Tomoka Casks has just released our in-depth report on the whisky market in the second quarter of 2021. Below you’ll find a brief excerpt of our expert findings, and a link to the full-length complimentary report at the bottom of the page.
WHISKY MARKET OVERVIEW
Despite the ongoing uncertainties and market jitters over the COVID-19 pandemic, Q2 has been remarkably positive for the whisky market. Scottish distilleries and trade organisations have been celebrating the five-year suspension of 25% US tariffs on Scotch Single Malt imports, and there are also expectations that the UK’s trade deal with Australia will remove or lower import tariffs on Scotch.
This is great news for Scottish distilleries and for the wider whisky market, and is expected to be the key driver for the Scotch whisky market over the next few quarters as exports slowly return to pre-tariff levels. In other news, rare whisky has performed well at auction with a very special 24-bottle collection of Kweichow Moutai “Sun Flower” 1974 achieving a record £1 million at Sotheby’s online auction in June.
Whisky investments have also been hitting the headlines thanks to the exceptional long-term performance of iconic distilleries like Macallan. 59-year old bank manager Roger Parfitt has been featured in several news outlets thanks to his 4700% return achieved on two casks of Macallan and Tobemory purchased for £4,500 in 1994. Parfitt sold the two casks for £225,000 this year and now plans to retire early and invest part of the
proceeds in investment-grade casks for his children.
STAY SAFE IN THE MARKET
As a counterbalance to this story, rogue whisky investment companies have also been making the headlines. In July The Times warned their readers about firms promising enormous “guaranteed” returns which later failed to deliver.
As with any investment, if the returns seem too good to be true, it’s advisable to proceed with great caution and seek advice from trusted experts. Remember that Mr Parfitt’s remarkable 4,700% return took 30 years to achieve, and his initial choice to opt for Macallan was the result of careful analysis and risk assessment. When considering your investment options, bear in mind that investors can typically expect to see returns of 8-10% and any company that promises significantly higher returns should be approached with a healthy dose of scepticism.
We know that access to quality market analysis is critical, especially given the ongoing volatility impacting the stock market and more traditional asset classes due to the COVID-19 pandemic. That’s why we put together an in-depth quarterly report exclusively for our investors and subscribers.
To continue reading our Q2 2021 report on the whisky market, simply click the button below.