
Monitoring and evaluating your whisky investments
Whisky investments: when to keep, sell or buy?
Whisky has proven itself in recent years as an attractive and profitable investment option. The value of rare bottles has risen to record highs, making whisky a fine addition to your investment portfolio. But as with any investment, it is very important to act strategically and to regularly evaluate your positions. In this blog, we discuss the best times to keep your whisky investments, when you may be able to sell or maybe even buy more. What factors influence these decisions? You can read it in this text!
When to keep your whisky investments?
To start with, we will outline a number of factors that can make you decide to keep your whisky investments. One of the main reasons to hold your whisky investment is its high potential for the long term. Many whiskies, especially rare single malt Scotch whiskies, become more valuable as they get older – and therefore rarer. Have you invested in a bottle with a long aging period? Then it is wise to keep it until the bottle in question has reached its full potential.
In addition, you must of course take into account the market conditions. As you are no doubt aware, the value of whisky is affected by market conditions such as supply and demand and economic stability. Is this stability low and is there economic uncertainty? Then the demand for products such as whisky may decrease, leading to lower prices. In that case, it may be better to hold on to your investment for a while and wait for market recovery. Finally, personal circumstances can also be a good reason to keep your investment. Is a bottle unique, important or valuable to you personally? Then that can be a good reason to keep it in your portfolio, regardless of its financial value.
When is a good time to sell your investments?
To make a profit from your investment, it is good to sell the whisky at the right time. But what exactly is the right time for the sale? Below we list a number of good sales moments.
Value peak
A moment when many serious investors choose to sell their investment is when the investment – in this case a certain whisky bottle – reaches its value peak. Reasons for this could be an increase in demand, a trend in the market, or a very favorable economic situation. Is the value at its peak? Then it can be smart to sell and take your profit.
Financial goals achieved
If you set a specific financial goal in advance and this goal was eventually achieved, now could be a good time to sell. Especially when you see other interesting investment opportunities.
Oversupply and falling prices
Are there any signs that the whisky you have invested in is overvalued and is the market flooded with similar bottles? Then it is a good time to sell, because there is a good chance that the value will decrease significantly a little later.
When and where can you possibly buy additional whisky?
Another option is to buy additional whisky. This can be wise when you see an opportunity for an increase in value, for example when a certain distillery becomes more popular or an exclusive edition becomes available that is expected to be worth a lot in the future. Of course, good timing is essential, because you want to buy before prices actually start to rise. In addition, a so-called 'dip' in the market also offers opportunities to buy more at lower prices. Are prices falling temporarily due to economic conditions, for example? Then now could be a great time to add valuable whisky to your portfolio.
Buying additional whisky can also be a smart strategy to diversify your portfolio. Purchasing whiskies of different ages and brands spreads the risks and increases the chances of a successful investment. In addition, diversification helps to protect your portfolio from fluctuations in the value of specific bottles or kegs. A good place to invest in whisky is through the platform Scotch Whisky Investments. Joining here can be done in different ways and is very easy, especially because you can count on expert help from A to Z and our managed investment approach also takes care of everything. Interest? Do not hesitate to contact us, so that you too may benefit from the increase in value of whisky in the future!
