News

The time to invest is now as Champagne releases see trade booming

13th October 2015


According to figures released last month by Liv-ex, the London-based provider of global fine wine market data, Champagne has replaced Burgundy as the third most traded regional wine in 2015. More than doubling its market share year-on-year to 6.6%, recent high levels of activity are said to be due to the release of some sparkling new vintages, and may represent the perfect investment opportunity.

The region accounted for 10.7% of all fine wine trade by value in September while the Champagne 50, a subset of the broad Liv-ex 1000 index, climbed by 1.3%. The month’s top performer was Louis Roederer’s 2004 Cristal, climbing 8.0% to £1,308 per case. However, with an abundance of releases declared back-to-back over the coming months, it’s the more recent vintages that are worth keeping an eye on.

The 2006 vintages from Dom Perignon and Taittinger came to market at £920 and £800 per case respectively – a similar level to recent vintages that have yet to appreciate on the secondary market. Supply of these fine wines is currently set to increase and according to critics, quality has not been sacrificed for quantity. Continued demand will naturally see supply fall and prices rise.

Clear evidence of appreciation can be seen amongst earlier Champagne vintages. Taittinger 1996, which enjoys the highest market price of all vintages produced by the house from 1995-2006, came to market at £630 per case in June 2003 and has since gained 200%, currently priced at £1,896. For many investors, the recent boom in Champagne sales may represent the classic “opportunity to wait”.

As for other regions, Bordeaux remains king with a whopping monthly share of 74% on average of all fine wine trade in 2015, while Italy comes second with 6.9% and Burgundy falls behind at only 6.2%. After closing unchanged in September, the Liv-ex 50 rose by 0.5% over the past week and Italy saw high levels of activity, taking 12.7% of all trade by value. Tignanello 2009 and Gaja Sori Tildin 2010 were amongst the most sought after Italian wines out of the 29 traded.

 

Have a browse of our extensive portfolio of Champagne wines, or contact one of our expert sales representatives for more information on making a sound investment.

Company registration number: 05496760 | Company VAT number: 978959226 | AWRS: XPAW00000102646