Wine Cellar has been trading in local and international fine wines for two decades. There are some incredible SA wines from the 20th century, as each decade pushed wine quality and increased the size of the local fine wine market. Where good bottles can be found, vintage wines offer a snapshot of the Cape’s potential.
With growing interest from international critics and a greater understanding by winemakers of older vineyards and distinctions among regions, fine wine in South Africa has been on the up over the past decade. Various 100-point awards from Tim Atkin MW and Neal Martin have captured the attention of the international fine wine community. As demand grows and inflationary pressure results in higher release prices, older vintages are set to become more expensive.
In simple terms, fine wine investment is built on the basic economic principles of supply and demand. As wine is a product of agriculture, no two vintages of the same wine will ever be exactly the same. Consequently, there is a significant degree of limited supply to wine that is different from other beverages. As wine is consumed, the supply diminishes and if demand persists, this will result in rising prices over time.
Wine investment can also be viewed from a consumption perspective. If the position is held that a particular wine will grow in value over time, then buying at the release price will constitute a saving in comparison to buying the wine from the market once the wine is already mature.
The PIP is a personalised, unitised wine investment portfolio based on the same principals as VIP, CIP and AIP. However, the PIPs are offered on a month-to-month basis and subject to available stock on the market.
VIP 2020 – Vintage Investment Portfolio – Sold Out
Our Vintage Investment Portfolio is back in 2020. VIP is offered only in vintages where there is broad consensus regarding the homogeneity of the vintage quality across regions.
The Vintage Investment Portfolio 2017 is a diversified, blue-chip portfolio of 26 of the finest and most investable South African wines from the great 2017 vintage, unitised into 60 identical R100,000 portfolios.
The Vintage Investment Portfolio 2020 is a diversified, blue-chip portfolio of 22 of the finest and most investable South African wines from the 2020 vintage, unitised into identical R100,000 portfolios.
Seven blue-chip Stellenbosch Cabernet Sauvignons, with the lowest relative prices, were included in this en-primeur investment portfolio. Buying CIP 2017 en-primeur saves 19% on the estimated release prices.
The Vintage Investment Portfolio 2017 is a diversified, blue-chip portfolio of 26 of the finest and most investable South African wines from the great 2017 vintage, unitised into 60 identical R100,000 portfolios.
Seven blue-chip Stellenbosch Cabernet Sauvignons, with the lowest relative prices, were included in this
en-primeur investment portfolio. Buying CIP 2017 en-primeur saves 19% on the estimated release
prices.
With a BCom in Economics from Stellenbosch University, Roland joined Wine Cellar as the Director in
2005. Having traded Grand Cru Bordeaux for 15 years, he has tasted and sold many of the world’s
finest wines. With international experience and an entrepreneurial spirit, Roland continues to
believe in the future of SA wine.
James Pietersen
CEO
James studied law at the University of Stellenbosch and has 25 years of experience in the SA wine
industry. In 2015, James joined Wine Cellar as Sales Manager. As one of the leading wine tasters and
wine judges in SA, few pundits taste more wines than James.
Johan Malan
Brokerage and Investments
Johan holds a MCom in International Trade from North West University’s School of Economics. Johan has
experience in the international fruit trade while trading in fine SA wines as a hobby. In 2018,
Johan joined Wine Cellar to manage and grow Wine Cellar’s investment and brokerage business.
FAQ
What is a Wine Cellar investment portfolio?
A unitised collection of the finest and most investable wines within a specific category.
Each portfolio is managed by the fine wine team and professionally cellared at no charge until
maturity.
We believe this structure attracts the least costs and offers the highest opportunity for returns.
Which wines are selected for the portfolios?
We select each wine for its propensity for price growth over time.
Each wine must hold a fine wine track record and have the ability to age at least a decade.
Do I own the physical wines?
Yes, the investment portfolios unitise your investment.
You are not buying shares or into a fund.
Can I rather drink the wines?
Yes, but if you withdraw the wines before maturity you effectively lose the free cellaring.
Where are the wines stored?
In our temperature-controlled, underground cellars in Observatory and Maitland.
We manage 300,000 bottles for 800 customers.
How do I know the value?
We update the market prices every quarter and track an overall index of each portfolio.
How do I sell my investment?
At any time you are able to broker your investment or sell it privately.
Portfolios can be brokered through Wine Cellar in their entirety with a 5.75% brokerage fee.
Wines within each portfolio can be brokered individually at 11.5%.
Wine Cellar has been brokering customers wines since 2001 and liquidity is steadily growing each
year.
What happens after maturity?
The wines can be brokered, withdrawn or cellared further at our standard cellaring rates.
