At Whisky investment UK (Part of the Silvercrest Group of companies) we have talked a lot about applying a safety net to investments. As a vintage Whisky distributor and as we are also heavily involved in the energy markets and the supply of energy to Whisky distilleries and bonded warehouse operators, we know a little about what we do. And we think we are going into a pretty nasty #recession (or are almost in one at the time of writing 13.05.22). Staff layoffs are likely coming house prices we believe will fall. The demand destruction is everywhere due to the largest monetary tightening in history following the worldwide pandemic, and in the UK, Brexit and now the war in Ukraine.
Alternative Investment and Investment Safety in 2022
The #equitymarkets, as we will point out in further posts, have priced this already. The credit markets are beginning to price this and commodities like copper are doing what metals do. Its the YoY rate of change of these assets you need to look at.
The #bondmarket and #oil are the two assets not pricing in future recession yet (due to the supply issues in #energy). Bonds finally decided to join the party and the trend of higher yields lower equities has probably ended. Lower stocks now equal lower yields….
The final show to add to this will be oil, which will break lower.
Bond yields falling and oil falling will give the excuse to the #Fed to hike prices, maybe in May and then pause (or do one more in June). The bond markets will then begin to price it out.
However, the next 4 weeks are going to be highly unsettling as every position will take a hit. There will be no safe place to hide (except maybe bonds – but most people are short those).
#Crypto is full of panic. Online debates, mudslinging and fake news reports is usually a sign of approaching the lows. March 2020 was very similar in levels of fear, anger, vitriol, shock and panic.
Bear markets and recessions are hard and can be of course very financially scary but they give HUGE opportunities. One of the current opportunities for steady growth has to be Whisky.
We have all read the reports of the chap that bought two casks in 1994, a Macallan for £3200 and a Tobermory for £1500 and later sold them for £225k !
And while returns of 4700 % are exceptional it’s not in common.
Whisky Cask Investment at Whisky Investment UK
At Whisky investment UK, we advise that in this unsettled market whisky does seem the safe bet. It naturally appreciates over time, and evidence can be found all over that purchasing the right cask, stored in the right conditions by a reputable wholesaler (not a sales broker) can offer average 10-12% returns safely delivered over as a little as 3-6 years.
If you are in the market to discuss where your money is safely invested and whisky sold reputably and sustainably then please contact our highly knowledgeable team today.