The Wine Source Fund
Executive Summary
Investment Opportunity
Worldwide Fine Wines Market has consistently outperformed most major financial instruments and indexes over the past 10 years, including commodities and energy such as Gold, Silver and Oil. An established tangible asset, Fine Wines value is directly impacted by a strong growing worldwide demand, heavily fuelled by Asian and BRIC markets and reflecting growing consumer demand from individuals, collectors, restaurants and luxury hotels around the globe.
Well positioned to consolidate on this market trend, Wine Source Fund is a fully regulated European Fund managed by Industry recognised Wine Experts using their solid knowhow and best in class methods to offer a Dynamic Fine Wine portfolio Management that includes both traditional French Bordeaux and Burgundy and top European and New-World Fine Wines..
Key Investment Highlights
Growing Wine Market
Demand for Fine Wines is a steady and strong long term cycle market trend impacted heavily by China, BRIC and recently India markets. The growing demand for these luxury rare products is a result of continues changes in consumption and Investment behaviour in those regions. Fine Wines are traded daily on the LIV-EX marketplace and in Auctions around the world.
Attractive business case
Fine Wines products animate a Market Place in which strong demand is impacted by limited Fine Wine supply. This creates a consistent upside pressure on prices. It also creates an evident value creation for entities such as Wine Source Fund that has a direct access for that limited supply. Another interesting factor that makes the Fine Wines business case very attractive is that though Fine Wines are a dynamic Investment product that regularly outperforms major financial instruments, it is also considered as a class of asset very resilient to financial markets movements and conceived as relatively safe harbour during financial crises.
Experienced Management
The Fine Wine Industry and marketplace requires a tremendous high level of Fine Wine management skill and knowhow to optimise Investors value in wine selection process, in getting the access to the desired wine products at best prices, in fulfilling in need to carefully store and maintain the Fine Wine Inventory and to sell it on the right timing. The Wine Source Fund management team offers years of solid credentials and expertise in the Fine Wines Industry. Combined long years Passion to wine and large top executive management experience in large corporations worldwide (Lexmark, Kodak, Polaroid) brought Philippe Kalmbach to found Wine Source and to merge Traditional wine management with recent best in class technologies tools and methods to optimise Fine Wines sourcing and Market information. Assisted by a network of recognised Sommeliers, Philippe gave to Wine Source an International dimension, covering classic French Fine Wines in Bordeaux and Burgundy as well as other raising European regions and Top New World Grands Crus. Another member of the Fund management team, Tommaso Pezzato brings years of experience in sourcing Fine Wines with the largest Wine Dealers in France and in Italy.
Regulated European Fund with Best in Class Tools and Methods
The Fund realises its investment strategies using state of the art methodologies and tools, including market researches and performance ratios indicators. The Fund uses its technology and market know-how to source 95% of Fine Wine offering supply at competitive prices, uses best in class custodians in France and UK and insure it selected Fine Wines at 100% replacement value. Wine Source Fund is Fully Regulated by the Malta FSA, with Praxis Malta as an Independent Administrator and audited by Deloitte to ensure transparency and consistency. The Fund quotes are published daily on Bloomberg and Reuters.
Dynamic Fine Wines portfolio management
Exploring opportunities on traditional French and other European Fine Wines as well as other Fine Wines from the “New World”, the Fund will invest in Top Bordeaux Grand Cru classes but will also leverage its privileged access to Top Burgundies, Super Tuscans and Piedmont wines as well as addressing the raising demand for Ultra rare Whiskies. The fund will keep at all times 10% of its assets in cash to optimise purchases as well as redemption of investors’ shares.
8 Good reasons to invest in the Wine Source Fund
- Fine Wines is an established tangible asset that significantly outperformed the financial market and weathered financial crises extremely well.
- Fine Wines worldwide demand continues it solid growth year after year in a market that suffers from a limited wine supply.
- The Fund has a strong Wine Experts team with large credentials and wide knowledge in Fine Wines Industry.
- The Fund applies best in class methods and a daily dynamic Fund Management practice to truck market trends and picks best products to ensure an optimal Fine Wines portfolio that maximizes the investor’s returns.
- The Fund has a unique market positioning to access almost all the International Fine Wines supplies at best market prices.
- The fund uses First Class Custodians and Fine Wines conservation practices.
- The Fund is fully Regulated and fully Collateralised which ensures transparency and constancy of business methods and financial /NAV pricing information.
- The Wine Source Fund aims to a long term growth and a high yield potential return while consolidating its Fine Wine Market knowhow and positioning with a long term dynamic wine market growth trend.
Current target - Euros 100 Million under management
2011 - Euro 10 Million under Management
Target Return - 20% per year
Minimum Expected Return - 10% per year (Non-guaranteed)
- Minimum Investment - 75000 €
- Nominal Price per Share - 1000 €
- Net Assets Value and Investment period - Quarterly
- Management fees - 2% of Yearly NAV, paid quarterly
- Performance fees - 20% of Yearly NAV, paid yearly
Quarterly Redemption
- For the first months - Redemption is locked
- From 10 -15 months - Option to early redemption at 20% fees
- From 16 -18 months - Option to early redemption at 10% fees
- After 18 months - Redemption is free
Independent Administrator - Praxis Malta (member of the Praxis Group)
Auditor - Deloitte
Bank - HSBC Malta plc
ISIN NUMBER: MT7000003752 | Forsythe Investment SICAV plc | Wine Source Fund
For supplementary information please contact:
Mr. Philippe Kalmbach, The Wine Source Fund, Green Park House, 15 Stratton Street, London W1J 8LQ, UK
Email : contact at wine-source dot com | Tel : +44 (0)203 036 0255
Disclaimer
The content of this document is communicated by Wine Source Fund or one of its agents individually and exclusively to specific potential Investors and for their information purposes only. It is not allowed to use the document and its content for publication in the press or elsewhere without permission of Wine Source Fund. Each recipient of this document recognises that all the information contained herein is of a confidential nature. Accordingly, he agrees by its receipt not to copy or disclose its content to third party this without a prior written consent of Wine Source Fund or one of its agents. This document is provided “as is” without warranty of any kind, either expressed or implied. The document is confidential and the proprietary of Wine Source Fund.
