What is Vinovest?
Vinovest is an online platform for fine wine as an asset class. We tap into our network of top wineries and trusted fine wine merchants for transparent pricing and global liquidity so that you save time and gain peace of mind.
How does it work?
When you open a Vinovest account, we guide you on what your wine portfolio should include, while giving you control over your risk appetite and investment time horizon. All of our portfolio strategies are globally diversified. We source and authenticate the wines for you. We also automatically take care of things like portfolio rebalancing, storage, and insurance.
Where does Vinovest buy wines from?
We source our wines direct from wineries, global wine exchanges, and merchants. Because of this, we have better transparency into the market and will always buy and sell your wines at a fair market value.
How do you determine if a wine is investment worthy?
Every customer’s wine portfolio is personalized based on their risk appetite and desired investment amount. We then take into account millions of historical data points on secondary market pricing, liquidity, producer brand equity, different critics scores, age, regional vintage strength, as well as the risk to return ratio of different vintages to buy wines that we believe will increase in value.
Can I sell my wines at any time?
Yes. You can choose to sell a portion or all of your portfolio at any time. We will then help match you with the highest price buyer in our network and help deliver your wines to the buyers’ desired location. This process typically takes under 4 weeks. We asses a 3% early liquidation penalty if you choose to sell your portfolio less than 60 days from activating your account. There are no additional selling fees for active account holders past 60 days.
Where do you store my wines? Why can’t I store them in my own cellar?
We store your wines in industry-leading wine storage facilities in France, the UK, Switzerland, and other global wine trade hotspots. Because all of these facilities are bonded, we can offer our customers significant tax advantages with no VAT or excise duty taxes when we are buying and selling wines. We also will be able to extend a full insurance policy to protect your wines. These advantages will not be available if you store it in your own cellar.
What are your fees? Is there a minimum investment amount?
We charge a 2.85% annual fee for all of our services, which gets reduced to 2.5% when your portfolio balance exceeds $50,000. This includes wine buying, wine fraud detection, storage, insurance, and selling as well as active management of your portfolio. Although this may seem high when compared to traditional assets, wine investors who do not use Vinovest frequently find themselves paying 10 to 15% of the value of their portfolio every year on these costs. Vinovest’s fee is prorated across the year based on the average balance in your account, and a portion of this is charged monthly.
The minimum investment amount is $1,000.
Can I drink the wines in my portfolio?
Yes! You can certainly request bottles from your portfolio to be delivered to your home. Additional shipping charges apply.
Why should I buy wines through Vinovest instead of buying retail?
Through our direct connections with producers and merchants, Vinovest is often able to source wines for below retail price. When available, we pass these savings along to the customers.
How do I keep tabs on my wine?
Customers can log into the Vinovest dashboard anytime to check on their wine portfolio. Prices are updated daily through multiple global data sources to ensure the most up-to-date pricing.
How many bottles would I get in say, a $5,000 portfolio?
The number of bottles you get in your portfolio depends on several factors, such as risk tolerance, regional diversity, liquidity time horizon as well as market timing. Most customers who start with a $5,000 have between 24 and 36 bottles.
How and when do I earn returns?
There are two main factors that drive returns in the fine wine market.
Firstly, wine ages and gets better over time over many years.
Secondly, through global consumption, the available supply for a particular bottle from a certain vintage dwindles as the wine gets older.
The appreciation of the wine as it gets older combined with its increasing scarcity contribute to price appreciation over time.
What happens to my wines if Vinovest goes out of business?
Because you technically own the wines, you will still be able to collect on them if Vinovest goes out of business. Vinovest also has a comprehensive third-party insurance policy that will protect your wines at full current market value in the unlikely event that a natural disaster hits the storage facility, or an employee damages the wines.
How are my wines taxed?
Wines that are bought and sold through the Vinovest platform are subject to standard capital gains/losses. If you sell more than $20,000 of wine in one calendar year, Vinovest will issue you a 1099. For all sales less than this amount, you must self-report your gains/losses. For more guidance please consult your tax advisor.
Can I set up recurring deposits (Auto Invest) to grow my Vinovest portfolio?
Yes! First, log in an click the deposit button on your dashboard. Next, select your preferred payment, frequency, and Auto Invest amount. You are now all set, and can change your preferences any time in your account settings.
You will receive 5% off all management fees as long as you have Auto Invest active on a monthly cadence.