Low interest rates drive investors to drink…and the possibilities of rare whisky
Low interest rates drive investors to drinkand the possibilities of rare whisky
As the Bank of England maintains interest rates at 0.5%, rewards can still be found in whisky investment
The Bank of England's Monetary Policy Committee yesterday announced its decision to keep interest rates at 0.5%, which continues to hurt those investing through the banks.
Despite inflation currently standing at around 4%, more than double the Bank's target figure, the rate of interest has now remained the same for the 25th consecutive month.
But what does this mean for investors? With interest rates so low, investors are finding the savings accounts offered by banks far from appealing at the moment.
Many are turning to alternative investments, and with potential returns far exceeding the miserly figures offered by the banks, it's easy to understand why.
Despite the economic gloom, the whisky industry is one area that is really booming at the moment, with the growing Asian market displaying a growing penchant for the hard stuff.
Whisky exports from Britain to China increased by 24% to 55m last year, testament to China's growing taste for rare and expensive drams.
Could an Ardberg 1974 help you beat the economic gloom?
Investors building up a collection now may well be able to reap the rewards in the far east in years to come. Whisky auctions are time and again surpassing their estimates, as the South Korean, Japanese and Indian markets also show growth.
At Bonhams' whisky sale in Hong Kong last November, two pairs of rare Ardberg 1974 sold for 9,830, surpassing the pre-sale estimate of 9,440.