The FTSE100 entered an official bear market on Wednesday (20% under its most recent high), and then proceeded to spend Wednesday, Thursday (and Friday so far) recovering. Oil is back above $30/barrel, the yield on 10 year British treasury bonds is unchanged, and Sterling is appreciating against both Dollar and Euro.
The crossover between investments of passion or alternative assets such as property, art, fine wine, classic cars, gold and watches seems to be increasingly blurred as people seek to classify what is worthy of the attention or wallet of a connoisseur or a collector and those who just enjoy surrounding themselves with the finer things in life.
People who have placed their money in fine wine investment over the past 18 months will have little to cheer about. The market has seen a general downturn in value, but when measured against other asset classes, it still holds its own. Those who have been in the fine wine market for a number of years are relaxed, having more of a feel for the natural dynamics of the correction we have endured since mid 2011.