When investing in wine it is important to understand how it reacts in different market situations. Historically wine has lagged the larger markets movements, causing it to be much less volatile and sometimes to have almost limited downside during a market correction.
Fine wine vs Stock Markets
In the chart above you can see that wine’s correlation to other asset classes is almost non existent. This asset classes unique qualities allow it to be one of the most Market Neutral alternative investments that exists.
Fine wine has been THE BEST PERFORMING asset over the last 12 months. Just look at this chart below.
Wine Investment Chart Fine Wine vs SP500 (source Liv-ex)
Wine is a stable investment that outperforms specifically during times of high volatility and intense market uncertainty. As you can see above, it has significantly outperformed the S&P 500 index over the last year.
Fine wine has steadily increased in value since May 21 where the S&P 500 and almost every other high yield asset has plummeted in value. Liquidity is high, values are rising, scarcity is growing, and demand is growing… A perfect combination of positive indicators that wine is only going up from here!
When thinking about alternative assets it is easy to think they are all made equal. But they are not. Wine is a much better alternative asset than Bitcoin when trying to hedge against Stock market downturns.
(Wine, Oil, Bitcoin Comparison)
Wine is scarce, demanded, and has utility making it an absolute necessity to have in your portfolio for the next decade. And while wine and oil share many characteristics…
Wine Investment Chart Fine Wine vs Oil (source Liv-ex)
Over the last 12 years Wine has gained almost 10% per year while oil has many peaks and valleys.
Wine Returns vs Alternatives (source: Liv-ex)
Wine is one of the least volatile and highest performing assets to ever exist. The best way to get safe and secure exposure to the wine investment market is through WiV Technology.
Offering an array of wine products, WiV allows its investors to select unique wines that can be bought directly as an NFT, safely secured in a bonded warehouse. Additionally, WiV will be offering a new token called the WIVX token which will track a bundle of the BEST wine assets, offering passive exposure to the industry for investors.
Click here for more information about WIVX Fund.