Residential real estate is one great way to own a piece of real estate for investors, but it certainly isn’t the only way. Investing in commercial real estate such as shopping malls, medical office buildings, large properties, and hospitals – may provide investors with an income stream, potential tax benefits, protection against inflation, and significant growth opportunities. In addition, real estate is a great way to add diversification benefits when combined with other types of uncorrelated investments such as stocks and fixed income securities. Therefore, commercial real estate can provide investors with a means of protection against volatile market conditions.

investment opportunity

Years ago, commercial real estate investments were only achievable by institutional and wealthy investors and trust funds with significant financial resources. Today, with the advent of products such as real estate investment trusts (REITs), many investors now have access to commercial real estate investments and opportunities that were previously only available to the cream of the crop.

How it works

The most widely used vehicle for investing in commercial real estate is a REIT. Although investing in commercial real estate was restricted to wealthy individuals and companies 50 years ago, since the inception of the REIT, the real estate market has attracted a much larger and wider group of investors because it has allowed regular investors to participate. REITs are like most other funds in the way they obtain capital for their operations. They collect money from investors and pool all the money to acquire real estate like hospitals and office buildings. As long as REITs closely adhere to the laws applicable to them, most notably distributing at least 90% of their total taxable income to investors, they avoid double taxation of their income at the REIT level. This distribution is the main source of income for REIT investors.

When investors put their money into any REIT, they are putting their money in the hands of real estate professionals who monitor changes and trends in the real estate market, mortgage price movements, regional trends, and other factors. In addition to all external factors, the success of the REIT will also be influenced by the fund manager’s skills, experience, and talent.

REITs come in two forms: traded and non-traded fashion. Each has its advantages and risks. However, this article focused on non-traded REITs.

Potential benefits

Non-traded REITs may offer the following:

fixed income streams. Non-traded REITs may provide a revenue stream in the form of monthly or quarterly distributions. This gives fixed income investors a steady cash flow.

Client protection. Although fluctuations in the economy can affect real estate values, REITs that invest in quality real estate assets can maintain their value.

Capital increase. With a long enough time horizon, real estate can provide investors with back discretion that can translate into great rates of returns.

Inflation protection. Real estate usually bears the corrosive nature of inflation.

tax advantages. Many investors benefit from owning real estate investments because the investor’s taxable income is reduced by taking advantage of depreciation deductions. When the asset is sold, the income protected by deductions is taxed at potentially lower capital gains taxes.

the potential risks

The following risks are possible with non-traded REITs:

Some REIT real estate property may have been purchased at an excessively high price which could limit the overall growth of the REIT portfolio because the REIT may run the risk of not being able to sell the property at a more appreciative price. These types of properties may or may not provide cash flows to REITs.

Non-traded REITs are usually suitable for long-term investment horizons of 5 to 10 years which makes them illiquid investments.

The investment objectives mentioned in the prospectus of the real estate investment fund are an objective and are not guarantees. Customers may see a difference in the distributions they receive and the expected level of distribution rate.

Commercial real estate investment strategies

Think carefully about the risks you are looking to take in order to justify the expected return. Higher returns usually go hand in hand with higher risks. Individual investors need to get comfortable with the degree of risk they are willing to take and then increase their returns to their unique level of risk without leaving your comfort zone.

REITs are usually divided into three main categories, each with its own advantages and risks:

1. Primary investment programs focus on long-term real estate holdings in order to generate steady income streams for their investors and possibly some upside on the back end. Investors who find these programs attractive usually focus on receiving an income stream to supplement their existing income.

REITs that fall under this category of primary real estate investments invest their money in well-established real estate markets with a focus on high-quality, stable, well-maintained and low-leverage properties. Buildings generally have minimal necessary maintenance such as repairs.

The managers select properties in a variety of markets and look at the financial stability of the tenants in the properties they choose.

2. The value-added group invests in real estate that has the potential to provide investors with a significant capital increase. Therefore, these properties carry with them a higher level of risk and are generally financed with some degree of leverage. Investors who seek asset value rather than current income in their investment plans may find this group of REITs more suitable for their investment goals.

