Their financial advisor told them to not invest in our Bronson Equity deals.
This advisor had a lot of credentials and was overall a smart guy.
I responded to this investor’s concerns and said their advisor either is not wealthy or they didn’t make their money in a way they claimed – aka: using stocks and bonds.
Stocks and bonds, especially stocks, have an incredible amount of risk.
They spend billions of dollars to convince you that these are safe and secure investments.
But really think about it.
If I said I had a great investment for you, something that’s been around for a long time, and you could get up to 10% per year, would you take that deal?
But wait, there’s more!
In that same investment, we’ve had multiple instances where we’ve seen a 30% to 50% drop in a 12-month period.
Is that something that you’d be interested in joining?
Of course not!
You don’t wanna lose 30% to 50% in one year!
If you lose that amount in one year, how much time would it take to get back to where you were?
We’ve been conditioned to overlook these flaws through the marketing, and the retirement accounts, and what’s traditional.
Really, it doesn’t make any sense.
If we’re getting consistent double digit returns without the volatility in multifamily real estate, why would I be investing in something so volatile?
Why would I invest in stocks and bonds?
Particularly stocks, because they’re so up and down.
If you have a 50% decline in stock value or any investment in one year, the next year you have to have a 100% increase to get back to where you were.
Let’s say you had $1 million dollars and you lost half of it.
You’d have to go from $500,000 to $1 million, which is a 100% increase.
That’s not an easy journey by any means.
3. Real Assets
What’s the alternative to a stocks/bonds portfolio?
If any of those companies have trouble, or there’s liquidity, you may not actually own what you think you own.
I’m about 95% invested in real assets.
I’ve seen my net worth go up about 20x in the last four years just by doing this and helping others do it.
I encourage you to take a look at real assets because they will not let you down.
I think the 60/40 portfolio is dead and it’s important to look at other things.
Now I want to hear from you!
Are you going to ditch your 60/40 portfolio?
What real assets are you excited to try?
Let us know in the comments!
Before you leave, make sure to check out our special report about inflation investing. It shares the best choices to invest during an inflationary environment.
If you are interested in investing with us, we are happy to answer any questions that you may have. Join our investment club today and we will be in touch.
Disclaimer: I am not your investment advisor. This is for educational purposes only. I am not giving specific advice on what you can do. I am simply giving my opinions.
Previous PostThe Deal I’m Looking For Today
Next PostThe Problem with Single Family and Small Multifamily Investing