‘Most buyer-friendly Champagne market in recent memory’ says Cult Wine

By James Bayley

Published: 07 August, 2023

Cult Wine, the fine wine investment platform, believes the ‘slow-down’ of high-end vintage Champagne prices might provide an opportunity for potential investors in the coming months.

According to its latest Champagne report, the current conditions point to the, “most buyer-friendly Champagne market in recent memory”.

Cult Wine believes the market fundamentals are still in place for long-term price appreciation despite the lower prices, and, as such, has compiled a list of vintage Champagnes from Grandes Marques and notable grower producers for investors to target.

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While Champagne’s medium-to-long-term returns have certainly been impressive, some of the fizz has gone out of the market in 2023. The Cult Wines Champagne Index had slumped -3.35% year-to-date as of the end of June, the weakest six-month figure of any region.

Natural price consolidation is likely the primary factor pushing the Champagne Index lower. Given that Champagne and Burgundy led the 2021-2022 rally, a temporary period where prices drift sideways or slip a bit isn’t a surprise as buyers assess the recent price increases and search for sources of relative value.

Yijun Lu, chartered financial analyst and Cult Wine Investment portfolio manager, said: “Although the near-term outlook remains uncertain, we believe the current dip will remain temporary. Previous periods of consolidation following rallies have not lasted as long as the upswings. Even if the current slowdown persists in the coming months, we expect top Champagnes to still likely deliver performance over the long term.”

Although buyers have currently become more price-sensitive, demand remains healthy. Plenty of Champagnes have still posted encouraging price appreciation in 2023. In many cases, different vintages of the same wine posted positive and negative performance, a signal of selective demand seeking out the best value.

Target Producers – Les Grandes Marques

Bollinger, La Grande Année

Taittinger, Comtes de Champagne

Louis Roederer, Cristal

Moët & Chandon, Dom Pérignon

Pol Roger, Sir Winston Churchill

Salon, Le Mesnil Blanc de Blancs

Krug, Vintage Brut

Rare Brut

Gosset Celebris

Target Producers – Grower Champagnes

Jacques Selosse