The Rise of Japanese Whisky As An Investment

Japanese whisky production began in 1870, giving the category over 150 years of heritage and craftsmanship that continues to attract collectors and investors. In recent decades, the global spotlight on Japanese distillers has intensified, with demand from Asia, Europe and North America far outstripping supply.

 

Disclaimer: Whilst Japanese whisky is a popular investment for many, we do not offer investment to this specific asset class through WhiskyInvestDirect. If you would like access to a better alternative via Scotch whisky investing, then set up an account with us today. 

 

Scarcity is one of the most compelling drivers of value, with many of the country’s most sought-after bottles from closed or highly selective distilleries no longer in production, ensuring their rarity increases over time. This imbalance between demand and availability has created a strong environment for price growth, particularly in the secondary market and at international auctions.

 

From a performance standpoint, the Rare Whisky 101 Japanese 100 Index, which tracks 100 notable bottles, has delivered a 340% increase over its lifetime. While the index saw a 16% dip in the past year, reflecting shorter-term market volatility, this is not unusual in collectible asset markets and can present buying opportunities for well-informed investors. 

 

Looking at individual distilleries, the Karuizawa Index has risen by around 350% and the Yamazaki Index by around 600% over the past 10 to 11 years. Karuizawa’s appeal lies in its status as a closed distillery with its final stocks being released in ever smaller quantities, while Yamazaki commands prestige as Japan’s first and most recognised single malt producer.

 

For investors, these figures highlight that Japanese whisky offers both a rich cultural legacy and the potential for strong financial returns. The scarcity premium, combined with growing international recognition and tighter authenticity regulations in Japan, suggests that carefully selected bottles could continue to appreciate over the long term if bought with due diligence on provenance, storage and market timing. These elements can be tricky to nail, which is why many prefer to invest directly in the Scotch whisky market through WhiskyInvestDirect where you can also benefit from the maturation process in casks and barrels throughout the investment timeframe.

Working out what the best Japanese whiskies to invest in are can be challenging given the volatility in the market and wide range of distilleries to choose from. Some like the Karuizawa distillery retain cult-like status and boast strong prices, whilst others can see very big fluctuations. 

 

As always, when it comes to investing, doing your own research is crucial, as there may be historic fluctuations in certain Japanese whiskies that are attractive and may make them the best for you, but you need to match this up to your investment goals. The table below shows some of the most well-known distilleries and the total performance of the three available indices from Rare Whisky 101: 

 

 

Distillery	Location	10-year performance (approx.)
Yamazaki	Shimamoto, Osaka Prefecture	608.20%
Karuizawa (closed)	Miyota, Nagano Prefecture	353.61%
Hanyu (Cards) (closed)	Hanyu, Saitama Prefecture	243.22%
Chichibu	Chichibu, Saitama Prefecture	Not available
Hakushu	Hokuto, Yamanashi Prefecture	Not available
Yoichi	Yoichi, Hokkaido	Not available
Miyagikyo	Sendai, Miyagi Prefecture	Not available
Chita	Handa, Aichi Prefecture	Not available
Fuji Gotemba	Gotemba, Shizuoka Prefecture	Not available
Mars Shinshu	Miyada, Nagano Prefecture	Not available
Mars Tsunuki	Minamisatsuma, Kagoshima Prefecture	Not available
White Oak (Eigashima)	Akashi, Hyogo Prefecture	Not available
Akkeshi	Akkeshi, Hokkaido	Not available
Kanosuke	Hioki, Kagoshima Prefecture	Not available
Shizuoka	Shizuoka, Shizuoka Prefecture	Not available

 

 

 

The distilleries in Japan are spread out fairly evenly through the country both in terms of active and closed distilleries. Naturally, there is a higher concentration of whisky distilleries closer to the Tokyo region.

 

For investors, this geographical spread matters because certain regions have developed distinctive flavour profiles and reputations that can influence collectability and value. Distilleries in areas such as Hokkaido, home to Yoichi, are known for a bolder, more peated style, while those in central Honshu, like Yamazaki near Kyoto, focus on refined, balanced single malts often aged in Mizunara oak. Understanding these regional characteristics, as well as the rarity of releases from closed distilleries in more remote locations, can help investors identify bottles with both strong market appeal and long-term growth potential. Japan is also one of the biggest importers of whisky, making it a leader in the field. 

 

For those looking to invest in Japanese whisky, there are some barriers to entry that can make it difficult to start. For example, the very scarcity which attracts investors to the market can often make it difficult to pick up the exact bottle you want. Equally, for those looking to invest in bottles, the lack of quality increase during the maturation process means you are relying solely on market trends and brand sentiment, adding to the potential risk. 

 

Getting the capital together for the bigger brands can often be difficult too, with the more expensive “investment-grade” whiskies running into the thousands per bottle in many cases. Investing in Japanese whisky is possible, but there are difficulties at most stages of the investment journey. If the above sounds like more trouble than its worth, there are other ways of getting exposure to the market through platforms like WhiskyInvestDirect. 

 

For those outside of Japan, investing in the Japanese whisky market may not be worth the hassle, but that is not to say that wider whisky investment opportunities should be completely off the table. Investing in Scotch whisky through WhiskyInvestDirect can give you access to 11.7% average rates of return YoY and help you diversify your investment portfolio. The online platform also means you can get exposure to the market without having to worry about storage or delivery when you decide to sell. Some of the other benefits of investing through WhiskyInvestDirect as opposed to Japanese whisky bottles include: 

24/7 market trading opportunities 
Professional storage and insurance as part of the investment 
Benefiting from the in-cask maturation of whisky at different ages
Scalability, allowing you to increase your investment without storing additional bottles

Open an account with WhiskyInvestDirect today to start your whisky investment journey.

Start by buying from reputable sources such as established auction houses, specialist retailers or trusted private sellers. Look for signs of counterfeits like incorrect fonts, label errors, poor-quality glass or tampered seals. Compare with verified images from the distillery or past auctions. For high-value bottles, use a third-party authentication service or an expert to inspect provenance documents and ownership history.

 

Common channels include specialist retailers for new releases, whisky auctions for rare or discontinued bottles, and private sales where direct negotiation is possible but due diligence is vital. Some investors also explore cask purchases or whisky investment platforms, which carry different risks and requirements.

 

If your collection has significant value, specialist whisky or fine wine insurance is recommended. Home insurance often lacks adequate cover, especially for theft, damage or environmental risks. Specialist policies can match your collection’s value, cover storage in bonded warehouses and protect during transport. You do not have to worry about this when investing in scotch whisky through WhiskyInvestDirect . 

 

Store bottles upright in a cool, stable environment away from sunlight and excessive humidity. Keep original packaging in good condition as it adds resale value. For high-value bottles, climate-controlled storage or bonded warehouses help maintain quality. 

 

Whilst investing in Japanese whisky bottles is great, there are a lot of drawbacks which mean many investors may be better off investing Scotch whisky through a platform like WhiskyInvestDirect where all of the storage and insurance is taken care for you and you benefit from the in-cask maturation as your investment progresses.