When purchasing these types of properties, the managers are willing to purchase properties that may have had some operational or management problems such as average or below average occupancy rates. In hopes of turning around these investments, the REIT may seek to somehow improve or reposition troubled areas of the property more often by finding higher quality tenants. Once their bids increase the value of the asset, the manager may consider selling the property to get the winnings.

3. An opportunistic REIT seeks to invest in real estate that will yield the highest possible returns and therefore may accept a large amount of risk to reach its objectives. Investors in these types of REITs need a minimum current income and are looking for a significant capital increase in the short term.

These investments are not generally suitable for individuals seeking a steady stream of income, but rather those seeking to increase the total returns in their portfolios through capital appreciation. REIT principals create value by finding properties in geographically diverse markets where growth potential is high. Fund managers invest in real estate for a short period of time and are generally willing to recapitalize some of the properties to increase returns.

You don’t have to do it alone

REITs can be complex investments to evaluate and more complex to incorporate into your existing portfolio and investment goals. The Isakov Planning Group’s financial advisor can help you decide if REITs are right for you.

An Irish forest fund was recently named by its management company as one of the best investments in the country. The fund, which last year reached a maturity of 10 years, reported total rates of return of 83 percent. The average initial investment in the fund in 2000 was estimated at €9,400. It is expected to bring in tax-free payments of more than £17,000, according to fund managers.

UK founder of Bamboo Bond promises better results for investors. It claims an initial investment of up to £10,300 in fast-growing turf used for its sturdier-than-steel stems could yield a 503 per cent return over 15 years.

In a crisis financial environment, forest funds generate public pressure on their portfolio diversification characteristics, inflation hedge capabilities, and relatively low risk investment potential. However, as with any other investment projects, increasing popularity may lead to business practices that are hazardous to the environment in the service of greedy interests and the need for financial security. With these, unfortunately, forests can not afford to compete. Therefore, investors looking to forests as the next long-term home for their investment capital also need to look for forest funds with sustainable forest management practices. Only then will they be able to reap the full benefits associated with forest funds. – you don’t really get those last two sentences. How can forestry be dangerous to the environment?

the value

According to the World Bank’s International Finance Corporation (IFC), forest funds typically rely on three main sources of revenue—the growth and sale of wood products (such as logs, wood chips, and pulp), the sale of non-wood products (such as edible products, colourants, perfumery products, and cosmetics) and land appreciation. Besides the monetary value that comes from these three sources, IFC also recognizes that forest funds may generate value that is not reflected in the company’s annual spreadsheet—the value of landscape, biodiversity, social and cultural sustainability, carbon sequestration, and even value in minimizing damage from natural disasters such as floods. As the UN-supported Millennium Ecosystem Assessment Forestry Report notes, the combined economic value of “non-market” forest services may exceed the recorded market value of timber, yet forest fund managers often fail to give it proper credit when making investment decisions.

However, there is a growing number of forest trusts that are using sustainable forest management practices to protect the non-commercial value of forests. The Center for International Forestry Research defines sustainable management as “the preservation or enhancement of the contribution of forests to human well-being, both for present and future generations, without compromising the integrity of the ecosystem, i.e. its resilience, function and biodiversity.

risk mitigation

There are several key factors that investors should consider to ensure that they minimize the risks associated with their investments and maximize returns:

• political environment Forest funds invested in tropical forest areas may fall under the jurisdiction of unstable local governance or an area with conflicting local political interests. Furthermore, some governments may impose restrictions on logging. Investors must be fully aware of the political environment of the country in which their forest funds operate. This is where investing locally makes sense – being familiar with and comfortable with local legislation and knowing how the political process works can be of great benefit and give investors a sense of security.
• economic environment – As the Millennium Ecosystem Assessment report points out, there is widespread corruption in the forest sector, particularly in developing countries with weak local governance. The stability of the local currency and the country’s economic track record are also essential to the return on investment of forest funds. Here, too, choosing funds that oversee local forests may be a better idea than going to tropical forests in remote locations, in which investors may not be well enough educated to make a proper investment appraisal.
• Property rights – Who owns the forest land? Who is renting it and what is the term/terms of the lease? Some forests are run by the state. Others are owned by private companies/individuals. Still others are owned by NGOs. These are also important aspects that need to be addressed before investors choose their forest funds in order to avoid future challenges that may manipulate revenue.
• Transparency of operations – This key factor relates to monitoring performance and evaluating the effectiveness of forest management. If a forest fund is investing in offset, for example, investors need to be told how carbon sequestration is measured, who checks it and how carbon credits are issued.

