This article is sponsored by CaskX.
CaskX, an investment company based in Los Angeles, is a global pioneer in the field of investing in bourbon and Scotch from leading distilleries across the whisk(e)y world.
CaskX CEO Jeremy Kasler offered insight into the high-tech form of whisk(e)y investing which focuses on distillery-direct relationships.
Why is this the best time to begin investing in bourbon and Scotch you might ask?
“In our opinion, this is the perfect time to invest in bourbon. We are seeing all the indicators that quality-aged bourbon will fetch great prices for many years to come,” Kasler said. “We are seeing increased demand for quality bourbon not just in the U.S. but globally. Markets like China, India and Asia can’t get enough of it.”
If you’re to look at where Scotch was 10 or 15 years ago, prices for new-make barrels were similar to bourbon prices now. And Scotch prices have gone through the roof as demand has increased. The experts at CaskX say they are seeing bourbon taking a very similar trajectory.
And by building strong, long-term relationships with bourbon distilleries across the United States, CaskX is creating a cornerstone of the investment platform.
Working directly with distillers, CaskX is able to secure more lucrative and secure opportunities for investors. And these connections also provide additional monetization strategies through distillery buy-backs and bottling arrangements.
Their track record with Scotch is undeniable. As Kasler explained, “Anyone who has invested in Scotch in the last 10 to 15 years has made money.”
Scotch whisky casks remain a solid alternative asset for many investors and CaskX remains bullish on the industry.
Kasler said that to date, every investor who has purchased Scotch whisky casks from CaskX has observed an increase in the value of their holdings.
And CaskX’s entry into barreled bourbon offerings was a result of careful analysis of the bourbon market and the desire among investors to access these investments.
While the Scotch whisky industry has already observed a period of mass expansion and growth, the bourbon industry is only just now entering a period of rapid growth that is projected to parallel or even exceed that of Scotch whisky.
It should be noted that spirits investing is not a short-term trade. You need to allow at least four to 10 years to see excellent returns. The longer the better.
But as the market and public awareness expands, there is no comparison to the feeling of owning actual barrels, which holds intrinsic value. This is investing at its most tactile.
As the world’s leading bourbon investment brokerage, CaskX intends to spread the message far and wide about the special barrels they can acquire, and the stories that are behind the special liquid inside.
CaskX purchases bourbon barrels in bulk from some of the rising stars in the bourbon industry in order to secure the best deals at the best prices for its clients. The bourbon is aged in a licensed Kentucky warehouse, increasing its value as it matures. When the bourbon comes of age, CaskX helps its clients resell, bottle, or distribute their whiskey portfolio.
“This process is really a win-win for the distilleries and the investors,” Kasler said. “By selling barrels into our system, it keeps the lights on for some distilleries while allowing investors to gain entry to a category that historically has done well, even in economic uncertainty. Not to mention this process allows the whiskey to mature to its full potential in a market where distillers are often forced to bottle early in order to turn profits.”
CaskX currently has offices in Los Angeles, Louisville, Sydney and Hong Kong. And Kasler said they are excited to help people invest in and profit from a product they know and love.
“Of course there’s also a huge benefit for the distilleries, as we help them monetize their production from Day 1 rather than having to wait four to eight years,” Kasler said. “We hope to expand our portfolio to encompass many types of whiskey, and we intend to partner with some of the best distilleries in the U.S. and around the globe.”
Investors can get qualified in order to take part in CaskX, and begin investing at www.caskX.com.