Irish financial investors spot wine as yield object

Wine investment is not really a new trend in the finance world – however, it gets more and more attention, due to the search for different investment opportunities during an economic crisis. Naturally, investors have not ceased to realize that top wines do not lose their quality for a very long time and thus promise good to very good profits. They do not, however, want to invest in wine funds, but rather be part of the wine trade themselves.

An Irish winemaker from Grossgar, a small town south of Belfast, is taking advantage of this trend and expanded his portfolio with wine investments. His clients, more and more from the classic Belfast world of finance, thus far achieved yields of up to 23 percent with their wine-depots.

“Many investors had to face high to very high losses in the stock and housing market during the economic crisis”, says James Nicholson, who has been in the wine trade for more than 30 years and who is now considered leading winetrader of Ireland. “Many investors searched for different methods of investment and thus found out more and more about wine. Not only has the yield from wine been stable in the past, but also it is as good as never before”.

Some of his clients have doubled their investments in the past two years. “How high the yield turns out, depends on the quality of the vintage and the demand for certain wines”, explains James Nicholson. This is also confirmed by international wine auctions, where there is more and more former finance and housing investors among the potential wine lovers.

“Currently, banks are offering low interest on savings and there is still some uncertainty in the financial world – this is what we have to deal with”, says Nicholson. He also adds: “When you look at history, wine has always been the last investment to go down and the first to recover”. (aw.yoopress)