Rare Luxury Wines – Investing in Status
Gone are the days where a Hugo Boss suit and Rolex timepiece would propel your perception in the public eye. Even a Ferrari in the garage no longer carries as much status as it once did; however, top class luxury wines are slowly becoming a status symbol for the wealthy and prosperous.
Nowadays the big names such as Chateau Lafite Rothschild, Petrus, Latour, Haut Brion and even Domaine de la Romanee Conti must be on the shelves, or ideally, safely stored in the wine cellar. There is a certain status attached with the ownership of such esteemed wines, a status symbol reserved for the elite; and one simply cannot do without such prestigious stock in one’s personal collection.
A notable difference to the aforementioned luxury goods is that fine wines have established themselves as a profitable investment asset. Because these premier wines are a decadent drink, every bottle that is opened increases the rarity factor of the remaining stock. There is only a finite number of every single stock and vintage; a figure that is only going one way, unlike the rarity factor and demand, which is increasing accordingly.
For example, in certain cases, it’s not even about whether the millionaire can afford to buy the prestigious case of Chateau Le Pin 1982 (current market value at over EUR 70,000; Feb. 2014). Instead it’s about whether this particular millionaire can get his hands on such a case as they have become so rare and high in demand.
Investors in blue-chip wines are already aware of the status that comes with the possession of these elite stocks. The rich and prosperous are slowly realising the investment potential in luxury fine wines, alongside the added status and high regard due to ownership. Fine wines are truly a luxury investment; as the old saying goes, it takes money to make money.
Bordeaux Traders - The Fine Wine Investment Brokerage GmbH
Kaerntner Ring 5-7, 1010 Vienna
Phone: +43 1 20511 60 1241
Fax: +43 1 20511 60 1008