Many wine lovers dream of watching their collection of fine wine slowly maturing and increasing in value. While investing in wine can be fun and rewarding, there are plenty of pitfalls too. Caveat emptor.
The traditional way to invest was through the Bordeaux en primeur market. Every spring the major châteaux offer their as-yet-unbottled wine, which importers then offer on to their customers. At this stage you only pay for the wine; VAT, duty and shipping charges fall due when the wine is brought into the country 18 months later. If you have chosen well, your wine may already have increased in value by the time it arrives. If you haven’t, your wine might be worth the same or less five years later. Some canny consumers manage to drink for free by selling off part of their purchase a few years down the line. Bordeaux is not the only market; in recent years some investors have started to buy into Burgundy and Champagne in France, Barolo and Super Tuscans in Italy and the top wines of Spain.
If you intend selling your wine at a later date, you will need to store it in a professional air-conditioned cellar and have it insured. This is not cheap and can wipe out any annual gains in value. A number of wine Irish merchants offer en primeur. It is worth getting on their mailing lists and comparing prices before buying.
As with any investment though, you need to understand the market. This requires an understanding of the vintages, the individual properties, critics’ scores and market trends. You need to be able to hold on to your wine and sell only when the market dictates. While Bordeaux and other fine wines have shown good returns in the past, there is no guarantee that this will continue in the future. At the moment, there is a glut of fine wine in Bordeaux and the 2025 en primeur campaign was not a success.
Generally, the top properties perform best, especially in the finest vintages. Wines that offer great value often don’t increase in price; these are wines to drink rather than invest in. Wine is a tangible physical asset, and generally weathers stock market changes well so your wine is unlikely to be worthless. However, to sell you will need to go through a broker, wine merchant or auction house, all of whom will want a commission. If you are unhappy with the prices offered, you do always have the option of drinking your investment. Wine is not really meant to be an object of speculation but a delicious drink to enjoy with friends and family.
