# Cult Wines’ record growth recognised with Queen’s Award Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2017-04-26 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Former Apprentice Runner-Up Wins Queen's Award - Cult Meta Description: Cult Wines, led by Tom Gearing, anticipates £30 million in sales after Brexit surge. £50 million sales projected by 2020. Queen's Award winner! URL: https://financedigest.com/cult-wines-record-growth-recognised-with-queens-awardhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/0o1a8718-2642-1736843920741-compressed.jpg) - Former Apprentice runner-up, Tom Gearing, has scooped a major award from The Queen five years after Lord Sugar rejected his business plan. - Cult Wines anticipates record sales of around £30 million in 16/17, representing a 47% increase on last year - The firm has 2,000 clients across 66 countries and is projecting sales of £50 million by 2020 - Since Brexit, the Liv-ex Fine Wine 100 index has gained around 17% - Cult Wines has already surpassed the annual Asian sales of [last year](https://www.financedigest.com/crypto-investors-step-up-risk-management-after-last-years-meltdowns.html "Crypto investors step up risk management after last year’s meltdowns") (£6 million) and by the end of this year expects to see a 38% increase in Asian business Cult Wines, a specialist in the acquisition and investment management of fine wines, [announces that it expects to generate record](https://www.financedigest.com/norways-dnb-announces-dividend-after-posting-record-q3-earnings.html "Norway’s DNB announces dividend after posting record Q3 earnings") sales of around £30 million this year1, representing a 47% increase on 2015/16.  Cult Wines’ growth, which has been driven by [rising demand](https://www.financedigest.com/eyewear-market-rising-demand-or-trendy-and-fashionable-eyewear-drive-potential.html "Eyewear Market – Rising Demand Or Trendy And Fashionable Eyewear Drive Potential ") in the UK and Asia in particular, has been recognised this month with the company receiving the Queen’s Award for Enterprise (International Trade) on Her Majesty’s 91st birthday. Celebrating its tenth anniversary this year, Cult Wines has become one of the UK’s largest wine [investment companies](https://www.financedigest.com/the-benefits-of-investing-in-healthtech-and-medtech-companies.html "The Benefits of Investing in Healthtech and MedTech Companies") managing private and trade client portfolios on behalf of 2,000 clients across 66 countries. Tom Gearing, managing director of Cult Wines, finished in second [place on ‘The Apprentice’ the BBC television show in 2012 after his business plan for a wine investment](https://www.financedigest.com/esg-investing-does-that-mean-sacrificing-performance-is-the-uk-the-right-place-and-how-to-do-it-properly.html "ESG Investing – Does that mean sacrificing performance? Is the UK the right place? And how to do it properly") fund was rejected by Lord Sugar for being too risky. **Brexit vote [fuels surge](https://www.financedigest.com/oil-prices-stay-firm-on-fuel-demand-despite-covid-19-surge.html "Oil prices stay firm on fuel demand despite COVID-19 surge") in Asian buyers** The fall in [sterling since](https://www.financedigest.com/britains-cost-of-living-crisis-sends-sterling-to-lowest-since-mid-july.html "Britain’s cost of living crisis sends sterling to lowest since mid-July") the Brexit vote and the fact that fine wine is increasingly seen as a safe haven, has led to a huge surge in Asian buyers. This is particularly the case in [Hong Kong](https://www.financedigest.com/evergrande-winding-up-lawsuit-in-hong-kong-adjourned-to-nov-7.html "Evergrande winding-up lawsuit in Hong Kong adjourned to Nov 7") where the currency is dollar-linked. Cult Wines, which [opened an office in Hong Kong](https://www.financedigest.com/three-must-do-think-about-before-opening-a-company-in-hong-kong.html "Three Must-Do Think about Before Opening a Company in Hong Kong") last year to take advantage of increasing demand in Asia for investing in fine wine, has seen record sales from Asia. From September 2016 to March this year, the firm has already surpassed the [annual Asian sales of last year at £6 million and at the end of this year expects to see](https://www.financedigest.com/britains-kingfisher-sees-annual-profit-towards-higher-end-of-forecasts.html "Britain’s Kingfisher sees annual profit towards higher end of forecasts") a 38% increase in Asian business. In the last four years Cult Wines has seen a [compound annual growth rate](https://www.financedigest.com/aerospace-bearings-market-to-register-stellar-compound-annual-growth-rate-through-2026.html "Aerospace Bearings Market to Register Stellar Compound Annual Growth Rate Through 2026") of 235% in Asia. By 2020 Cult Wines Hong Kong expects to [hit sales of £20 million](https://www.financedigest.com/coca-cola-hbc-flags-one-time-195-million-hit-from-russian-operations.html "Coca-Cola HBC flags one-time 5 million hit from Russian operations") in the region. **Fine wine’s [safe haven](https://www.financedigest.com/dollar-nudges-lower-as-u-s-debt-ceiling-deal-dents-safe-haven-appeal.html "Dollar nudges lower as U.S. debt ceiling deal dents safe-haven appeal") status continues to perform strongly** Since the UK decided to leave the EU in June 2016, the industry benchmark index – the Liv-ex Fine Wine 100 index – has gained [around 17% to close on 304.302 at the