Wine Basics
Wine Investing
Apr 24, 2025
Investing in Fine Wine: Why Now?
If you are taking a step back after a period of Christmas over-indulgence, you may be wondering how else you can be involved in the wine world this month.
Instead of spending money on wine to drink, why not think about investing this year?
This newsletter will highlight the key reasons to invest in fine wine, and why now is the perfect time to get involved.
Introduction
The fine wine market exhibits classic supply and demand dynamics. There are a limited number of ”blue chip” producers, across a handful of top wine regions.
Only a finite number of bottles can be produced by each winery every year, the quality of which varies from vintage to vintage.
As the wines improve with age and bottles are consumed or damaged, they become increasingly scarce.
At the same time, as global wealth increases, so too does demand for high end wine.
This combination of ever-increasing scarcity and growing demand helps drive prices higher.
Why Now?
Strategic Entry Points
The fine wine market has seen significant corrections over the past 18 months as seen in the performance graph above, this has created a favourable entry point for investors seeking premium wines at adjusted prices.
Following almost 20 years of appreciation, now is the first time that investors can acquire blue-chip wines below their fair market value.
Historical patterns suggest that these prestigious regions tend to recover strongly after corrections, presenting potential for long-term gains.
Stabilising Prices
Recent data shows an increase in the proportion of wines maintaining stable prices—from 27.8% in Q2 to 37.0% in Q4 2024—indicating that price volatility is easing and that the market is returning to normality.
Growth Potential in Emerging and Resilient Regions
Regions like Tuscany and Piedmont have demonstrated resilience due to strong collector demand. Italian wines such as Barolo and Barbaresco are increasingly viewed as value-driven alternatives to Burgundy, gaining attention for their aging potential and relative affordability.
Champagne, with its strong cultural association with luxury and celebration, experienced a relatively moderate Q4 decline (-2.73%) and remains well-positioned for renewed demand as consumers return to luxury spending.
Why Wine?
Performance: Fine wine has outperformed many mainstream asset classes over multiple time horizons. Despite a recent correction, wine has still significantly outperformed The FTSE 100 over the past 10 years, along with Bonds and Gold.
Risk- Adjusted Returns: The ‘Sharpe Ratio’ is a measure of an investment’s risk-adjusted performance, with a higher number being better. On this basis, fine wine performs favourably versus traditional asset classes over multiple time horizons.
Uncorrelated: Fine wine is uncorrelated to traditional asset classes, making it an attractive diversified.
Volatility: Wine exhibits lower volatility than many mainstream asset classes.
Our Solution
At WineFi, we run thematic investment syndicates to allow investment in a tax-efficient, diversified portfolio at a fraction of the cost of owning the underlying assets outright.
The Benefits
Lower minimum investment requirements
Increased diversification across multiple bottles and vintages
Use of WineFi’s data expertise and sourcing channels
Capital Gains Tax Exempt
Learn More and Invest
Due to investor demand, we have opened a second tranche of our most recent collection, The Italian Syndicate — offering access to fine wines from Tuscany and Piedmont.
To view The Italian Syndicate Investment Overview: https://winefi.fillout.com/ItalianSyndicate
To Invest from £3,000: https://winefi.fillout.com/ItalianSyndicateCommitment
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Wine Basics
Wine Investing
10 Aug 2025
When is the Best Time to Invest in Fine Wine?
The fine wine market has always been a blend of passion and performance. For some, the allure lies in the artistry of the vineyard; for others, it’s the steady, tangible returns that make fine wine a compelling alternative asset.
But here’s the perennial question for investors: when is the right time to invest?
In our latest analysis at WineFi, we examined one of the most sought-after segments of the market—red Burgundy—to see how timing influences returns. We compared all red Burgundy wines in our investment universe to the Liv-ex Burgundy 150 index, the sector’s benchmark, and looked for patterns that could guide smarter entry and exit strategies.
The Findings at a Glance
Our data paints a clear picture of how red Burgundy performs at different stages of its lifecycle:
🚫 Don’t buy on release – On average, red Burgundy underperforms its benchmark in the first few years after release. That means paying top prices straight out of the gate often isn’t the best move for returns-focused investors.
🎯 Sweet spot: Year 6 – Performance begins to accelerate around the sixth year—coinciding with the median start of the wine’s drinking window. From here, returns tend to outpace the benchmark.
📈 Outperformance window: Years 6–25 – During this period, red Burgundy has historically delivered impressive relative gains. By year 25, the mean return in our dataset was 1.8x higher than the benchmark.
⚠️ After year 25: A trickier game – Performance tends to plateau, and volatility increases. As bottles become rarer and more valuable, prices can swing sharply in either direction. This aligns with the median end of red Burgundy’s drinking window, when investment and consumption dynamics shift.
Why This Matters for Investors
Fine wine, unlike many asset classes, is both finite and consumable. Every bottle opened reduces supply, creating scarcity—but also introducing unpredictability as remaining stock becomes fragmented across cellars worldwide.
By aligning purchases with a wine’s drinking window, investors can:
Maximise potential upside by entering when market demand is strengthening.
Reduce downside risk by avoiding the softer performance often seen in the early years.
Plan exits strategically before volatility overtakes predictable growth.
The Limits (and Power) of the Data
While this study looks at the mean performance of all red Burgundy wines in our universe, individual results will vary significantly by producer, vintage, and even format (bottle size). Legendary producers like Domaine de la Romanée-Conti may defy these trends altogether, while lesser-known estates might follow them more closely.
Still, using drinking windows as a timing tool offers a practical framework for making better-informed decisions—especially for investors building diversified portfolios across regions and styles.
Final Pour
The data tells us that patience pays in fine wine investment—particularly in Burgundy. If you can resist the urge to buy on release and instead enter around year six, history suggests you’ll be swimming with the current rather than against it.
In fine wine, as in life, timing is everything. And for Burgundy lovers, that sixth-year mark might just be the moment when the stars—and the corks—align.
Wine Basics
Wine Investing
14 Jul 2025
WineFi Q2 2025 Quarterly Report
In Q2 2025, we have seen a stabilisation in wine market prices. In this quarterly report we dive into this finding to understand how list prices compare to trade prices, along with macro-analysis and regional comparisons.
In this edition, we explore:
🏦 Macroeconomic Analysis and the Effect on Wine Markets
📈 How Wine Compares to Other Assets
⚖️ Wine Market Stabilisation?
🔀 List Prices vs Trade Prices
🌍 Regional Performance Breakdown
Wine Basics
Wine Investing
24 Apr 2025
WineFi Q1 2025 Quarterly Report
We’re pleased to share our Q1 2025 Quarterly Report, offering a concise, data-driven overview of fine wine’s performance in the first quarter of the year. As macroeconomic pressures persist and traditional markets continue to fluctuate, fine wine’s role as an alternative asset class remains in sharp focus.
In this edition, we explore:
🏦 Macroeconomic Analysis and the Effect on Wine Markets
📈 How Wine Compares to Other Assets
⚖️ Wine Market Stabilisation?
🌍 Regional Performance Breakdown
