LONDON--(BUSINESS WIRE)--In September, investors purchased a record total of 111.2 palettes of new-make premium spirit through Whiskey & Wealth Club. Investing a total of £1,803,627 as they look to hedge against the uncertainty of the financial markets amidst the pandemic. An increase of 53.96% on the previous month.
This recent leap in demand has been driven by uncertainty surrounding global financial markets, as well as the impact of the pandemic on the global economy, which is forecast to lose $28trillion, according to the IMF.
During September, Whiskey & Wealth Club also released a limited, prestigious run of "Staoisha" produced by a highly regarded Islay distillery. The distillery is one of the most-established in the famous whisky producing region of Islay, regarded by many connoisseurs as the finest whisky-producing region in the world.
The popularity of whisk(e)y investment has soared in recent years. This year, rare whisky topped the Knight Frank luxury investments index, rising by 564% in value over the last decade. The Whiskey & Wealth Club 2020 Cask Whiskey Buyer report found that 89% of investors are looking to spread risk by turning to alternative investments, while 55% of investors would consider investing in cask whiskey to hedge against other investment markets and also Covid-19.
Commenting on the record month, Whiskey & Wealth Club CEO, Scott Sciberras, said: “Our September success further underlines whisky’s growing appeal for investors who are craving an asset-backed product, delivering favourable returns amidst the financial uncertainty of the pandemic.
“Investors conducting their due diligence will know that value, age, quality, brand and rarity all drive the value of whisky. Our access to exclusive runs from premium distilleries continues to be a key differentiator in the market and a driver for investors to choose cask whiskey as an alternative investment.”
Whiskey & Wealth Club offers both private investors and various pension funds the opportunity to purchase premium Single Malt and Single Pot Still New-Make Spirit at ultra-wholesale prices from leading distilleries. The casks are then stored in a secure bonded warehouse to mature for five, ten or fifteen+ years, before exiting for a greater percentage yield or if preferred could even venture down the bottling route.