Liquid gold? Hong Kong fund pitches whisky as alternative investment

Fund pitches spirit as hedge and sees downturn as a rare entry point, citing emotional buying and shifting consumption trends

2-MIN READ2-MIN

Listen

Whisky has been gaining traction among wealthy investors seeking alternatives to traditional safe havens, according to an investment firm. Photo: Shutterstock

Published: 3:30pm, 20 Apr 2026

A Hong Kong whisky investment firm is seeking to raise up to US$50 million for its second private equity-style fund, pitching the spirit as a hedge in volatile markets despite a slump in prices across the industry.

Rickesh Kishnani, co-founder and chairman of Rare Whisky Holdings, said whisky had been gaining traction among wealthy investors seeking alternatives to traditional safe havens. “This is the market where people turn to gold, but we’ve seen even gold not hold up in terms of resilience,” he said.

“Whisky is a physical asset, [it’s] consumable, so supply declines over time, [and] it gains value as it ages,” Kishnani said. “We see it as a good diversification and potential hedge, particularly in volatile times.”

The fund, launched on Monday, comes at a time when collectible whisky prices have fallen nearly 40 per cent over the past two years.

The decline marks a broader reset after nearly two decades of expansion, when distilleries ramped up output to meet rising demand, particularly from Asia, creating a surplus that is now weighing on prices.

Because whisky must age for years before it can be sold, its value is closely tied to time, according to Rare Whisky Holdings. Photo: Shutterstock

Major producers such as Diageo have cut production, while data from the Scotch Whisky Association showed exports fell in both value and volume in 2025 amid softer demand, tariffs and rising costs.

Liquid gold? Hong Kong fund pitches whisky as alternative investment

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Fund pitches spirit as hedge and sees downturn as a rare entry point, citing emotional buying and shifting consumption trends

Fund pitches spirit as hedge and sees downturn as a rare entry point, citing emotional buying and shifting consumption trends