The fine wine market, like much of the world around us, continues to navigate a period of tension and uncertainty. Geopolitical instability and erratic political decision-making have created a climate of caution – if not paralysis – for investors. We’re frequently asked where this is all heading for the wine world. To address the reality head-on, it is worth mentioning that many châteaux will shortly face significant cash flow issues, given poor (if any) recent sales. Times are really tough for them, compounded in some regions by recent vintages where Mother Nature has complicated things significantly.
Paradoxically, we’re seeing growing interest in traceable wine collections from Americans, seeking to redirect investments into Europe as well as towards private assets with proven track record. The case for building a euro-indexed collection, protected by our Swiss security IoB™ framework, has never been stronger. In the context of both de-dollarisation and growing concerns over the UK’s economic fragility, this strategy offers not only today’s protection, but long-term defensive value.
History reminds us that opportunity rarely waits for consensus. While some remain on the sidelines, others – with both the conviction and the liquidity to act – are quietly building exceptional cellars, capitalising on prices for 10 year-old wines that we’ve not seen since 2018. Our experience indicates that this window might nevertheless prove to be narrow. The small stocks of top Burgundy with a few years’ age that are beginning to emerge straight from domains are far from limitless. And in Bordeaux, despite the cash crisis, top châteaux religiously maintain a hefty ex-château premium on mature icons – such as Mouton 1982. The 2016 vintage being our 21st century “1982″, this is good news in the long run for anyone taking advantage of current pricing on 2016s today.
1275’s philosophy for building legacy collections remains truer than ever: buy Time – time for these extraordinary wines to mature in optimum conditions and to rarify – and in times like these, buy back the years you might have missed. We’ve recently been able to access wines with a decade of ageing (2015, 2016), and we expect we’ll soon see more attractive pricing on older ex-château vintages such as 2009, 2005, and 2000. Yes, the wine market is cyclical – but timeless wines that are sourced and stored properly will endure.
We expect a busy summer as we continue making the most of these current opportunities – not only in Bordeaux, but also through our expanding allocations of investment-grade treasures from Burgundy and Piedmont. Whether you’re looking to start a collection, diversify your portfolio, or simply seek to enjoy great wines with confidence – this is one of those moments where acting with clarity and purpose will reward handsomely in the future. As ever, 1275 is here to advise you with expertise, rigour and independence.