Wine & Whisky Investments with London Barrelhouse

When you get to my age you start to think about many things. Not that investment opportunities are exclusive to people in their 30's, it just didn't occur to me in my spritely twenties that I could do so much more with my money than have it lay turgid in my saving account.

Today I'm going to talk about one great investment opportunity that you should all consider; Wine & Whisky Investments with London Barrelhouse.

What is London Barrelhouse?

London Barrelhouse is a group of wine and whisky connoisseurs that act as consultants to anyone looking to diversify their wealth management. London Barrelhouse will help tailor a Cellar Plan which is a simple way to build a collection of wine or whisky, or mixed, specifically for your taste.

You can see a few examples of what a Cellar Plan would look like in a link here. You'll soon be surprised how rapidly a wine or whisky collection can grow, even with a monthly investment of only £300 per month. (Minimum spend).

Is investing in Wine a good idea? 

Some great extensive research has been correlated on the benefits of investing in wine which can be found on the London Barrelhouse site here.

In short you'll find many benefits such as wine being exempt from Capital Gains Tax, Duty and VAT due to it being a wasting asset.*

The demand for fine wine is on the up, especially in Asia. There is a limited amount of stock in an asset made primarily for consumption and there are only approximately 50 producers globally, capable of making wine deemed to be investment grade. 

A good example of a good investment in wine

In march 2019, esteemed London auction Christies held the most expensive sale of a case of wine. The sale for 12 bottles of wine from Burgundy, France reached $305,000. This tallied a staggering 126% increase on the same case in just 8 years 

What kind of wines should I be investing in? 

They say a little knowledge is a dangerous thing, so let me give you mine. If you have differing opinions or thoughts on what are the best wines to invest in 2020, please leave a comment below. 

You will need to know where the wine is from. Typically the most investible wines are from the region of Bordeaux account for 60% of wine investment activity. Burgundy accounts for 20%. If you have wines that are not from any of these regions, you might as well drink it.

Is investing in Whisky a good idea?

The trajectory arc of the growing global market for premium spirits, I.E whisky, is only going one way. In 2018, the export value of scotch whisky grew 7.8% by value, to a record £4.70bn. There are some very interesting facts on the growth of the investment opportunity in whisky on the London Barrelhouse site which you can find here. 

Personally, the most seductive of these KPI's is the limited downside risk. Unlike financial markets, there is limited downside risk to holding a tangible asset with intrinsic value such as whisky. 

A good example of a good investment in whisky

I'll give you an example. Take a look at the APEX 1000. The Apex 1000 is a results page offering the highest selling whiskies at any given time. Over the last 4 years the Apex 1000 has gone up by 122 %. The FTSE 100 has gone up 16% and the cost of gold has only increased by 4%. 

Imagine what you could have done with that money had you invested in whisky in 2016?

How does London Barrelhouse help with your investment strategy? 

You can tap into their expertise and exploit their collective experience of nearly 100 years working in asset management. You can find some persuasive points of interest on why you should invest with London Barrelhouse in a link here. 

Investors benefit most from holding for a period of 3-10 years from the point of purchase. London barrelhouses' strategy is to encourage you to take a longer term “buy-and-hold” approach with your portfolio, thus increasing incremental value to your wine and whisky over time. 

Am I going to invest in Wine and Whisky? 

In all honesty, I don't have the disposable income for this investment opportunity right now. However, from all the research I've pulled in the last couple of days researching this article (and yes I have referred to other platforms outside of London Barrelhouse for research purposes) I would be immensely keen in this investment opportunity. 

I'm also more interested in this kind of investment as the asset is a lot more fun to talk about at parties. I believe wine and whisky are very sociable enjoyments and hobbies. There are numerous communities and workshops that you can frequent to learn more and meet like-minded people. 

So perhaps once I sell Hawkins & Shepherd to TM Lewin, DION DREYES to Pandora and my future fragrance brand to Estee Lauder, I will be in a better place to have a dalliance at London Barrelhouse. 

*London Barrelhouse consultants will advice you on this, but they also recommend you seek advice from your own tax specialist or financial advisor. This sponsored post was created in collaboration with London Barrelhouse.