Matthew O'Connell Discusses Wine Investment at Bordeaux Index
Bordeaux Index Leads the Global Fine Wine Market
In the world of fine wine, Bordeaux is the main focus for the year, with potential for Bordeaux and Burgundy wines. This assertion comes from Bordeaux Index, the largest global trader of fine wine, which operates in the UK, Asia, and the US.
Bordeaux Index sources specific wines to optimize collections or investment portfolios. Their selection includes the world's best and even rare wines, catering to a wide range of collectors, from enthusiasts to institutional investors.
The company's unique selling proposition lies in its seamless integration of secure, high-quality wine storage with an innovative marketplace called LiveTrade. This platform allows clients to buy and sell fine wines instantly and transparently directly from Bordeaux Index storage.
LiveTrade offers real-time trading with transparent pricing, competitive bidding, and near-instant settlement. It trades the most active 500 wines, providing liquidity for collectors and investors by eliminating typical delays and shipping risks while giving complete visibility and effortless access to the global market.
Bordeaux Index's world-class storage facilities ensure proper conditions to preserve and add value to wine collections. Their expert account managers assist clients in identifying investment opportunities and securing exclusive stock. They handle all logistics related to wine transfer, authentication, insurance, and portfolio management for a hassle-free experience.
The company serves a broad international clientele with one of the largest customer reserve holdings globally, making it trusted by thousands of collectors and investors across over 70 countries.
During the pandemic, wine was stable, with a 1% increase across the year and very little volatility. Notably, trading activity for Bordeaux and Burgundy wines is sky-high, with a 25% increase in value traded.
Matthew O'Connell, the head of investment at Bordeaux Index, has helped shape some of the most valuable private wine collections in the world. He has a background as a Goldman Sachs investment banker and a personal wine collection focused on Burgundy, Champagne, and the Northern Rhône.
Wine is not just a luxury item but also a reliable asset for investment. It has a long-proven track record of superior performance, outperforming equities, bonds, gold, and oil over the last three decades. The 1996, 1998, and 2000 vintages of Bordeaux wines are likely to perform particularly well in an investment context.
Investing in wine offers a good alternative during volatile financial markets due to its very low correlation with other assets. Bordeaux wines are underpriced compared to their intrinsic quality, critic scores, and ultimate market demand, making them an attractive investment opportunity.
[1] Bordeaux Index, "About Us," www.bordeauxindex.com/about-us
[3] Bordeaux Index, "Market Insight: Tuscany," www.bordeauxindex.com/news/market-insight-tuscany
- Technology has revolutionized the fine wine market, with Bordeaux Index integrating secure storage and an innovative online marketplace (LiveTrade) for immediate, transparent wine trading.
- As a global leader in the fashion of fine wine, Bordeaux Index provides access to the world's most desirable and rare wines, catering to discerning collectors spanning various investment levels.
- Art aficionados and lifestyle enthusiasts seeking a unique investment opportunity might find appeal in fine wines, as they have outperformed equities, bonds, gold, and oil over the past three decades, with specific vintages like the 1996, 1998, and 2000 Bordeaux wines promising particular value.
- Aspiring sports investors could consider the global fine wine market, as it offers a stable asset class with low correlation to other assets, providing protection during volatile financial markets. Bordeaux wines, in particular, are believed to be underpriced compared to their quality and market demand.
- As travel resumes worldwide, luxury enthusiasts might want to explore wine-tasting tours, uncovering the artistry behind the world's most esteemed vineyards, connecting fashion, art, dining, and lifestyle in a truly unique experience.
