Fine Wine

Century R is an official partner of Cultwine Ltd. in U.K. Cult Wines is one of the world’s leading wine investment companies with a global client base and assets under management exceeding 90 million pound.

The company was founded in London in 2007 by Philip and Tom Gearing and has since opened offices in Hong Kong, Shanghai and Singapore to underpin its expansion into Asia.

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Cult Wines provides fine wine investment advice, both on a discretionary and non-discretionary basis using algorithmically based models applied across historic and projected data.

The company tailors each investor’s portfolio to their specific risk appetite, investment level and target returns. The firm’s rigorous due diligence and investor protection measures help to ensure that only the highest-quality assets are included its investors’ portfolios.

Investing in wine, whether that be a rare bottle, a case of highly-regarded First Growths or an entire cellar, has consistently yielded decent low-risk returns.

In fact, for the last 50 years the fine wine market has remained stable, despite the world’s economic crises. Wine can be purchased independently, via merchants or traders, or at fine wine auctions. For many oenophiles, the act of obtaining sought-after bottles and building a collection is just as enjoyable as the financial benefits afforded by investing this way. Wine is a wasting asset, so investment is tax free, and while it – like all investment options – is not entirely risk free, it offers reasonable risk to return correlation. An investment strategy that accommodated high or medium risk would naturally yield higher returns.

Despite the economic tumult of recent times, the fine wine market has demonstrated consistent growth over the last 50 years – and growth overall during the last two centuries. Crucially, fine wine managed to escape the pressure put on other financial markets towards the end of 2015 and even outperformed gold, copper, the FTSE 100 and the S&P 500, making it the most profitable investment available.

Benefits of investing in fine wine include :

• High profitability
• High stability
• Continuous growth
• Tax efficiency – it isn’t liable for Capital Gains
• Efficient diversification asset
• Protection against inflation
• Fine wine is a tangible, personally-owned asset
• Enjoyment of collecting
• Finding Cult and Rare Wines that make the best investment

Wine

Minimum Investment : £5,000

Stocks

Minimum Investment : £1,000

Bonds

Minimum Investment : £5,000

Risk

LOW

HIGH

LOW

Term

5 Years

10 Years

5 Years

Benefits

Tax Free Investmen

Up to £15,240 tax free within ISA wrapper

Withdraw 5% a year without paying additional tax immediately

Flexibility

MEDIUM

LOW

History

Up 144% last 10 years

Up 61% last 10 years

Flat last 10 years

Annual Returns

Avg 10%

Avg 7%

Avg 5%

Transaction costs

Around 10%

0.25% - 5%

N/A

Transparency

HIGH

LOW

Transparency

HIGH*

MEDIUM

LOW

Tangible asset Finite and enjoyable product Low Production / High Demand Beware tricksters * Needs expertise or a portfolio manager with industry knowledge Contact Cult Wines

Choose your level of risk Be prepared to spend time on your portfolio Susceptible to volatility

Useful way to diversify portfolio Steady, predictable returns Capital remains at risk

Cash

Minimum Investment : £1,000

Equities

Minimum Investment : £500

Bonds

Minimum Investment : £1,000

Risk

LOW

HIGH

MEDIUM

Term

10 Years

5 Years

10 Years

Benefits

Up to £15,240 tax free within ISA wrapper

Tax relief on some qualifying investments

Some gold products VAT free

Flexibility

HIGH

MEDUIM

History

Flat last 10 years

Up 190% last 10 years (Gold)

Annual Returns

Avg 2%

Avg 5%

Avg 25%

Transaction costs

N/A

1%+

0.3%-15% depending on asset type

Transparency

HIGH

LOW

MEDIUM

Transparency

LOW

MEDIUM

Most straightforward way of saving Zero risk Minimal ROI

Lots of potential for growth Can align investments with personal values Seen as the riskiest asset class

Hedge against inflation Intrinsic value despite economic conditions Long term perspective vital

Futures

Minimum Investment : £10,000

Property

Minimum Investment : £500

Collectibles

Minimum Investment : £1,000

Risk

HIGH

LOW

MEDIUM

Term

Varies on asset

N/A

10 Years

Benefits

Considered a CGT therefore subject to some tax relief

Several tax deductible benefits for landlords

Tax Free Investment

Flexibility

HIGH

LOW

History

Up 14% last 10 years

Up 10% last 10 years

Up 8% last 10 years

Annual Returns

Avg 11%

Avg 9%

Avg 4%

Transaction costs

Varies on asset

1%-5% of property value

Up to 25%

Transparency

MEDIUM

HIGH

Transparency

LOW

MEDIUM

HIGH

Useful for hedging against losses in a volatile market Finite and enjoyable product Lock limits': Futures markets impose limit moves to prevent one-day collapses and to contain volatility

Buy-to-let can provide good regular income Subject to value fluctuations Time consuming

Enjoyable asset Subject to value fluctuations Beware tricksters

Currency

Minimum Investment : £500

Equities

Minimum Investment : £500

Metals

Minimum Investment : £1,000

Risk

HIGH

MEDIUM

Term

1 Day - 3 years

5 Years

10 Years

Benefits

N/A

Up to £15,240 tax free within ISA wrapper

Flexibility

HIGH

MEDIUM

History

Currency dependant

Down 40% last 10 years

Up 100% last 10 years

Annual Returns

Avg 30%

Avg 10%

Avg 12%

Transaction costs

0.25% - 5%

Around 1%

Transparency

HIGH

MEDIUM

LOW

Transparency

HIGH

Low

LOW

Fast-moving market Large return potential Notoriously complex

Value likely to rise in short to mid term Well-established market Some ethical issues

Easy to understand Little hands-on input required Potential ROI is passive/active fund related