The Single Malt Fund’s intention is primarily investments in limited edition bottlings of whisky, so called ”limited & rare whisky”.
The reason being, that there are very special and beneficial structural factors that makes this diversified market very interesting from an investment standpoint:
Partly, there’s a growing demand globally, in particular when it comes to the Single Malt segment. This can be identified particularly in the United States, but also in the far east (APEC) and the middle east (EMEA). India and China is also showing a very good increase in sales of Single Malt, especially exclusive and limited editions. There are huge investments being made by the leading international producers to push these two gigantic markets into gear. The production of whisky is time consuming and slow; a quality whisky often takes between 10 to 15 years, or even longer, to produce. Hence the growing demand can be hard to match. Read more about the whisky market here.
Furthermore, limited whisky, which we intend to invest in, has the natural trait of being consumed (thankfully!) and therby the availability/supply decreases with time. With a diminishing supply of a specific whisky, the price goes up.