Yuan wine find offers alternative investment opportunity in China

The Red Sun Fund, a new China-focused wine fund, will launch in mid-July, as an alternative investment opportunity with a minimum investment of 2 million yuan and projected returns of 15-30 percent per annum.

This fund seeks to invest not only in top international fine wines, but also in famous international table wine brands doing well in the Chinese market and wineries across mainland China.

Some famous and very knowledgeable people from Christies HK are involved in this project, as well as some government personnel from China, and the daughter of Hubert de Bouard, owner of Chateau Angelus in Saint Emilion is on the board of directors. They already have some famous, big-name investors.

With increasing wine demand from China, prices of wine have been pushed to a record high level. Global uncertainty and the crisis have made investors lose confidence in the real estate sector and equity market. Therefore, opportunity searching investors may consider the wine industry as a good chance to pursue wealth management to beat growing inflation.

Wine prices are relatively volatile, considering market demand and supply. Experts report sometimes a lack of accuracy towards the market expectation. Therefore, investors should take considerable research to choose the way of investment.