Monday, September 29, 2008

Nervous Investors Turn To The Bottle

London's most famous wine merchant, Berry Bros. & Rudd, had one of the best weeks in its 310-year history.

At a time when global markets are tumbling, it seems as though investors are looking to put their money into safer forms of investment. For many, this translates to vintage wines.

BBR has sold around £60.5 million-worth of wine since April, it saw business surge by more than 20% over the same period last year.

It seems everyone selling bespoke wines are winning. Auction houses Christie's and Sotheby's (BID) also saw strong sales last week. Last week, Christie's sold £1.65 million worth of claret and Burgundy in just two days, with the 2000 vintage of Chateau Lafite-Roshchild fetching the equivalent of £910 a bottle.

London's Telegraph states: "Live-ex, a research company that runs a fine-wine index, estimates that prices of the best vintages have increased by 50% since the start of last year – in sharp contrast to the stock market, where prices have fallen by 15%."