One of the major trends catalyzed by the era of low interest rates and excess liquidity has been the drive towards real assets. Uniqueness and scarcity premiums are paid in assets as diverse as real estate, art, digital assets, and fine wines. With our friend Jason Buck (CIO of Mutiny Fund) as co-host, we were joined this week by Atul Tiwari (CEO of Cult Wines) for a deep dive into the world of investable fine wines. Topics included:

• Atul’s journey – from reformed lawyer and finance executive to managing liquid, wooden-barreled assets
• Separately Managed Wines – tailored solutions for different objectives
• The industry’s original 800 pound gorilla and his point system – reverse-engineering for a single palate
• Specialization and diversity – the multiple voices currently driving wine culture
• The surprising existence of wine futures
• Vintage ranges, consumption windows, storage and handling
• Value vs growth dynamics, with no easily accessible beta – and some serious negative carry
• Insurance, free ports and bonded warehouses – geographic diversification and avoiding double taxation
• Bypassing auctions and buying only when authenticity can be verified

Enriched by Jason’s experience as a former restauranteur and Mike’s passion for the subject, the conversation also touched on underappreciated vineyards, great documentaries, and tips for finding appropriately aged wine in restaurants. A special thanks to sommelier Amanda McCrossin (@SommVivant) for joining our live chat (and adding tons of pedigree to Jason’s views). If there was ever an episode that you should consider pouring a glass for, this is it.

 

This is “ReSolve’s Riffs” – live on YouTube every Friday afternoon to debate the most relevant investment topics of the day, hosted by Adam Butler, Mike Philbrick and Rodrigo Gordillo of ReSolve Global* and Richard Laterman of ReSolve Asset Management.

 

*ReSolve Global refers to ReSolve Asset Management SEZC (Cayman) which is registered with the Commodity Futures Trading Commission as a commodity trading advisor and commodity pool operator. This registration is administered through the National Futures Association (“NFA”). Further, ReSolve Global is a registered person with the Cayman Islands Monetary Authority.