W&W Irish Whiskey Brochure 08.22 (1) - Flipbook - Page 13
How investing in cask whiskey works –
exit strategies
1. Sell to an existing
whiskey brand
for bottling
• Many whiskey brands
do not own their own
distillery. As whiskey’s
popularity grows, we
expect to see many
more brands looking to
buy ready aged whiskey.
With the demand for Irish
whiskey far outstripping
current production, this
places investors in a safe
position with very little
risk of competition.
Over 100 Irish whiskey
brands are predicted to
enter the market in the
next five to ten years.
This, in turn, provides a
wider market for whiskey
buyers and sellers.
2. Sell to private investors
or collectors
• Private investors
often wish to bypass
large portions of the
maturation period by
purchasing mature
stock from our existing
clients. For example, a
potential client hoping
to own a 15-year-old
whiskey will be willing
to pay a premium for a
five-year-old and wait a
shortened ten years to see
a drastic return in profits.
This exit strategy is
incredibly valuable when
considering the bidding
wars that begin after the
eight-year benchmark.
3. Sell at a whiskey auction
• Whiskey auctions are
a popular exit strategy
and require the least
effort on the part of
the investor.
4. Private bottling
and labelling
• You can sell to
private labels such as
supermarkets, hotel
chains and even existing
brands or distilleries.
This option may be viable
to some of our clients.
Please do get in
contact with one of
our whisky experts.
Why Irish whiskey?
According to Fortune
magazine, Irish whiskey
has been overshadowed by
its Scottish, Japanese and
American counterparts from
an investment standpoint. 12
But long-time writer for
the Whisky Advocate,
Jonny McCormick, has
predicted that this is about
to change: “the Irish market
is going to be really big
over the next decade.” 13
With Irish whiskey set
for a breakout moment,
now would be a great
time to invest.
Irish whiskey had
another record year of
export growth in 2018 and
is the fastest growing spirit
in the world with exports
growing 300% over the last
decade, according to Irish
food board, Bord Bia. 14
Whiskey tops the
Knight Frank Luxury
Investment Index.
Knight Frank now includes
whiskey as an investment
in its index. Out of all other
luxury investments indexed
such as classic cars, wine,
diamonds and even stamps,
whiskey is in second place
behind the usual first place
juggernaut, art.15
Whiskey
versus wine
“Whiskey is viewed
as a much safer
investment than
wine, and also a more
accessible investment
for new collectors,”
according to
Iain McClune of
Whisky Auctioneer. 11
Wine requires many
different variables
to develop into a
valuable commodity.
It also continues to age
inside the bottle, leaving
it vulnerable to spoilage.
Whiskey doesn’t evolve
or age while in the
bottle, so the key is to
invest in it while the
spirit is in the cask.
Whiskey & Wealth Club are here to support you with any of these exit options.
12
“Excellent, very informative, Whiskey & Wealth Club
obviously know their business and we would like
to look further into investing.” DENIS AND ANN LYNCH
13
