Wine investment is not really a common way in making a good return for some people. In fact, some others consider this as a risky step to make a return. Well, this may not be the most attractive way of making an investment but this would certainly guarantee you several benefits that you can never really imagine.
According to some marketing and business experts, wine has become a hit investment when the 20th century started. However, the question is, is this a realistic investment where we can get realistic profits? Let us read further.
The most sought-after wines are a good kind of investment because it is a solid, alternative asset and would never depreciate through time. Wines are also tradeable not just in the country but all over the world. Plus, this is not a subject of capital gains tax because this item is a perishable one unless if you are trading the wine regularly. Aside from making money out of this, you will also enjoy collecting and learning about the types of wine.
How much would it cost you to invest in wines?
This kind of investment is typically for the elite. This is a hobby more than just a business idea. Now, the cost on this investment depends on the type of wine you buy. The price range from locations, age of the wine as well. Naturally, a case of wine cost a few hundred pounds. However, if you prefer a differentiated portfolio, then you may cost you tens of thousands pound. As it has been said, if you feel it is really a weighty risk to take, then you need to strategize and balance the case. Never put all your money to something you are very uncertain of unless if you feel joy in doing so.
What are the ways to invest in wines?
Of course, how to invest in wine is the most basic questions to begin with. Thus, we have listed the three specific ways on how to invest in wine:
- Use wine funds.
There are several wine investment schemes which provide you a hassle-free wine investment processes. This will additionally free you from any biases from wine merchants. The good thing about this is that, wine funds do not give you a direct investment. Meaning, you do not own the wine but you are only trading on the value of the market.
- Get a wine merchant.
A wine merchant is someone who can help you supply the type of wines you are going to invest in. Thus, you should meticulously find the right option for you. Make sure that the wine merchant you select is reputable and established. Bear in your mind that wine investment is not regulated. Hence, different scam operators can trick investors by offering exaggerated returns and very tempting investment offers most especially the ones who are just getting started. Taking extra caution is a must.
- Buy and sell wines yourself.
It could never be denied that getting wine merchant is risky hence, if you do not want to take a risk trusting someone your investment, then you have no other choice but to do it on your own. To date, there are so many trading platforms which give you a number of highly-renowned and reputable websites where you can browse the types of wine and get connections of other buyers and sellers who wanted to invest in wines like you. This online platform would enable you to check on the prices, location, videos or pictures of the products. Plus, you can further check on the product reviews of their wine listings.