Frugal Living

Start Looking At Wine As A Delicious Investment Opportunity

We’ve all heard about stocks and gold investing. However, wine is becoming one of the hottest investment opportunities out there. If you’re not familiar with this type of investment, it’s time to settle in. We’re going to go over all the details below so you can get started investing in wine today.

One of the biggest misconceptions about wine investing is that you have to be an expert in wine to turn a profit. The truth is that any individual who has some funds and time to invest in learning the right knowledge about wine can seek this investment route and make it profitable. Understanding the basics of what makes wine valuable is a must when you first start.

How to Store Your Investment Wine

In most cases, you won’t have a private cellar devoted to storing the many cases of wine that you buy. Instead, there are off-site climate controlled wine storage units available for rent. These will ensure that your wine is kept in prime condition for when you go to resell them. It’s a great idea to be sure to include the cost of the wine storage over the period that you plan on hanging onto your investment so you don’t end up losing money in the long run.

Biggest Factors That Influence Value

The value of a bottle of wine is going to vary depending on several factors. It’s safe to say that one bottle of wine isn’t going to cost the same as another. Vintage is a big influencer when it comes to wine value. The rarer the vintage, the more sought after it is by wine lovers.

The region the wine is produced in plays a role in its overall value. Regions that are highly known to produce good vintages of wine are going to bring in a higher value than regions less known for good wine. The most commonly sought after regions for wine vintages are Bordeaux, Burgundy, Napa Valley, and Tuscany. These are going to be the cream of the crop when it comes to wine investing.

Where to Purchase Wine?

Unless you plan on becoming a professional wine trader, you’re going to be purchasing your wine from a private wholesale. These wholesalers, also called retailers and distributors, are available to private investors who want to buy and sell wine on the open marketplace. Once you get more into investing your money into fine wines, you can look into private auctions and fine wine merchants for your supply.

When it comes time to purchase the wine of your choice, you will likely be given the option to buy a case or a single bottle. In most instances, a case will bring you higher returns later on when you go to

sell back your investment on the market. Only in a few very rare cases will one bottle alone sell for a high price. This only happens when there are only a few bottles in circulation. So, be sure to set enough funds aside to purchase wine by the case when you’re investing.

Investing in wine is not a new concept. Rather, it’s just becoming more popular than ever before. More average individuals are looking for ways to diversify their earnings to turn a profit in the future. Wine investing can be a great way to help spread out your investment portfolio and have some fun learning about fine wine in the process.

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