese stock market as a casino, and don’t adjust their purchases of consumer goods based on its ups and downs.” Wealth-X’s Mr Friedman agrees, stating, “For the ultra-affluent Chinese consumer, these market gyrations combined with the geo-political uncertainties have accelerated the push to extricate their currency from the Chinese economy. This will mostly manifest itself in luxury residential real estate but that impulse will spill over into other luxury purchases as well.”
UK ups its security ante
In 2011 The Telegraph reported that “Fine wine investment fraud is the latest in a long list of scams and frauds costing UK consumers over £38bn a year, according to the National Fraud Authority.” A lot has changed in the past four years. Today there are stringent measures in place to prevent fraud which means fine wine investors enjoy augmented peace of mind that their assets are genuine.
An investment that gets better with age
When it comes to wine, the older the better. Unlike other assets that deteriorate in value with age, you can rest assured that mature wine simply gets more valuable with time.
Have you got a collection of fine wine just waiting to be appraised? Why not get in touch with one of our expert vino valuers for a quote on how much cash your inventory could secure? From single bottles to expansive collections, we’ll toast to everything from Lafite Rothschild, Latour, Leoville Las Cases, Petrus from Pomerol, Margaux, Talbot, Haut Brion, Palmer, Ch. d’Yquem, Penfolds Grange, Screaming Eagle and many more. If you’re thinking of taking out a personal loan on a fine wine collection, get in touch with Prestige Pawnbrokers today.