PhillipCapital has launched its first digital En Primeur wine-based token, providing an alternative investment opportunity in luxury wines.
The tokens will be traded on private securities exchange platform Alta — formerly known as Fundnel.
Each of the asset-backed securities (ABS) digital token is linked to a parcel of 36 bottles of 16 wine labels, representing the finest wines of the 2020 Bordeaux EP vintage. This includes Lafite Rothschild, Haut Brion and Mouton Rothschild.
Upon bottling in 2023, or at the maturity of the secured notes in 2026, investors can opt to redeem for payment from the sale of wines or physical collection of the wines.
“Our clients have been looking at alternative investment vehicles to complement their portfolios. Thanks to the emergence of digital ABS, high-net-worth investors and family offices can add such rare and limited-edition luxury investments to their portfolios,” says Phillip Securities managing director Luke Lim.
PhillipCapital and Alta had previously collaborated on other listings, including the launch of Southeast Asia’s first whiskey-based ABS tokens in early 2021. The tokens were listed on Hg Exchange, which was acquired by Alta in September.
Alta is licensed by the Monetary Authority of Singapore. Its shareholders include Phillip Securities, Nomura Holdings, Integra Partners and Prime Partners.