8 Tips for Investing in Wine

Good claret appreciates in value and investing in wine is much more interesting (and arguably less risky) than investing in shares.  Here are some really good tips for wine investment.

1. Buy wine 'in bond' so that you don't have to pay the Duty and the VAT up front.
2. Reckon on having your money tied up for five years, but be prepared to sell if your wine merchant recommends it.
3. Only buy full, sealed, wooden case lots and if it looks like a good vintage buy several.
4. Don't mess about with small amounts.  You'll need to invest £5,000 or more to get a decent return.
5. Always use a really good, well established wine merchant.  I use Berry Bros & Rudd and they've always looked after me.
6. If you really want to take a punt and make some serious returns, buy 'en primeur'.  This is when it's still in the barrel.  This is more of a gamble, but the price usually goes up once it's bottled, if not immediately, then it probably will in a year or so.
7. The big names in wine don't always make the best returns.  Very often, the minor chateaux have greater profit potential.
8. Unless you have the facility, make sure it's properly stored with a good merchant and make sure that it's insured for current market value.

And if it doesn't make a handsome profit, it doesn't matter - just drink it!