by Wine Owners
Posted on 2020-11-23
Krug is, surely, a Champagne that needs no introduction.
In all likelihood it is the first name to enter one’s head when considering the top names in the prestige Champagne bracket. It was the first thing I sought out on receipt of my first proper bonus! There are others obviously but Krug has carved itself a special niche of its own.
Krug, founded in 1843 produce a range of different cuvées ranging from the Grande Cuvée for everyday drinking (!) to the Clos d’Ambonnay for that very, very special occasion (at £2k+ per bottle it should be at least a very good excuse!). Here we are looking at Krug’s Vintage Champagne over some of the best vintages of the last two decades.
First, the market prices and scores:
And now the relative value score:
The mega vintage that is 2008 has not yet been released, so in the meantime I have no hesitation in recommending both the ’04 and the ’06 as very solid buys for the long term.
Banner Image: www.krug.com/the-house-krug
by Wine Owners
Posted on 2020-06-04
Chevalier is out this morning at £247 per 6, a perennial favourite and on the back of a seemingly great success in 2018. Hopefully in 2019 they’ll have tamed the merlot alcohols which hit 15 degrees in 2018. Bordeaux being blends saved the day and early pickings of Cabernet brought the assemblage down to under 14 degrees. Still, that kind of inherent excessiveness does make you wonder. Chevalier does age with unusually consistent grace no matter the kind of vintage.
Relative value analysis points to 2014 as being a rather decent pick of an excellent run of recent vintages. 2019 is fairly priced for collectors of this lovely estate but not to attract the short term profiteers.
Banner Image: http://www.domainedechevalier.com
by Wine Owners
Posted on 2020-06-03
Cos d’Estournel is out £684 per 6. -23% down on 2018. Great wine they say but is the price reduction enough?
The magisterial 2016 is hovering 10% above this release price, which is among the greatest young Bordeaux Lisa Perotti-Brown has ever tasted, it’s in bottle and widely available, so we think they needed to do a little more to make this really attractive. However good the 2019 proves to be, it does not prompt the same compulsion to buy this year as Pontet Canet and Palmer.
Prices and points (we have allocated 98 points)
Banner Image: www.estournel.com
by Wine Owners
Posted on 2020-06-02
Palmer was released this morning at £999 per 6, a 31% reduction from the (pumped-up) pricing levels of 2016 and 2018. We are back into rational release pricing territory.
Does it work? Absolutely. Note we have put in a placeholder of 18 points but it works at 17 points too.
At this rate, if the whole of Bordeaux rallies around the reduction level of -30% to -35% set by Pontet Canet and now Palmer (and rumoured to be the level of reduction that Lafite will apply), this’ll be the first en primeur campaign since 2014 where it would make sense to buy more broadly than the very specific, narrow range that we’ve suggested makes any sense at all in the last 3 campaigns.
Here’s the analysis of Palmer.
First pricing and scores:
And the relative value calculation. Note how much longer, and therefore better value, the 2019 bar is than any of the comparative vintages used for the analysis:
Banner Image: www.chateau-palmer.com
by Wine Owners
Posted on 2020-05-27
So Latour 2012 is out today at £350 a bottle. What’s that got to do with 2019 EP I hear you ask? Well coming as it does just before the releases of the 2019 big boys, and because it’s the first release from Latour that wasn’t previously released EP, it’s seen as a test of the market and what the consumer’s appetite is for laying out hard earned spondoolies in The Time of Covid.
I’ve seen emails from merchants this morning gushing that this is the cheapest Latour in the market today, and how they’ve got the pricing right.
The retail channel needs to see the 2019 releases come out minus 30% v 2018. That would put Lafite et al at around £2,000/ 6 and at that price it would sell. Plus it might just re-energise the Bordeaux secondary market with a dollop of positive sentiment.
However If we compare 2012 Latour to other comparable vintages of Latour, so say 2008, 2006 and 2004, which I think is rather realistic, we see a very different picture.
Here’s the market price and JR points plotted for 2012 and those benchmark vintages selected:
And here’s the weighted effect of that taking into account scores:
The longer the bar the better the value, the bigger the gap between the longest and the next, the more compelling the buy. Not much in it is there? Which says that Ch. Latour, far from doing their 2019 EP peers a massive favour, have given absolutely nothing away. There’s no Covid discount baked into this price. The best you can say is that there’s no guff about ex Chateau premium.
