Discussion in 'Other Investments' started by DeusB, Sep 2, 2016.
You need more sons
"You can also invest in Nant Angus (cattle) and get the same 9.55% return on your investment - supposedly roll Note that the 9.55% return is the same as the return on the whisky - I smell bullshit."
As an innocent young lad in the bank in 1955 I had my first lesson in investing from my Manager. He said,
"young codger, NEVER forget, the higher the gain, the greater the risk".
I have never fogotten it!
Wow! I was going to invest into that scheme.
I bought into RSC instead but I did buy a bottle of Nant single malt about 5 or 6 years ago which I'm waiting to crack if I ever have grandkids.
Share some Ron Zacapa centenary Sistema Solera 23 years old and XO Rum Zolera Gran Reserva Especial
Anyone got any Scotch Single Malt recommendations for long term investing?
You can look out for special editions from Ardbeg, Macallan, Laphroaig and a few others that have cult followings, but it can be real hit and miss, especially if you're paying retail.
Once you get past about $200/bottle, the only people who are really interested in it are either whisky snobs (who are incredibly picky about what they drink) or people with more money than they know what to do with (who can also be very picky) so you'll be selling into a very niche market.
I'd suggest either getting into the trade (it's less glamorous than you imagine), or just buying the stuff you like drinking.
Whisky can be profitable. You need to look to special releases and closed Distilleries. The Scotch Port Ellen is highly revered and Karuizawa from Japan.
I also believe it is classed as collectable and so no problem reselling.
Though wouldn't you have to be active or at least semi active in clubs or forums etc.
Much a like a newbie signing up here and trying to sell gold.
And the more expensive the bottle, the smaller the group of buyers and snobbier to boot
This is certainly possible. I bought around $2000 around 5 years ago which is in free storage in Europe. When I return there I will probably sell it all, around 8 bottles. I hope to make a decent profit of around $1000.
It might not be a wealth maker though. I used to buy bottles of the fancy stuff. One for selling and one for drinking. Each drinking bottle lasted around 18 months. It was more fun than investment. I used to work around a fella called Sukinder Singh who is now one of the of the biggest spirits sellers world wide. He started swapping minatures, however like with everything you need patience, business accumen and a lot of luck.
Worst case scenario, I have some beautiful whisky to drink. Haha.
what about this one?
works out $28.57/mL... only made 199 bottles
Bob Dylan's Heaven's Door range has sold out online before any tastings.
Yeah, physical spirit investing can be a formidable investment within Australia. Consider the following:
-Australia has one of the highest volumetric alcohol taxation in the world and scales with CPI twice a year (I guess it follows a basic asset class valuation then?)
-Australia has the most intense customs controls in the world with a natural geographic border
-Long shelf life
-real world value (in a post dollar world or not) i.e pain killer, steriliser, cooking/heating fuel (with more distillation).
The scaling tax on branded bottles provides a nice asset class stop loss. The higher the premium the less the Aussie tax influence. This could be a good and bad thing for an investment I guess. Maybe consider diversifying into basic branded bottled vodka and some high end scotches too.
You can't really legally get around the liquor license problem unless you get a packaged liquor license for a few thou (application/first year fee). If you read into the ATO's definitions, as I have, you will see they have covered themselves for barter by defining the selling of goods for money or 'kind'. I actually researched this when one of my employees requested to be paid in silver.
All in all, you can make spirit investing even more appealing if you know someone in the wholesale industry that could help you out, or perhaps your personal situation would allow for alcohol purchasing as a tax deduction, which would lower you purchase price. There is also the option of buying a sub 5L still and producing it yourself. That would be more of a cost saving investment for yourself, I guess.
I have a 2 bottles of some of the world's rarest whiskys.
The Kings Ransom and House of The Lords Whisky
They're both empty now.
Fine investment indeed ... very fine.
I've been investing in " Monkey Shoulder "
But tit doesn't hang around for long
Stack red wine. And not any kind of red wine. Prolly make your own wine, bottle it and keep it. Home-made wine!
People will appreciate it, provided that you know how to make it well.
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