⚠️Risk Disclaimer

Fine Wine is an unregulated asset and investors should be aware that the value of their portfolio can go down as well as up. Please see below for a list of the key risks.

These risks are not the only ones known to WineFi at the time of this communication. Additional risks, either currently unknown to WineFi or deemed immaterial, may also adversely affect the value of an Investment. Investors are strongly encouraged to seek professional advice if they have any doubts when considering an Investment.

Key Risks

1. Capital at Risk

Illustrated returns in this document are not guaranteed. The value of your Investment may decrease as well as increase, and you may not recover the full amount invested.

2. Illiquidity

Investments in fine wine should be considered medium- to long-term and are inherently illiquid. While assets selected are based on secondary market trading volumes (excluding rare or illiquid wines), exit opportunities remain uncertain. The expected holding period is approximately five years but could be longer, and Investors may not achieve returns before this time.

3. Unregulated Asset Class

WineFi is not regulated by the UK Financial Conduct Authority (FCA). Additionally, fine wine as an asset class is not directly regulated by the FCA. Consequently, protections like the Financial Services Compensation Scheme or the Financial Ombudsman Service are unlikely to apply, and poor investment performance will not be covered.

4. Reliance on WineFi

WineFi relies on a robust network of fine wine industry relationships and expert guidance. Any loss of key personnel or other disruptions to WineFi's services could negatively impact the prospects of an Investment.

5. Physical Storage

All wine purchased will be stored in Coterie Vaults, a purpose-built UK government-approved bonded warehouse. While optimal storage conditions will be maintained, risks such as damage, fire, contamination, or theft remain. Although the wine will be insured at full replacement value, such events may lead to investment losses.

6. Market Conditions

Market factors such as interest rates, consumer preferences, and volatility in wine markets can adversely impact Investment values. Trends in wine markets do not guarantee or predict future outcomes, which may differ significantly from current perceptions.

7. Changes in Law

Changes to laws or regulations, or non-compliance by WineFi, could negatively affect an Investment. Additionally, personal tax rates and benefits related to capital gains may change, and such outcomes depend on an Investor's individual circumstances.