So, as a curtain raiser, it's a damp squib. But that’s their release model now and who’s to say they are wrong? At least we know what we’re drinking. The reply to this question, answerable only by Lafite et al, will come soon enough.
by Wine Owners
Posted on 2019-11-15
This article is a republished version of one that appeared earlier in the year. Why? Because there’s another reason to sing about the virtues of Italian wines; the Trump administration have recently introduced a 25% tariff on all wines from France, Germany and Spain below a 14.1% alcohol level (Champagne is exempt). This has caused a loss in confidence in the French heavyweights and Bordeaux and Burgundy prices are on the slide. Italy’s cheese industry was the one selected to take the hit in this particular trade war, leaving their wine sector sitting pretty. We’ve been bullish on Italy all year, this adds further grist to the mill.
The Italians are not only the largest wine producing country in the world, they have been making wine for over four thousand years and cultivate over two thousand grape varieties on a multitude of different soils in twenty different regions! They are not bad at food either. Their climate seems to suit most of the finer things in life.
Italian wine being recommended is nothing new, but having it recommended as a collectable asset bearing an investment case is another matter. Ten years or so ago, a few canny collectors realised some of the ‘Super Tuscans’ (red wines typically made of a Bordeaux blend in Tuscany) such as Masseto, Ornellaia, Sassicaia (recent blog) and Solaia were ripe for decent returns. Traditionalists were a bit put out by these glossy new pretenders turning up on the Italian wine scene with their fancy French grape varieties and lots of marketing but it is fair to say they have helped the overall attention given to Italy and, as a result, the ‘Bs’ are blossoming – namely, Barolo, Barbaresco and, to a lesser extent, Brunello.
Wines from the best producers of Italy’s most venerable regions have been collected by the cognoscenti for years but now their appeal is becoming more widespread. The problems of Bordeaux, following an explosive China-driven period, have been well documented in the last decade and in its place, the smaller top-quality regions have been profiting. The indices for the last five years show Burgundy +120%, California +79%, Piedmont +76%, Tuscany +62% and First Growth Bordeaux +47%, the broad base WO 150 is +55% (all nice numbers!).
The reason for Burgundy’s performance is that old tried and tested wine world fundamental of genuine demand outstripping supply - who knew!? I think it is fair to say prices in Burgundy have been coming off the top for nearly a year now. Californian prices were a little more ‘forced’ and are in retreat now, but both these regions produce tiny quantities in comparison to the number of people looking to access these markets and gain exposure. Very widely held Bordeaux has been steady but is beginning to slide in this difficult environment. Piedmont and Tuscany are holding firm to gently positive.
The complex nature of Burgundy, California and Piedmont with their tiny (compared to Bordeaux) vineyards is attractive. This adds to the aesthetics, spurring on both the well-seasoned and newcomers alike, keen to learn more and invest time and money accordingly. More of the written word is more easily accessible to interested folk, and with platforms such as Wine Owners to trade on, the visibility of the product and the liquidity of the commodity has increased.
Grand Nebbiolo from Piedmont is yet to hit the big time, apart from a special few producers, but the word is spreading and there are ‘new’ names coming through; dedicated collectors and the inquisitive are homing in. It is a Burgundian-like network of vineyards, producers, families and reputations and you need to know what you are doing. Famous names like Conterno, for example, have six listings in my favourite reference book: Aldo, Diego, Fantino, Franco, Giacomo (the big one) and Paolo.
Some of the bigger names like Giacomo Conterno famed for his Montfortino vineyard, Giuseppe Rinaldi, Bartolo Mascarello, Bruno Giacosa and Gaja are already highly sought after superstars, with prices to match, but there are a host of others with reputations and demand beginning to swell; Brovia, Cappellano, Fratelli Alessandria, Sandrone, Voerzio and Vietti to name a few.
The ‘Super Tuscans’ of Bolgheri are much simpler to understand, like Bordeaux versus Burgundy, and are produced in larger numbers. The names mentioned earlier are virtually household names (in wine terms!), are less exciting right now overall but tend to deliver very steady returns.
Brunello di Montalcino, made from Sangiovese, is also comparatively easy to piece together in relation to Piedmont. Biondi Santi, Poggio di Sotto, Salvioni and Soldera are the big names with the fancy price tags. The secondary market for Brunello has not yet developed so, for now at least, it is a case of keeping a watchful eye although Soldera has been added to several portfolios already. There are many other less well-known names that have been attracting huge plaudits from the top critics that remain under the radar. This group haven’t matured into the darlings of the market, so far, and back vintages are cheap and well worth consideration.
There have been some excellent vintages in Italy in the last decade or so, attracting fantastic media coverage and now the battle-weary Bordeaux buyers and profit takers of Burgundy are moving in. Another reason for favouring Italian wines in the current climate is that the U.S. and Germany are the biggest export markets, so the market unlikely to be affected by any potential fallout from Brexit.
