What was the best luxury investment of 2018? Wrong, it was Whisky.
“The stunning price growth of rare single malt whiskies shows that the appetite for new ‘alternative’ asset classes remains strong among high-net-worth investors,” said Andrew Shirley, editor of The Wealth Report and the Knight Frank Luxury Investment Index.
“However, we are seeing growth soften for some of the other asset classes in KFLII like classic cars that had been performing exceptionally strongly. This is partly down to a slowdown in activity by speculative investors and a return to a genuine collector-driven market. Despite this, the best examples in each asset class are still setting records when they come up for sale (see below).”
Whisky was followed by coins (12% annual growth) and wine, which was the third most investible asset have increased in value by 9% over the part 12 months and 147% over the past 10 years.
Andy Simpson, Co-founder Rare Whisky 101, added: “While rare whisky remains a somewhat fledgling asset class compared to some other passion investments, the market for rare and vintage bottles has witnessed extraordinary growth over the past ten years, both in terms of the volume of whisky being traded and the value of that whisky.
The key to rare whisky’s sustained growth as an asset class, is the passion buyers worldwide share for investing, collecting, and occasionally drinking, some of the best and rarest Scotch whisky ever made.
At the top end of the scale, the most significant sale of 2018 was a bottle of Macallan 1926, hand painted by Irish artist Michael Dillon, that sold for a record-breaking £1.2million in November.