Sunday, December 25, 2011

Find Investors: Swimming Naked In This Economy

Now that I have your attention, here is the whole quote from Warren Buffett: “You only find out who is swimming naked when the tide goes out.”

A rising tide lifts all boats, and in bull markets every investor looks like a genius. From March 2009 through April 2010, the Dow rose 70% and almost everyone holding stocks made money.

Just as individual investors look smart in across-the-board bull markets, so do investment advisors. But never confuse a good market with a good advisor. Advisors too could be swimming naked… with your money!

When they find investors to work with, an advisor’s job is to understand their financial goals and develop an investment plan that balances risk, rewards them when markets rise and protects them when markets fall as they inevitably do. A good advisor is also someone they can lean on for trusted advice during uncertain economic times.

The problem is many advisors, perhaps even most, do not give much consideration to investing in real estate as part of a conservative portfolio. Their emphasis on liquidity seems to most often far outweigh the future inflation concerns we absolutely face now. It is quite impossible for any economy to have engaged in such massive government spending, with such large deficits as we now have here in the United States, without triggering inflation.

Solid, conservative, performing real estate is the best conservative inflation hedge there is. Nothing is better. All investors with any significant amount of net worth should also be investors in real estate!

Of late, the markets have been tricky.  The Dow dropped significantly, recovered to some degree, and then dropped again. It has most recently been trading in the plus or minus 1,000 ranges. Market experts are divided on future outcome – some predict far steeper declines, others believe markets will now stabilize. At this juncture, investors must honestly reevaluate their portfolios. Are you confident about your investments? Will your holdings survive a steep decline in the market?

The tide is changing. It is now going out. What are you wearing? Or… are you swimming naked? In my opinion if you do not hold hard assets, particularly residential real estate of some kind as an inflation hedge for a big part of your portfolio, you’re naked. Now is the time to consider that and do something about it.

Here is what to do now:
Sign up for my Free Information using the opt-in box on
Subscription To Newsletter
Here’s what you get:
Free information and a series of e-mails about how to
Find Investors put groups of Investors in Real Estate
together to buy real estate YOU control and co-own with them.
Here’s how it can benefit youWealth & Financial Freedom can follow from your efforts to
Find Investors & put together groups of Investors in Real Estate.



Sam Joseph, CEO
SJoseph Development Grp. LLC

No comments:

Post a Comment