Wine can be a luxury product as well as a consumer good. However, some bottles may prove more profitable than others in your portfolio. Investing in the fine wine market can be a great way to diversify your portfolio and add a market hedge.
Although there are some quantitative aspects to wine investing, the most important aspect is the quality of the wine. However, not all fine wines are investment-worthy–few wines have the longevity to age for many decades and also taste good. Quality is key for long-term investors. The best investment wines can last well past their drink-by dates. If you are feeling confused while making a wine investment, then you must seek professional advice via rekolt.io/invest-in-wine/bordeaux.
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Wine bottles that can last up to the intended drinking date are the best investments. Before wine can be considered investment-worthy, it must be age-worthy. Wines with high levels of acidity or tannins will have the longest life span. These properties are mostly due to the grape species used, which is why red wines age faster than white wines.
Investors are very concerned about how long a wine will stay good. However, they also need to know the age of the bottle and the wine within it. Most investors' wines begin appreciating in value ten years after bottling and they tend to peak after 25 years. While some can last even longer, investors look at where wine has been as an indicator of where it's going.