Domaine d’Auvenay: Market Look

Deeper analysis on the sweetheart Domaine of the Leroy stable

Burgundian estates already tend to be on the lower end of production and d’Auvenay is minuscule in terms of Burgundy. The annual volume is rumoured to be just 10,000 bottles across all sixteen appellations. To put this in context, Domaine de la Romanee-Conti is considered a low-volume producer yet still produces around 85,000 bottles in a vintage across their stable; their holdings in Echezeaux alone eclipse the entire d’Auvenay vineyards!

The wines of Domaine d’Auvenay possess all the components required for a truly spectacular investment; a near-mythical reputation, tiny production, unwavering demand and ownership from the leading name in Burgundy. This has resulted in amplified returns over the recent run Burgundy has enjoyed. A rebase of the parcel available today can be seen below.

H2 of 2021 and beyond has been a particularly fruitful time for the wines of d’Auvenay, on average the parcel on offer today has increased 210%. This overshadows the stellar performance observed in the Burgundy 150 index from Liv-Ex which has appreciated 64% over the same term. Whilst the performance observed in the broader basket isn’t quite as impressive, it is a testament to the health of the Burgundy market as a whole.

All indicators seem to be pointing to a recession on the horizon, but the low correlation fine wine has historically demonstrated to traditional markets suggests a continuation of the momentum Burgundy is currently demonstrating. The velocity of Domaine d’Auvenay is clear and as inflation continues to soar, and a seemingly endless string of macro events cause increasing turbulence in traditional markets, more and more people are turning to fine wine as an investment asset. As such, the wines on offer today look like a no-brainer for speculators and those looking to diversify their holdings.

There are few people in wine more revered than Madame Lalou Bize-Leroy. She is truly the winemaker at the apex of the region and enjoys the moniker ‘The Queen of Burgundy’. She has devoted her life to the pursuit of Burgundian perfection and her winemaking seems to improve with every release. She is still the driving force behind her Domaines at the incredible age of 90 and with no successor waiting in the wings, it is unclear how many more vintages Domaine d’Auvenay will be producing of this calibre. This makes the case for stocking up now even more compelling, as the prices of her wines have the potential to go parabolic in the future.