Wine Investment – How to Invest in Wine?

Club-Etoile

Do you know that, Wine is the Asset Class? You can Invest In Wine also. Wine Investment is an exotic Investment. You can Invest in Wine for higher profits on Investments.

For a Common & Financially illiterate people there are only 5 Assets for Investments – Stocks, Bonds, Gold, Real Estate & Mutual Funds.

But for Rich & Financially literate people, The Sky is the Limit. Rich Invest in Wine, Art, Rare paintings, Portraits & Cricket Teams………….

So Today we will discuss something about Wine Investments.

Club Etoile is a private members club for those who appreciate fine wine and its investment potential.

Business Tycoons from various Business background Invest in Wines for a particular period of time & on Maturity of that Wine they exit from that Investment for higher profits.

The Fine Wine Market shifted from an emerging market in the 1980s to an established investment market in the 1990s.

In the past decade Wine Investors have seen massive growth in fine wine consumption in new markets on all continents. Fine Wine now also attracts the attention of sophisticated international investors who come to appreciate that this market of sustained growth, coupled with the limited and decreasing nature of the commodity, provides opportunities for the realization of above average financial returns.

Over several periods economic trend analysis, fine wine is shown to be relatively non-correlated to traditional investment markets.

In ties of prosperity, high fine wine consumption increases demand and reduces supply of the best investment grade wines.

In more difficult periods of equity market performance, Say for Example following the recent (2007) Credit Squeeze, The Live-ex 100 fine wine Index is up by 50.3% year-on-year.

All over the world now, a wine collection is regarded as a desirable, even expected, accoutrement to financial success, just like membership of the right golf club or investment in significant real estate.

New interest from Asia, Russia & increasingly from Latin America has put extraordinary pressure on prices of the traditional trophy wines.

If we compare the Live-ex Fine Wine Index with FTSE 100 Index than,

during 2000-2003, During the Dot-com bubble burst, USA Terrorist Attacks when the Equity market fall, the Fine Wine Index out performed than the any other Investments.

Even during the Current Recession (2008), Fine Wine Index is outperforming the Equity Indices.

So This is all about Wine Investments. For Investments in such Exotic Asset Classes, you should have a sufficient fund as well as higher Financial IQ. Otherwise these type of Investments may prove risky for you…….!!!!!!!!