WHISKY AUCTIONS PROVE POPULAR IN A PANDEMIC
Demand for cask whisky as an alternative investment is almost outstripping supply as people look for a safe haven to put their finances in an economic downturn.
According to Knight Frank’s Rare Whisky Index – which tracks auction results of rate Scottish single malts, whisky auctions have proved popular during the pandemic and sales are up more than 3% this year (2020).
Autionyourcask.com is the world’s only live, online auction dedicated to cask whisky and will be hosting its third auction on 25th November and has already seen a record number of people register their interest to bid.
Owner of Cask Trade, the parent company of auctionyourcask.com, Simon Aron says: “It’s a challenge to keep up with the very high demand for casks of good whisky and we are constantly having to renew our stock. The country is struggling financially because of the pandemic and with the financial markets unstable people are looking at cask whisky as an alternative investment.”
The auction, hosted by Cask Trade via its online auction website auctionyourcask.com, will go live on 25th November and run for 10 days until 5th December 2020. Casks to go under the virtual hammer are priced between £2,500 and £45,000 and include 2015 Glen Ord casks, a 2015 Glenrothes and a 2009 Glentuachers.
Auctionyourcask.com allows private owners and investors to sell their cask to independent bottlers and other investors all around the world. Whether you are a first-time or seasoned buyer, a collector, an investor, or an independent bottler, there is something for you!
To sign up to bid in the live auction, register here: https://www.auctionyourcask.com/members/login
Auctionyourcask.com is inviting people to register their casks for auction by 5th November 2020. Those looking to register their cask for sale should complete an online form to request a valuation. https://www.auctionyourcask.com/request-a-valuation
The auction, which will go live on 25th November and run until 5th December (ending 8pm GMT), will feature a wide selection of casks at different price points.
All casks will need to have had a recent re-gauge ready for auction and a full 70cl sample will be drawn so that bidders have the opportunity, wherever possible, to try the whisky before they buy. Auction your cask validate all the sellers and confirm proof of ownership and the history of the cask enabling bidders to safely buy. With complete transparency and no sellers’ fee Cask Trade can offer bidders the actual hammer price. Their low buyers’ fee of 15% + VAT will offer the opportunity to buyers, trade or private, to buy rare casks.
TOP 5 REASONS TO INVEST IN CASKS:
1) Whisky is a top performing luxury investment and far outstrips the more established alternative asset investments such as art, wine and cars. Estimated accumulative short-term returns of 40%, medium term of 80%, and long term 140%.
2) Each cask is unique and only a limited number are available. No two casks will ever be the same.
3) Time is on your side as whisky only matures in the cask. The more mature it gets, the more valuable it becomes.
4) Complete transparency – Cask Trade own every cask it sells and hold all the essential paperwork. The location and health of the cask is verified before it makes it onto the stock list.
5) Trusted marketplace – Buyers can take Cask Trade’s WOWGR number, go to the warehouse and confirm the cask exists. Bonded warehouses check-in each cask and perform a ‘dip’ test to measure the level of alcohol. Every year, the business is required to report to HMRC how many casks it has and the levels of alcohol. Casks cannot be faked or fabricated.
Founded in 2018 by Simon Aron in partnership with several of the world’s foremost whisky masters, including Keeper of the Quaich Sir Colin Hampden-White, Cask Trade buys and sells exceptional cask whiskies. The company is unique because it only sells casks it owns outright, and it only sells whole casks: it is not a whisky cask broker and it does not offer fractional sales.
A passionate whisky collector for more than 20 years, Simon Aron suffered many false promises from whisky investment companies and this drove his ambition to create a real and trustworthy market place for whisky collectors and investors, and bottlers:
The company’s casks are held in the best HMRC bonded warehouses, regularly visited and approved by Cask Trade whisky masters. All stock holdings have a complete paper trail.
- Delivery orders from supplier to Cask Trade
- Invoices for transfer of ownership, storage insurance, re-gauging, sampling or movement
- HMRC-issued WOWGR (warehouse keepers, warehouse premises, owner of goods and registered consigners): a fully regulated and closely monitored license requiring due diligence on suppliers as well as customers.
- HMRC-issued AWRS Alcohol Wholesaler Registration Scheme: Licenced to wholesale, bottle and retail.
Included in its extensive list of customer services, Cask Trade’s rigorous processes means that the company will guarantee to buy back from its clients the casks they buy from and have had managed by Cask Trade. It also offers…
- Regular sampling and re-gauging of casks
- Re-racking (sherry wine, port etc)
- Estimates of bottles and strength in cask (effects of angels’ share 0ver years of maturations)
- Financial modelling for each cask based on age and rarity with estimated % returns
- Costings for bottling, labelling and shipping (duty & tax)
- Regularly updated whisky investment guide which includes statistics from two authoritative third parties (independent of Cask Trade)
- Cask Trade will arrange for clients to receive samples of their whiskies and visit their barrels(s), upon request – wherever possible.
Cask Trade has started the first live auction website dedicated to exceptional whisky casks: auctionyourcask.com.
Hosted four times a year and helping private owners/investors sell their cask to independent bottlers and other investors all around the world. All casks will be re-gauged ready for auction and a full 70cl sample will be drawn so that bidders have the opportunity to try the whisky before they buy. – Wherever possible. We validate all the sellers and confirm proof of ownership and the history of the cask enabling bidders to safely buy. With complete transparency and no sellers’ fee we can offer you the actual hammer price. Our low buyers’ fee of 15% + VAT will offer the opportunity to buyers, trade or private, to buy rare casks.
Whisky Price Growth
Knight Frank’s Rare Whisky Index: https://www.knightfrank.com/wealthreport/article/2020-04-16-how-valuable-is-whiskey-as-an-investable-asset-class
Results of the Knight Frank Wealth Report’s new unique luxury investment index revealed whisky was one of the most coveted objects of desire.
The report out in February 2020, says Rare Whisky has grown in value the most over the last 10 years at +564% and increased by +5% in the past 12 months; and states casks remained in huge demand. By comparison cars have seen an increase of 194%, art by 141% and wine by 120%.
Data collected by Rare Whisky 101 suggests the four-year growth from December 2014 in rare whisky has increased over 160%, compared to just 2.47% for the FTSE 100. https://www.rarewhisky101.com/indices
The same report by Rare Whisky 101 claimed via the BBC that they had performed a controlled test of 55 rare bottles, of which over a third were fakes.