A Beginners Guide to Collecting & Investing in Whisky – Part 1 – Scotch Whisky Investing
A Beginners guide to collecting and investing in whisky – part 1
Nowadays a week doesn’t seem to pass by without another article on the current whisky boom and how you can make a decent return on almost any purchase. Savvy investors and collectors can be rewarded by understanding the market and potential opportunities as they arise.
With this increasing coverage many are being attracted and are stepping into whisky whether it be new releases or auctions for the very first time. In such circumstances a little guidance should be welcome. For those new to this realm then hopefully here we can shed a little more light on the ins and outs of purchasing whisky. Highlighting some precautions to arm yourself with prior to venturing into the world of online auctions.
WHAT DO YOU WANT TO ACHIEVE?
We’re often asked whether we:
- Buy to drink?
- Buy to collect?
- Buy to invest?
In all honesty it’s a little of each for the Just-Whisky team, however everyone is different. Firstly you need to establish what you want to achieve? Are you making this a business venture or do you have a growing appreciation of whisky and want to entertain guests with an array of impressively distinctive bottles in your drinking cabinet? Or do you have a connection with a particular distillery or region and therefore want to start a collection and experience the enjoyment of tracking down and acquiring bottles that fit your criteria?
Some collectors or investors limit themselves to one specific distillery such as Macallan, others may focus on a region or a whisky they really enjoy. Sellers may use current releases to quickly turn a profit (‘flipping’) or others are purely involved in the long game; patiently waiting 10, 15 or 20 years before they’ll consider selling their acquisitions. In this era of low or non-existent interest rates in the UK, investing in whisky is more enticing than an ISA or more traditional options.
INFORMATION IS KEY
Once you’ve made the decision of whether you want to collect, invest or experience new whiskies for yourself. Then the next step is to arm yourself with information and knowledge. It is by doing this you’ll appreciate whether a bottle is truly a ‘limited edition’ worth acquiring, or it if is more available than a can of diet coke.
