Wine Basics
Wine Investing
Apr 24, 2025
What is En Primeur?
What is En Primeur?
En Primeur, or “wine futures,” is a method of purchasing wine before it is bottled and released to the broader market. This practice is most commonly associated with the prestigious Bordeaux region but has also become significant in Burgundy, the Rhône Valley, and other renowned wine-producing areas. En Primeur offers investors and collectors the opportunity to secure allocations of sought-after vintages directly from top estates at an early stage, typically while the wine is still maturing in barrels.
The En Primeur campaign generally begins each spring following the previous year’s harvest. During this period, winemakers invite critics, merchants, and investors to exclusive tastings of barrel samples. Based on these early impressions, critics provide influential ratings, which heavily influence market perception and pricing.
Financial Dynamics of En Primeur Purchases
The En Primeur system allows buyers to pay for wine long before physical delivery, which typically occurs 18 to 24 months later. In theory, early access to high-demand wines at initial release prices presents a compelling investment opportunity. Buyers lock in their allocations at a set price and benefit from the potential for capital appreciation as the wine matures and enters the broader market.
However, this model also entails financial risk. Because investors are purchasing an unfinished product, there is an inherent degree of uncertainty regarding the final quality and market demand at the time of delivery. Additionally, En Primeur pricing has become increasingly contentious, particularly within the Bordeaux market.
The Issue of Bordeaux Overpricing
Recent En Primeur campaigns in Bordeaux have highlighted concerns about inflated release prices. Estates in top appellations have adopted more aggressive pricing strategies, which, in many cases, have exceeded the expectations of both the trade and consumers. The 2022 vintage, for example, saw several high-profile Châteaux release their wines at prices significantly above historical norms. While some of these price increases were attributed to inflation, rising production costs, and strong critical acclaim, they have led to debates regarding whether En Primeur still offers true value for investors.
In some cases, the market reaction to these elevated prices has been lukewarm. Wines that initially sold well in barrel have struggled to sustain their premium valuations once bottled, raising concerns about diminishing returns for En Primeur buyers. Moreover, as global demand shifts and alternative fine wine regions grow in prominence, the traditional dominance of Bordeaux within the En Primeur market may face new challenges.
Strategic Considerations for En Primeur Investment
Given the volatility and recent pricing trends, prospective En Primeur investors must adopt a strategic approach. Key considerations include:
Market Research: Investors should closely monitor critical reviews, past performance of specific estates, and macroeconomic factors influencing fine wine demand.
Diversification: While Bordeaux remains a cornerstone of the En Primeur market, considering allocations from emerging regions or undervalued Châteaux may offer better value.
Exit Strategy: A clear timeline for holding and selling the wine is essential to maximise potential returns and mitigate risks.
Quality Versus Speculation: Focus on securing wines from vintages and producers with a proven track record rather than pursuing speculative trends driven solely by hype.
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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.
