Liquid assets: thinking of investing in wine? A discerning mind is just as important as a discerning palate when considering your options

IN THE FILM Sideways, Virginia Madsen's character describes wine as "constantly evolving and gaining complexity." Sure, but is it constantly gaining value? Is it a good investment?

Generally, the answer is no. The few wines that are made to age tend to be expensive and difficult to buy, store and sell. It takes serious know-how and connections to play this game, and still, there's no guarantee you'll make money. A study conducted by economics professor Joyce Jacobsen of Wesleyan University in Connecticut and Lehman Bros. investment analyst Benjamin J. Burton followed red Bordeaux wines--the world's most exclusive--over a decade and found they appreciated about half as quickly as the major stock indexes.(Continue Reading)

 

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