Gulp Element
FINE WINE
INVESTMENT:
LIGHTING THE
SPARK
By Philip Staveley
T
his year’s range
is +45% to
-30% which is a
colossal spread
of 7,500 basis
points. In essence, it is a bit of
fun with the winner earning
something nice and bubbly
from Liv-ex.
We are all on the much
fi rmer ground looking at the
performance of the 2010s
as they reach their first
decade, and there will be a
series of reviews this year
reminding everyone of how
fabulous they are. That they
are fabulous on the palate
has never been in dispute;
but how fabulous are they
now from an investment
perspective?
Not only have the 2010s in
Bordeaux performed poorly
since release with nearly
half of the Liv-ex 500’s 50
constituents trading below
their release price according
to a brief note released
recently by Liv-ex, but the
fi rst growths, in particular,
have declined.
‘Mission’ is hardly produced in
prodigious quantities, making around
7,000 cases a year, but there is a huge
difference between 600 and 7,500
cases in terms of where it ‘ends up’.
Drink Asia
20
Right Bank first growth
‘equivalents’ like Cheval Blanc
and Ausone feature among
the fallers (the elevation of
Pavie and Angelus to Grand
Cru Classé A since release
of their 2010s guarantees
their position amongst the
risers), as does La Mission
Haut-Brion.
What we fi nd very interesting
is that Le Pin has outstripped
all to a price rise of 95%.
Why might this be? Did Pin
release at a more respectable
price than the others? Nope.
March-April 2020
Not at all. Like nearly
everyone, it released ex-
château at a 10% hike on
2009 levels. The difference,
we believe, is entirely due to
the consequence of volume,
and the mechanics of the
market place.
The 2010s were priced en
primeur in the late spring
of 2011, only a month
or so before the market
correction. As a point of
comparison, 600 cases of Le
Pin 2010 had been priced
at the top of the market, as