Sommtrust is the first-ever actively managed wine investment platform for a new generation. We offer investors a smart, easy alternative to traditional investments, making it easier for people to participate in wine investing, without the hassle of trading and researching investment grade wines on their own.
Fine wine as an asset class has outperformed most global equities with 13.6% annualized return over the past 15 years. Furthermore there is a negative correlation between the wine market and traditional financial assets, reducing your portfolio risk exposure during times of economic uncertainty.
Choose between our three strategies: Flagship, Rising-stars and opportunities. At this moment only Flagship is available. Sommtrust automatically invests your capital directly into our strategies. You're invested in a selection of high-quality wines, based on your risk tolerance and budget, vetted by our Master Sommeliers. We locate, acquire, authenticate and store your wines in our state-of-the-art storage facilities. We also fully insure your wines against breakage and loss. We update your portfolio once per quarter, but only a few wines tend to change given our long-term holding philosophy. Sommtrust doesn't stop here: we will send monthly insights and context on your investments, helping you become a better investor over time.
Note: you own physical wine bottles rather than shares in a fund.
Currently our only strategy is Flagship. This strategy invests your capital in high-quality wines vetted through deep fundamental research by our Master Sommeliers and Research team. Your portfolio is updated when the we see a better risk/reward opportunity than an existing wine holding(s). Sommtrust is a long-term focused with low turnover.
We remove all the hassle when it come to invest in wine. We handle sourcing, inspecting, storage and insurance. Furthermore we source our wines from wineries, global wine exchanges, and merchants. Through our direct connections with producers and merchants, Sommtrust is often able to source wines for below retail price, always reliable and transparent.
We offer full authentication of your wines before coming to our warehouse. We guarantee provenance by only acquiring wines directly from wineries. All of your wines are stored in state of-the-art wine storage facilities around the globe. All of these facilities are bonded, so we can offer significant tax advantages with no VAT or excise duty taxes. We also extend a full insurance policy (equivalent to FDIC for wine), at market value, to protect your wines.
Your wine is, and will remain, legally yours. When you invest with Sommtrust, you own the actual underlying asset, we will issue an ownership title every time we trade wines in your portfolio. Your wines are not, at any time, a company's asset. Therefore if anything happens to Sommtrust, you're the sole owner of the wines.
We charge a 2.7% annual fee for our Basic plan, this includes wine buying, wine fraud detection, and selling as well as active management of your portfolio. We do not charge any buying or selling fee. Sommtrust’s fee is prorated across the year based on the average balance in your account, and a portion of this is charged monthly. The minimum investment amount is $1,000.
We will send out monthly updates on your portfolio, to keep you aware of what's driving your portfolio. We're currently working on a mobile app, coming in the next few weeks.
You can choose to liquidate your portfolio at any time. Due to the nature of this investment the process usually takes between 2-4 weeks as we have to find a buyer willing to purchase your wines.