Question 1

Is fine wine investment regulated in the UK?

Accepted Answer

Fine wine investment is not regulated by the Financial Conduct Authority. The value of fine wine can go down as well as up and past performance is not a guarantee of future results. Cellar Advisor (UK Branch) Ltd is registered in England & Wales. Cellar Advisor DSO-IFZA is registered in the Dubai Silicon Oasis Free Zone. All values shown in GBP unless stated otherwise.

Question 2

How does fine wine perform compared to equities?

Accepted Answer

The Liv-Ex 100 has returned approximately 87% over the decade to December 2024, compared to approximately 112% for the FTSE 100 total return index. On an absolute return basis, equities have outperformed. The case for fine wine is not about replacing equities — it is about diversification. The 12-month rolling correlation between the Liv-Ex 100 and the FTSE 100 has averaged approximately 0.12 over that period. During the 2020 market crash, the FTSE 100 fell 32% while the Liv-Ex 100 fell 3.5%.

Question 3

Is fine wine a good investment?

Accepted Answer

Fine wine has delivered average annual returns of 10–15% over the past two decades according to the Liv-Ex Fine Wine 1000 index, outperforming many traditional asset classes over the same period. However, past performance is not a guarantee of future returns. Fine wine is an illiquid, unregulated alternative asset class and is best viewed as part of a diversified portfolio with a minimum five-year time horizon.

Question 4

What is the minimum investment with Cellar Advisor?

Accepted Answer

There is no minimum investment requirement at Cellar Advisor. Our Portfolio Management service is built around each client's individual financial situation, allowing us to curate a portfolio that is right for you regardless of where you are starting from. Equally, our Bespoke Sourcing service carries no minimum, meaning we are able to conduct a search for anything from a single bottle upwards.

Question 5

What regions should a fine wine portfolio include?

Accepted Answer

A well-constructed portfolio typically includes Bordeaux (First Growths and classified châteaux for liquidity), Burgundy (Premier and Grand Cru for appreciation potential), Champagne (prestige cuvées for stability), and Italian wines (Barolo, Barbaresco, Super-Tuscans for diversification). The precise allocation depends on your timeline, objectives, and risk profile. Cellar Advisor tailors every portfolio individually.

Question 6

Which wines does Cellar Advisor recommend for investment?

Accepted Answer

Our typical growth-focused portfolio allocates approximately 35% to Bordeaux First Growths and Super Seconds, 25% to Burgundy Grand and Premier Cru, 15% to Champagne Tête de Cuvée, 12% to Italian fine wine (Super Tuscans, Barolo), and 13% to Rhône and selected New World. The exact allocation is calibrated to each client's time horizon and risk appetite.

Question 7

How liquid is fine wine as an investment?

Accepted Answer

Investment grade fine wine, including first growth Bordeaux and Grand Cru Burgundy, trades regularly on the Liv-ex exchange with competitive bid and offer spreads. For mainstream investment wines, Cellar Advisor is typically able to achieve prompt settlement following a sell instruction, though rarer or more specialist bottles may require additional time to place with the right buyer.

Question 8

How does fine wine compare to other alternative investments?

Accepted Answer

Fine wine offers lower correlation to equity and bond markets than most alternative assets, making it an effective portfolio diversifier. Unlike art or classic cars, investment-grade wine trades on an established exchange (Liv-Ex) with transparent pricing. It has the added benefit of being a consumable asset — bottles can be enjoyed if the investment case changes.

Question 9

What are the storage costs?

Accepted Answer

Storage at LCB Eton Park is charged per case per year. Current rates are available on request and are competitive with the market. The cost is typically in the range of £12–£18 per case per year depending on format. We pass storage costs through at cost — we do not mark up storage charges.

Question 10

Are there any hidden costs I should be aware of?

Accepted Answer

There are no hidden costs at Cellar Advisor. We are fully transparent about all costs before you invest. The main costs associated with fine wine investment are the acquisition cost of the wine itself, annual storage at LCB Eton Park, and duty and VAT applicable when wine is released for consumption. Beyond that, there are no management fees, no performance fees, no account fees.

Question 11

What are Cellar Advisor's fees?

Accepted Answer

Clients transferring existing portfolios from external merchants or storage facilities benefit from our complete advisory and records service, with no portfolio management fees and selling fees of 2% for reinvestment and 7% for full liquidation, both inclusive of valuation, pricing strategy, buyer outreach, negotiation, settlement, and any LCB movements.

Question 12

Is there a minimum commission or minimum transaction value for selling?

Accepted Answer

No. Our 2% commission applies to all sales regardless of size. There is no minimum transaction value and no minimum lot size.

Question 13

What commission do you charge on sales?

Accepted Answer

2% of the realised sale price. There are no listing fees, no minimum commission, and no other charges. The client receives 98% of the net sale proceeds.

Kapitalallokation mit Überzeugung.

Was ist im Lieferumfang enthalten?

Einfache, transparente Preisgestaltung.

Beispiel für die Zusammensetzung eines Portfolios

Wie es beginnt