AMC on Fine Wine
Bond Wine launches fine wine investment targeting long-term returns
Product Profile
Fine Wine AMC-
Advisors: Bond Wine
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Strategy managers: Shire Capital
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AMC launch date: June 2025
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Custodian/broker: Swissquote Bank
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Open to investment: offshore
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Suggested minimum investment: £25,000
Roland Peens and Johan Malan at Bond Wine have opened subscriptions for their unique fine wine investment, offered as an actively managed certificate, and will begin investing in June.
The pair will hold and trade exclusive fine French and international wines with a view to long-term capital appreciation, based broadly on the Liv- 1000 index, which tracks 1,000 wines from across the world.
Malan and Peens have developed a unique investment strategy through their deep experience in fine wine trading at leading South African retailer Wine Cellar, which has entered into a partnership with Shire Capital to form Bond Wine.
Bond Wine will advise on a managed portfolio of fine wines securitised by the AMC, allowing seamless, secure and anonymous investment.
The Bond Wine AMC will comprise majority passive stocks to be held over the long term, along with a smaller portion of actively traded short-term holdings.
Roland Peens and Johan Malan combine deep wine expertise and an AMC structure to offer investors access to rare vintages with risk-adjusted returns
Roland Peens
Johan Malan
“We have identified and back-tested a mixed strategy that increases returns, including investing in lesser vintages, newly acquired wineries and consumer regional trends,” says Peens.
“Liquidity will be maximised by holding mainly the top 1,000 most traded and sought-after fine wines on the secondary market. Furthermore, constant bids and offers will increase liquidity, and the ISIN offers secondary market AMC trading.” The AMC is an open-ended, unlisted private placement. Subscriptions opened in April and will close at the end of May, with a recommended holding period of five to seven years.
Peens and Malan will be looking to raise £10 million to £50 million over time.
In 18 months, we saw a 30% increase in fine wine prices, with wines from Burgundy, Bordeaux, Champagne and Tuscany ending 2022 at all-time high.
Wine generally contributes positively to portfolio growth and risk-adjusted returns, as evidenced by the growth rate.
2023 white paper on fine wine from the University of Stellenbosch
As a tradeable security, the AMC is issued with an ISIN (International Securities Identification Number). The collection of wines is insured and stored professionally in the UK and Europe and purchased from approved sellers, ensuring pristine wine stock.
Wines are acquired from the original merchants and held in bond, with limited movement of stock removing risks such as counterfeiting, while the wine is optimally stored.
Peens points out that today’s wine market is highly liquid, with pricing visibility and certainty, boosted by Web 2.0 technology.
The Liv-ex 1000 index, the broadest measure of the fine wine market, has returned an average of 6.5% annually over the last two decades.
“It is important to note however, that index wines aren’t necessarily the most investable wines in the market,” he adds. “Before the Liv-ex indices and a less developed market, fine wines from the latter part of the 20th century have shown 6-10% annual returns for an even longer-term.”
Peens acknowledges that the wine market is facing uncertain times at present, as with all asset classes, but their long-term view remains constructive.
“Fine wine is a luxury good and can get marred by recessionary conditions,” says Peens. “The tariff impasse puts pressure on these types of goods, but we remain bullish on long-term asset prices. We operate in the top end of the market, which shows resilience.”