in July
we wrote on the five-year compound average returns (CAGR) over the
life of the Liv-ex Investables Index, which tracks more than 200 wines from 24 top
Bordeaux chateaux. The chart below goes back to January 1993, and marks the
long-term average of 14.9%.

When we last reported on the CAGR, it had hit a six-year low of
3.1%. Nevertheless, we noted that in previous five-year periods when the CAGR was below 5%, the average compound
return achieved in the following five years was 17.6%. Now the CAGR is at 3.5%, having risen for the last two
consecutive months on the back of index
increases (if the Liv-ex Fine Wine 100 were to rise in October, it
would show its first three consecutive months of gains since March 2011).