Property loss – Are natural disasters a defining feature of the geographic location of the forestry project? If so, what property damage has occurred historically? This information will help investors assess the degree of risk to forest funds due to external environmental factors. In this way, potential shareholders will be able to calculate the potential loss of revenue and associated insurance costs.

Cryptocurrency has been around for a while now and there are many papers and articles on the basics of cryptocurrency. Not only has cryptocurrency been booming, it has opened up as a new and trusted opportunity for investors. The cryptocurrency market is still young but mature enough to pour in the sufficient amount of data for analysis and forecasting of trends. Although it is considered to be the most volatile market and a huge gamble as an investment, it has now become predictable to a certain extent and Bitcoin futures are proof of that. Many concepts of the stock market have now been applied to the crypto market with some modifications and changes. This gives us further evidence that many more people are adopting the Cryptocurrency market every day and currently there are over 500 million investors in it. Although the total market capitalization of the cryptocurrency market is $286.14 billion which is roughly 1/65th of the stock market at the time of writing, the market potential is very high considering the success despite its progress and the presence of already established financial markets. The reason behind this is nothing but the fact that people are starting to believe in the technology and products that support cryptocurrencies. It also means that crypto technology has proven itself and companies have agreed to place their assets in the form of digital currencies or tokens. The concept of Cryptocurrency became popular with the success of Bitcoin. Bitcoin, which was once the only cryptocurrency, now contributes just 37.6% to the total Cryptocurrency market. The reason is the emergence of new digital currencies and the success of the projects that support them. This does not indicate that Bitcoin has failed, in fact the market cap of Bitcoin has increased, rather what this indicates is that the crypto market has expanded as a whole.

These facts are enough to prove the success of cryptocurrencies and their markets. In fact, investing in the Crypto market is now considered safe, so much so that some are investing like their retirement plan. So what we need next are cryptocurrency market analysis tools. There are many such tools that enable you to analyze this market in a similar way to the stock market that provides similar metrics. Including the coin market cap, coin chaser, cryptocurrency, and investing. Even if you think these metrics are simple, they provide important information about the cryptography under study. For example, a high market cap indicates a strong project, high 24-hour volume indicates high demand and circulating supply indicates the total amount of cryptocurrency in circulation. Another important metric is the volatility of the cryptocurrency. Volatility is how much the price of a cryptocurrency fluctuates. The cryptocurrency market is very volatile, cashing out simultaneously can bring a lot of profits or make you pull out your hair. So what we are looking for is a cryptocurrency that is stable enough to give us time to make a calculated decision. Currencies such as Bitcoin, Ethereum, and Ethereum-classic (not specifically) are considered stable. While being stable, it must be strong enough, so as not to become obsolete or simply cease to be on the market. These features make the cryptocurrency reliable, and the most reliable cryptocurrency is used as a form of liquidity.

As far as the cryptocurrency market is concerned, volatility comes along, and so do its most important characteristics such as decentralization. The cryptocurrency market is decentralized, what this means is that a price drop in one cryptocurrency does not necessarily mean a downtrend for any other cryptocurrency. And so it gives us an opportunity in the form of what are called mutual funds. It is a concept to manage a portfolio of cryptocurrencies that you invest in. The idea is to spread your investments out to several cryptocurrencies to reduce the risk involved if any cryptocurrency starts a bear run