Most of all, however, these wines are barely scratching the Asian surface as yet and we all know what happens when that changes!
Miles Davis 15th November 2019
by Wine Owners
Posted on 2019-09-09
August was much like July with summer holidays being the prime concern for most people. The wider market has felt quiet, maybe because the Bordeaux market is still largely flat, but there are definitely pockets of excitement about and the broad-based Wine Owners Index was up 0.9%. Trade was brisk with Piedmont, Tuscany and Champagne dominating turnover at Wine Owners.
The solid, relative value investment case for the wines of Piedmont has created demand which, in turn, has led to us step up our sourcing efforts. Liquidity is tight, obviously one of the plus points in the investment case, but we have managed to unearth some lovely parcels, particularly some legendary Bartolo Mascarello vintages.
Sterling has remained weak due to the Brexit shenanigans, and this has finally translated into some positive moves for various wine indices. As we know, a weaker pound generally leads to increased demand in the sterling denominated secondary fine wine market, especially from U.S.$ based buyers. Little has come out of Asia, however, as continuing rhetoric surrounding the U.S./China trade wars rumble on and Hong Kong is still suffering from the most vocal political protests in its modern history. They (the people of Honk Kong) have even appealed to Mr. Trump to help!
The largest region within the wine market will always be Bordeaux and it is business in the wines of Bordeaux that is suffering the most from these continuing issues. Many of the other top wine regions are less affected by these global events and market conditions as the wines are less traded, and the supply and demand ratio in a different place. Bordeaux has been looking cheap versus its peers for some time now, and there’s a lot of bad news in the price but the stars need to start aligning. This can and will happen, but when is the big question!
by Wine Owners
Posted on 2019-08-20
A brief and holiday interrupted report for activity in July
The wine market continues to hold its breath. Boris fulfils (what somehow now feels like) his destiny and moves into Number 10 and the pound plummets. It has since recovered a bit but even so, the wine market didn't flinch. As we know, a weaker pound generally leads to increased demand in the sterling denominated secondary fine wine market, especially from U.S.$ based buyers, but maybe not during the hot days of summer? Certainly not when the U.S./China trade wars rumble on, the rhetoric becoming ever stronger, and most definitely not when Hong Kong explodes into the most violent scenes of pro-democracy protest in its modern history. The Brexit backdrop adds to the confusion, so no wonder little happens.
The largest market within wine will always be Bordeaux and it is business in the wines of Bordeaux that is suffering the most from this continued malaise. Many of the other top wine regions are less affected by these global events and market conditions as the wines are more scarce, with the supply and demand ratio is in a different place. Bordeaux has been looking cheap versus its peers for some time now, but the stars need to start aligning. This can and will happen, but when is the big question!
Despite these almost stagnant overtones, trade has never been brisker with July setting a record level of turnover. Numbers of users, bids and offers forever grow. Collectors looking to trim positions have been well accommodated by others adding and reorganising their cellars, something we are seeing a lot more of.
Burgundy continues to look for its feet, Champagne and Super Tuscans gently hum along nicely, and we’ve seen a little demand for some of the new world too.
Here at Wine Owners, Barolo dominated trading in July. Many vintages of Bartolo Mascarello changed hands, also many Bruno Giacosas, Riservas and otherwise. Fratelli Alessandria becomes ever more popular, as does Luciano Sandrone. And there were some big-ticket trades in Monfortino and Ca d’Morissio.
Miles Davis, 20th August 2019
by Wine Owners
Posted on 2019-06-17
Neal Martin Score: 96-98
Price: £1,150 per 12
Vieux Chateau Certan (VCC) needs very little introduction and in recent years it has been shooting the lights out. Its reputation as a superstar is confirmed yet it still seems to be going from strength to strength. This is clearly attributable to the stewardship of the popular and modest Alexandre Thienpont. The last ten vintages have averaged a score of 96 – that is remarkable in itself.
We have identified the 2011 as an excellent opportunity to achieve exposure to this magnificent estate at a really attractive price level (only the disastrous 2013 vintage is cheaper, and only just). The wine came to the market at £1,075 per 12 in 2012 and is now £1,150. Post release the price slid to c.£950 before moving up by c.20% between the between ’16 and ’18. The weak Brexit pound was responsible for c. 10% of that and in the last eighteen months the price has barely moved.
There is a reason for the cheap price, it was a difficult vintage and Mr. Parker scored the wine with a paltry 91 points. We think he’s got it wrong – and so do many others. Neal Martin scores it 96-98, James Suckling and Tim Atkin 96 and James Lawther MW 19.
