The last two decades has seen the Fine Wine market experience an evolution. Historically wine collection had been the reserve of old world ‘gentleman’ and a select few in China and the U.S. Now investing in Wine is a borderless pursuit, with the market available to anyone with a passion and a phone line. This increase in participation has been elemental to the explosion of price and demand on a business whose supply is finite.

This transition from a shuttered market full of nepotistic relationships, to a truly global and free market place, has happened rapidly. Stimulated primarily by the global proliferation of high net worth individuals looking to enjoy a classic symbol of status, the wine market simply needed to embrace evolution. The old world way of trading needed to be brought into the 21st century.

The market opportunity created around the globe by this new wealth could not be ignored, and while wine infrastructure has for years been striving to catch up, we are pleased to say it now meets standards set by similar financial markets.

The radical transformation of the last decade is encapsulated best by the evolution of the Asian market and particularly China. The level of education, engagement and desire surrounding the consumption of the very top tier of wines in China has rocketed. Now highly motivated and more than financially capable, the value and volume flowing East now ranks China comfortably as the largest consumer of fine wine in the world.

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This BRIC’s (Brazil, Russia, India, China) driven expansion will continue to have two major impacts. The now truly global marketplace includes a wide range of participants whose primary currency is not GBP Sterling. Consequently, the fine wine market responds well to a weak pound, providing routes for timely liquidation all over the world. In addition, the continued exacerbation of the supply and demand imbalance, which underpins favourable price development, does not look likely to wane. As more new hyperwealth is generated within these BRIC’s nations the market looks set to march on.