This concept is similar to the concept of indices in the cryptocurrency market. Indicators provide a standard reference point for the market as a whole. The idea is to choose the best currencies in the market and distribute the investment among them. These selected cryptocurrencies change if the indicator is dynamic in nature and takes into account only major currencies. For example, if coin “X” drops to 11th place in the crypto market, the index considering the top 10 coins will now not think of coin “X”, but rather start thinking of the “Y” coin that replaced it. Some providers such as cci30 and crypto20 have coded these cryptographic indicators. While this may sound like a good idea to some, others are against due to the fact that there are some pre-requisites for investing in these tokens, such as a minimum investment required. While others such as cryptoz provide the methodology and value of the index, along with the currency components so that the investor is free to invest the amount they want and choose not to invest in a cryptocurrency that would otherwise be included in an index. Thus, indices give you an option to mitigate volatility and reduce the risks involved.

Conclusion

The cryptocurrency market may seem risky at first sight and many may still be skeptical about its authenticity, but the maturity that this market has reached during the short period of its existence is amazing and sufficient proof of its authenticity. The biggest concern investors have is volatility, which there was a solution to in the form of indicators.

Last month Pine Financial Group hosted the 2020 Minnesota Real Estate Investor Success Summit, it was an amazing event and we had the best participation yet with over 215 registrants! I got the chance to film the action, which is always fun because deep down I think I’m a comedian. Ask my wife and she’ll tell you there’s nothing a wanna-be comedian loves more than a new crowd! I thoroughly enjoy the opportunity to be in front of a crowd and provide the tools to grow their business. At the pinnacle of success, I was particularly elated and offered anyone present the opportunity to schedule a call with me to help provide some guidance or feedback on their current strategy or goals. Over 10 years of investing in real estate, I have been fortunate to be involved in thousands of deals as a hard money lender, developer, owner, agent, flipper, etc. I fully realize, and respect, that I may not have been the most high profile investor in the room that day, but I was the only one with a microphone presenting the opportunity. This is where the 2% comes into play, I’ve only had four people accept me on the offer. This may be evidence of my poor ability to “sell” the service, or I suspect it is an indication of the difference between the 2% and 98% of people who attend real estate investing events.

The guys in the office often have a hard time saying their “go-to” for events we host, “Why are you here today?” Sure we laugh a bit, but I really mean it, people who identify themselves as investors give up their evenings, weekends, spare moments, and oftentimes money to attend classes, seminars, and webinars on the elusive topic that is real estate investing. That is why I ask the question: “Why are you here today?”

So what does it take to be 2% versus 98%? One of the many things I love about real estate investing is that almost anyone can do it. It depends on your skill and resources, or your ability to utilize the skills and resources of others, but what is non-negotiable is desire. This desire is created by an individual’s vision, often referred to as the “big cause” and the beauty of it is that it varies from person to person! One person’s goal for attending an event might be simply to buy a home to live in, while others might be on their way by raising $100 million in multi-family investments. Most of them are somewhere between looking to supplement or replace their current income with an investment. The ability to implement the individual plan is due to the “why” people go to the reason “to my family”, “to quit my job,” “to be rich.” Let’s just analyze the family’s answer, because in order to attend all these events, the attendees have to spend some time away from their family. If the goal of investing in real estate is to help their families –

Is it to create extra income to cover an event, such as college or a wedding?

• Is it to provide the income that would allow the family to have a nicer home, and better schools?

• Is it to supplement the income so that the husband can stay at home or reduce the hours spent with the family?

• Is it to replace the income so that you are more willing to be with your family?

Once you identify the real cause, you can reverse engineer what it takes to hit the target, number of flips, rents, wholesale deals, etc. This is a relatively simple process; However, in all my time with real estate investors, I’ve found that it’s a lack of vision that leads to aimlessly attending event after event, hoping to achieve the theme that was presented last until the next bright object appears.

My four phone calls to those who benefited had a common theme, they just needed to hear from someone else. It’s amazing how an objective third party opinion can bring a plan into the future so quickly. Two were trying to figure out how to get into small 20- to 50-unit multi-family properties, but both needed to take some very specific (though not obvious) steps to make that a reality. The other two just needed to structure a small rental portfolio to provide enough monthly cash flow so that they could retire more comfortably.

