Uncertain times favour Bordeaux

Bordeaux has benefited from buyers’ ‘flight to quality’ in an uncertain market, according to a recent report, as separate analysis digs deeper into the longer-term price trajectory of ‘legendary’ five-star Bordeaux vintages.

Thirty Bordeaux wines featured in Liv-ex’s new ‘Power 100’ ranking of brand performance on the secondary market, compared to 25 in the previous edition. Château Angélus rose to ninth, from 65th a year earlier.

‘Buyers have sharpened their focus to reflect greater risk aversion,’ said Justin Gibbs, Liv-ex deputy chairman and exchange director. ‘They are seeking stable and liquid brands, offering relative value, which favours Bordeaux over Burgundy and California.’

Liv-ex’s Fine Wine 50 index, tracking Bordeaux first growths, still fell 13% in 11 months to 30 November, however.

FOCUS: RELATIVE VALUE IN FIVE-STAR VINTAGES

Fresh data from Bordeaux Index’s LiveTrade online platform (see chart) suggested ‘legendary’ Bordeaux 1989 and 1990 wines have mirrored the price trajectory of counterparts from younger, lesser vintages.

‘In general, we think legendary Bordeaux is particularly underpriced,’ said LiveTrade CEO Matthew O’Connell, referring broadly to top-rated wines from five-star vintages in the past 40 years.

Château Latour 1990 (£10,250 per 12x75cl in bond, LiveTrade) was relatively inexpensive in a wider market context, he said. ‘Think what you can get for that in Burgundy.’

Vaunted Haut-Brion 1989 was one outlier, at £26,000 (12x75cl in bond).

HISTORIC BORDEAUX WINE LEGENDS AT AUCTION

Decades-old Bordeaux superstars featured strongly in auctions of single-owner collections in late 2023, though scarcity means trading activity in such wines is limited. Three wines from Decanter’s ‘Wine legends’ series were among the highlights:

• Cheval Blanc 1947 (6x75cl), sold for HK$375,000 (£38,000) – Estimate HK$300,000-$500,000, Sotheby’s.

• Mouton Rothschild 1945 (12x75cl), sold for US$200,000 (£158,000) – Estimate $95,000-$150,000, Zachys.

• Latour 1961 (3x150cl), sold for £56,250 – Estimate £32,000-£42,000, Christie’s. (Sale price includes buyer’s premium) ‘There’s no question that bidders were willing to pay a premium for older wines with an excellent chain of provenance,’ said Charles Antin, global head of auction sales and auctioneer at Zachys, following its auction of collector Peter Hut’s wines.