It’s just incredible how well fear mongering works on people.
Everything apart from stocks & real estate will apparently be a safe haven during the next crash.
Deflationists love bonds. Inflationists love Gold & Bitcoin. Traditionalists love cash. Purists are trying to short!
Everything apart from stocks & real estate will apparently be a safe haven during the next crash.
Deflationists love bonds. Inflationists love Gold & Bitcoin. Traditionalists love cash. Purists are trying to short!
And yet over the last 100 years (at least), shares of public & private companies together with quality real estate in great locations outperformed everything else.
There is nothing “safe” about your safe havens. It’s just a financial mambo jumbo!
There is nothing “safe” about your safe havens. It’s just a financial mambo jumbo!
A Harvard study found that risky assets, such as equities and real estate, outperformed safe assets, such as Treasury bills and longer term bonds.
Gold also lagged considerably.
Gold also lagged considerably.
Stocks and real estate have been amazing wealth builders for such a long time, a proven track record — not just in one country or region, but all across the world.
While there is endless debates about stocks vs bonds or stocks vs gold — with stocks being a clear winner, what is important to note about real estate is just how low it’s risk & volatility is.
Stocks are incredible wealth builders, and yet the whole FinTwit hates them — not just today because they are overvalued after a 11 year bull market — but for the last whole decade as the bull was running.
If you’re worried about corrections, bear markets or major crashes...
If you’re worried about corrections, bear markets or major crashes...
... you should consider real estate, where volatile price swings are not really all that common, while the returns either match index funds or excess them.
Of course, what makes real estate even more attractive, away from its risk adjusted returns, is its ability to carry...
Of course, what makes real estate even more attractive, away from its risk adjusted returns, is its ability to carry...
... larger amount of leverage relative to private and public companies.
Of course, this is solely up to you. You can opt to have zero debt, be leveraged slightly or be leveraged meaningfully.
My mentor always said if the deal was good all cash, it’s going to be great with debt!
Of course, this is solely up to you. You can opt to have zero debt, be leveraged slightly or be leveraged meaningfully.
My mentor always said if the deal was good all cash, it’s going to be great with debt!
In summary, if you really want to make money investing focus on stocks & real estate.
If you really want to get wealthy, focus on fast growing companies & great real estate deals — both of which can make you a fortune.
Just stay away from “safe” assets. They won’t help you.
If you really want to get wealthy, focus on fast growing companies & great real estate deals — both of which can make you a fortune.
Just stay away from “safe” assets. They won’t help you.