end](https://www.financedigest.com/cellulose-derivative-excipient-market-is-estimated-to-reach-a-global-value-of-around-us-500-mn-by-the-end-of-2029.html "Cellulose Derivative Excipient Market Is Estimated To Reach A Global Value Of Around US$ 500 Mn By The End Of 2029  ") March. The index is at its highest level for five years and a recent survey of Liv-ex members showed they [expect the fine wine market](https://www.financedigest.com/global-hid-ballast-market-expected-to-decline-with-a-cagr-of-9-8-in-the-coming-decade.html "Global HID Ballast Market Expected to Decline with a CAGR of -9.8% in the Coming Decade") to rise a further 8% this year. The fine wine sector is worth over $4 billion a year and is increasingly recognised as a genuine alternative asset class, providing significant diversification benefits from mainstream financial markets. Indeed fine wines tend to perform well when the pound is weaker and boasts a number of defensive characteristics. [Holdings in wine are not normally linked to other asset prices](https://www.financedigest.com/oil-prices-hold-firm-amid-hopes-for-economic-growth.html "Oil prices hold firm amid hopes for economic growth"), so the long-term performance of fine wine is generally uncorrelated with financial markets. While the UK [continues to represent Cult Wines’ largest](https://www.financedigest.com/adnami-continues-its-european-expansion-by-introducing-new-partnership-with-largest-pan-european-online-car-market-autoscout24.html "Adnami continues its European expansion by introducing new partnership with largest pan-European online car market AutoScout24") investor base at around 52%, Asia now accounts for almost a third (29%) of its investors with Europe at 12%. US investors now represent around 5% of all Cult Wines’ client base. **Tom Gearing, Managing Director at Cult Wines,** said: “We’re deeply [honoured and delighted to be awarded the Queen’s](https://www.financedigest.com/in-westminster-abbey-the-deafening-sound-of-silence-to-honour-queen-elizabeth.html "In Westminster Abbey, the deafening sound of silence to honour Queen Elizabeth") Award for Enterprise International Trade. It is fantastic to be recognised and our performance over the last year has helped to cement our position as one of the leaders in the wine [investment market](https://www.financedigest.com/these-days-tik-tokers-can-move-markets-more-than-investment-analysts.html "These days Tik-Tokers can move markets more than investment analysts…"). Our office in Hong Kong has helped the firm to consolidate our services to a growing client base in Asia. “Fine wine is increasingly recognised as a genuine alternative asset class, providing significant diversification [benefits from mainstream financial markets](https://www.financedigest.com/health-benefits-served-by-vegan-diet-will-infuses-vegan-noodles-market-demand.html "Health Benefits Served By Vegan Diet Will Infuses Vegan Noodles Market Demand"). Not only can the sector provide [strong returns under expert guidance](https://www.financedigest.com/italys-leonardo-raises-fy-orders-guidance-after-strong-nine-months.html "Italy’s Leonardo raises FY orders guidance after strong nine months") but it is an enjoyable, collectible, tangible asset that has a very exciting future. Fine wine investment can act as a defensive holding as it has the capacity to [remain stable under difficult economic](https://www.financedigest.com/german-economic-growth-to-remain-muted-in-near-term-imf.html "German economic growth to remain muted in near term – IMF") conditions. It has the advantage of not necessarily following the general [trend of lagging behind the rest of the market](https://www.financedigest.com/amino-acids-market-trends-size-share-growth-forecast-report-2025.html "Amino Acids Market Trends, Size, Share, Growth Forecast Report 2025") during economic expansion because demand is consistently strong.” Alongside the prestigious Queen’s Award for Enterprise International Trade, Cult Wines has been ranked 42nd in the 3rd annual Sunday Times Lloyds SME Export Track 100 in February this [year](https://www.financedigest.com/subsea-navigation-and-tracking-market-one-the-most-booming-industry-in-upcoming-years-due-to-global-demand-in-industry-by-2027.html "Subsea Navigation And Tracking Market| One the Most Booming Industry in Upcoming Years Due to Global Demand in Industry by 2027") and 40th in The Sunday Times Virgin Fast Track 100 in December. The [firm’s headcount at its London headquarters currently stands](https://www.financedigest.com/dollar-stands-firm-while-traders-await-cpi.html "Dollar stands firm while traders await CPI") at 25. **Tom Gearing** continues: “In terms of liquidity, the fine wine [market also boasts an enviable market position in comparison to other passion assets such as classic cars](https://www.financedigest.com/impact-of-covid-19-outbreak-on-autonomous-car-market.html "Impact Of Covid-19 Outbreak On Autonomous Car Market"), fine art and stamps. As the only one of these with a recognised market exchange, thriving international auction market and established secondary market [worth](https://www.financedigest.com/industrial-hearables-market-worth-us-991-5-mn-by-2026-comprehensive-research-report-by-fmi.html "Industrial Hearables Market worth US$ 991.5 Mn by 2026- Comprehensive Research Report by FMI") over $4 billion per annum, it offers sufficient liquidity to investors looking for alternative sources of return.” --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---