Left axis - monthly spooz (source BBG), right axis - monthly Liv-Ex Fine Wine 100 Index (source BBG, via http://www.liv-ex.com/) 'Nuff said, draw your own conclusions.
Huh? I should note that the chart is a wee bit misleading (maybe that's what you mean?), as the Liv-ex 100 is denominated in GBP, rather than USD. New attachment should have both series USD-denominated. Best would be returns, I suppose, but I can't be bovvered.
Not misleading. I am always curious about the returns of tangible investments priced in gold. Thats all... nice charts, thanks for the post!
Did anyone else key in on this from the OP's article? Find it kind of funny that the height of the wine market appears to be in 2006 and almost perfectly coincides with the height of insanity on wall street. ``2006 was the best year in a decade for return on money invested in wine,'' says Miles Davis, co-founder of the new London-based Fine Wine Fund. Davis, 41, and partner William Beck, 39, who have backgrounds in finance, started the $5 million (2.5 million pound) ``members association'' fund last August and reported a 10.1 percent return during its first six months. They're aiming for $100 million in assets and plan to launch a similar institutional fund soon.
I have kind of a funny story since we are talking about wine collecting, back when i was in highschool A buddy of mines parents were out of town and his parents were wine collectors. His parents were pretty well off so he had a pretty sweet wine collection, of all kinds of exotic shit from around the world, anyways my buddy decided to have a party at his house, and we decided since we were underage and we couldnt find someone to pull liquor for us that we would just lift a couple bottles of wine and replace them before they got home. Well it turned out thatone of the bottles we lifted was in fact a 2 thousand dollar bottle of wine, and his dad had his whole collection indexed somehow, by the spot on the rack, we replaced the bottle of wine with a 20 dollar one with some kind of exotic name from the liquor store, not realising what we had done So the buddies dad had guests over a few months later and it was for his parents 15th anniversary or something, and so he went in and looked at his index and brought up what he thought was a 2000 dollar bottle of wine, so he cracked it and i guess he said something about it being expensive wine, not realising it was actually cheap ass shit, and one of his guests called him on it thinking he was bullshitting, because the guest infact knew the of the bottle of wine they were drinking. Apparently, my buddies dad was mortified, it took him a couple days to put 2 and 2 together after looking over his entire index and realising everything was correct except for 2 bottles, My buddy was grounded for months afterwards, and got his ass kicked real good, it was probably one of the biggest screw ups imaginable at the time, we couldnt come to his house and face his dad for years afterwords.
Believe it or not, and depending on your palate, the Santa Barbara coast wine growing region (not an Appellation because we're not as snooty as the French) turns out consistently drinkable and very good wines.
That's hardly a coincidence... It's called excess leverage and it shows up in all asset classes. A rising tide lifts all boats, so to speak.
NP, if you like I can either attach the chart with the two indices denominated in gold or the spreadsheet with the data.