Arbitrage—the practice of buying in one market and selling in another at a higher price—is a well-established strategy in the world of finance. For fine wine traders, it’s a powerful way to increase margins and diversify income at a time when margins feel increasingly squeezed and threatened by geopolitical factors. But identifying arbitrage opportunities in wine can be time-consuming and complex.
Due to a fragmented marketplace, different regions often place different values or have varying levels of demand on the same wine. For example, a case of Bordeaux might drive a different price in Asia versus Italy. At first glance, the opportunity is clear – buy wine where it’s cheaper, sell where it’s more valuable. In practice, it’s not that simple.
Until now, uncovering these opportunities has meant hours of manual work: checking regional marketplaces, calculating exchange rates, and estimating tariffs, duties, and shipping costs. It takes time that most wine businesses don’t have to spare.
Introducing Regional Benchmarks on Liv-ex
We recently expanded our Regional Benchmark offering. Previously, members could view the best listed price for a wine in key markets including the US, Hong Kong, Singapore, and among négociants in La Place de Bordeaux. Now, the data is broader — with the UK and Europe added — and even more actionable than before.
For the first time, there is a single trusted reference point for each region— saving merchants valuable time that was previously spent cross-checking multiple, fragmented sources.
Not only can Regional Benchmarks now be viewed side by side in a ‘world map’ view on every individual wine page, but they are also integrated into Liv-ex’s List Studio. Here, members can upload a stock list — or a client list — and instantly receive a regional benchmark for each wine.
Members can use this valuable data to identify the wines most of value in their region. They can compare prices at scale, including against other Liv-ex proprietary data points such as Bid and Offer, and sort by percentage difference.
Where’s the opportunity in arbitrage?
- For professional traders, arbitrage offers:
- Quick-turn profits—no need to wait for prices to rise organically.
- Stock rotation—move wines faster by tapping into markets with higher demand.
Within seconds, Liv-ex members can identify:
- The value of their stock list or a clients’ lists in each region.
- Where they are most and least competitive.
- Opportunities to sell stock in regions where prices are higher.
- Where to source wines more affordably in the future.
It’s complex, but Liv-ex makes it easier
Unlike high-frequency trading in finance, wine arbitrage isn’t instant. But with Liv-ex, you can gain a competitive advantage. Our pricing data, logistics services, and trading platform help you move confidently, minimise risk, and execute faster than ever before.
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