FUND VIEW-Wine retains punch amid global turmoil
FUND VIEW-Wine retains punch amid global turmoil
Dec 14, 2010 6
(Reuters) - A fund investing in fine wines is outpacing other asset classes as Asian drinkers develop a taste for the finest vintages and compete for supplies with aficionados in Europe and the United States.
The Wine Investment Fund buys up fine wines from the Bordeaux region of France where there are only 35 producers of "investment grade" wine.
Such a narrow pool of eligible assets translates into a permanent supply constraint and keeps prices high, the managers said.
On the demand side, traditional connoisseurs in Europe and North America now have to compete for supplies with new drinkers as fine claret emerges as a status symbol among the nouveau riche of Asia, the fund's director Andrew della Casa told Reuters.
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