The 2009 and 2010 vintages Parker scored 99 points and were presumably a bit more in keeping with his tastes. These vintages contained no Cabernet Franc, even though the vineyards are planted 70% Merlot, 25% Cabernet Franc and 5% Cabernet Sauvignon. The 2011 contains 29% Cabernet Franc and as Neal Martin comments “this is more what I consider to be a classic VCC nose, unlike those previous vintages (’09 and ’10) that gives you everything up front, this is far more intellectual and enigmatic.... and are perhaps one day, even better ”. Not bad at half the price!
This chart uses only Neal Martin’s scores – if you believe in the critic, the data does the rest of the talking for you:
2011 was not a great Bordeaux vintage and suffered as it came behind the (over- priced) blockbusters of ’09 and ’10. En primeur was not working at all at that time and to add to the woe, timing also coincided with the ‘Great Wall of China Corruption Clampdown’ meaning the market was already in an unusual state of flux.
Pomerol is widely regarded as the appellation of the vintage. VCC ’11 has been described by some as wine of the vintage and by others as wine of the right bank. Either way, a slice of a potentially great VCC for under £100 a bottle has plenty of upside potential. The ’10 and ’16 are both in excess of £220 a bottle.
Here are Nick Martin’s comments following a 2011 dinner last year:
Vieux Chateau Certan 2011 is the last vintage - prior to 2018 - with a substantial percentage of Cabernet Franc in the blend at a whopping 29%.
Alexandre Thienpont believes this to be a great vintage but in a less exotic, full-on style than 2010 or 2009.
Yet it remains properly intense and rich, thanks to low yields of 37 hl/ ha that contributed to a wine with a high IPT count of 83 (phenolics that give structure and colour...the guts of a wine), rivalling the IPT levels of producers’ wonderful 2016s. Furthermore it’s vibrant and mouthwatering with a conventionally fresh ph of 3.50.
Whilst initially tight, VCC 2011 unfurls with 3 hours in the decanter, has a beautifully harmonious mid palate that evolves in the glass quite dramatically, and sports a finish that goes on and on. It can be consumed with great pleasure at a leisurely pace now yet will continue to improve over the next 20 to 30 years.
Cedar, a medley of briar fruit and griottes, a vein of intensely fresh orange, mineral earthiness and background spice notes are elements of a kaleidoscopic tasting experience that segues between the myriad nuanced flavours and makes for a thril- ling experience.
Tasted comparatively with a dozen other top 2011 Crus, the only wine in the line up that got remotely close to VCC’s complexity and overall class was La Mission Haut Brion.
Neal Martin’s tasting note from the Wine Advocate:
The Vieux Chateau Certan was cropped between 6th and 7th of September and from 14th until 20th September. That's what you'll read everywhere, although I was filming Alexandre when he was picking the final Cabernet around the 29th September! Cropped at 37hl/ha, it is a blend of 70% Merlot, 1% Cabernet Sauvignon and (yay!) 29% Cabernet Franc. It delivers 13.6 degrees alcohol with a total acidity of 3.5gms/L and an IPT of 83. After the Cabernet Francless 2009 and 2010, this is more what I consider to be a classic VCC nose and as Alexandre, unlike those previous vintages that gives you everything up front, this is far more intellectual and enigmatic with hints of mineral laden fruit, limestone and small dark cherries. It is beautifully defined yet distant. The palate is succinctly balanced with crisp acidity, exceptional balance and superb backbone. There is an undercurrent of masculinity, a saline tincture, cru- shed stone and a touch of dried herbs and yet these are just fleeting hints. It has enormous length and it is one of the very few that could be on the same ethereal plateau as the 2009 and 2010 and perhaps one day...even better. Tasted April 2012.
by Wine Owners
Posted on 2019-06-10
Today we see the release of the 2010 La Rioja Alta Gran Reserva 904. At £195 per six and with years of maturation already in the bank, this wine represents terrific value, especially when compared to some of the recent en primeur releases from further north (Bordeaux). The 2010 has an absolutely massive Wine Owner’s Relative Value Score of 111, (see chart attached). Tim Atkin awards 97 points and comments “Savoury wild herb notes segue into a palate that's focused, balanced and graceful with the concentration and backbone to age. 2019-35”.
Purely from an investment perspective these wines only appreciate in price quite some time after release, when scarcity starts to kick in as demonstrated here with the excellent 2001 vintage (attached).
Conclusion: buy with a view to drinking but see what happens!