Wine - a pleasurable investment!

Most of us are probably used to drinking wine, but how many of us go any further? You might be surprised as investing in fine wine is more popular than you might think. Andrew Silk shares some of his tips for beginners to wine investing.

 

Where to start?

Like anything, do your research. Once you have done the basics, talk to an established wine merchant. They can point you in the right direction and advise you on the best types of wines to buy.  They can also arrange to store your wine for you as well.

Some top tips to help guide you

  • Check prices before you buy – an excellent reference is the London International Vintners Exchange at liv-ex.com
  • Buy the best wine you can afford and look at past performance
  • Buy from small producers with established reputations
  • Invest for the medium to long term – e.g. a minimum five year investment term
  • Make sure that you store and keep any wines you buy correctly, as this will help to enhance value over time
  • Consider the ‘tax benefits’ – HM Revenue considers wine to be a ‘wasting asset’ and as such it is exempt from capital gains tax on any profits made
  • Invest in wine you like - after all if it doesn’t make you money you can always…drink it!

Do you have any experience with investing in wine? Let us know by emailing your tips to news@oddfellows.co.uk.