2020 is in full swing, before you spend another evening or weekend away from your loved ones or pay to attend a “life changing” event, I challenge us all to slow down and define “why we are here today”.

in the other wayFollow-up to Robert J The Four Horsemen of the Book of RevelationOnce again, the author offers his savvy financial and investment advice. The book’s subtitle, “Illuminate the path to volatility with equity-type returnsFittingly, because that is exactly what Klosterman advocates for investors to do to achieve optimal cash gains with their investment portfolios. Klosterman gets its nickname from Robert Frost’s famous poem,The road not takenwhich I quote at the beginning of The Other Path, is a very interesting book that offers investors insights into a different kind of investment approach than what might be used, albeit a very effective one designed to help investors earn stock-type returns while reducing the volatility that many other investors who only try traditional approaches experience when it comes to planning their portfolios.

klostermann book, the other way, is relatively short, coming in at only 60 pages, not counting the appendices at its conclusion, but his approach to investing that he details is very informative. The book is sure to interest and benefit anyone who wants to minimize investment risks while maximizing their potential cash returns.

The title of Klostermann’s very book, the other way, alludes to an investment strategy or path traditionally followed by most people, who invest their money entirely in stocks, bonds, and cash. Such an approach is a tried-and-true approach that has proven beneficial to many investors, but has also proven to be a sometimes choppy path for others. Investing in stocks, bonds, and cash, Klostermann argues, is an important part of an overall investment strategy, though there are other opportunities to diversify one’s investments and reduce the volatility that unfortunately many portfolios are exposed to, volatility that can cause the monetary value of one’s portfolio to suffer a catastrophic decline.

However, the main part of the milk poop, i.e. investing in stocks, bonds and cash, is a vital component of a prudent investment strategy, Klosterman assesses in the other way. He calls it the primary leg of the figurative three-legged milk poo, with each leg in the metaphor denoting a different but complementary strategy when it comes to investing. If an investor diversifies his/her portfolio and not only concentrates on the major portion of stocks, bonds and cash, but also invests his/her money in non-traditional ways, says Klosterman, using a series of useful and informative charts and charts, his/her portfolio will be less likely to suffer catastrophic financial loss and the volatility of his/her portfolio will be reduced.

The second of the three legs of the milk stool are the “Diversifiers”, and the third leg is the “Absolute Returns”. Klosterman argues that “diversities,” or alternative or non-traditional investments, help reduce the volatility of the overall investment portfolio. Some of the author’s examples of unconventional investments include real estate, private equity, “developed and emerging international equities,” distressed debt, and managed futures. These types of unconventional investments can reduce volatility either by having “very low correlation with traditional markets,” Klosterman writes, or by offering “consistent returns year after year, with little or no volatility.”

The Third Leg in the Milk Chair, “Absolute Return”, is also the name of the fourth act of The Other Track. Absolute returns are investments that, according to Klosterman, “show the same qualities as a bond with the assurance of a consistent return of principle and consistent interest payment.” The author writes that they are similar to ten-year Treasury notes but are “not backed by the full faith and credit of the United States.” Despite this, Klosterman mentions that the aspect of sheer yield vehicles can be seen as an advantage. This is because strategies involving absolute means of return, the author writes, “can invest in sound ideas and not have to fit into the constraints of other institutions.”

One example of this is investing in companies that lend money to small businesses and house flippers. These companies can act quickly and close loans faster than banks. These companies have the ability to provide quick access to loans for money to people like real estate developers or home flippers, compared to banks.

in the other wayAuthor Robert J. Klosterman has written about a no-nonsense approach to unconventional investing and how it can benefit an investment portfolio and help reduce volatility. The book also examines and identifies “signs of trouble” besides volatility when planning one’s portfolio, such as groupthink, market turbulence, and inflation. While Klosterman recommends that investors follow the advice of professionals who are experts in portfolio planning and have proven track records of at least a decade, the other path is an interesting and insightful look at adding unconventional investments to one’s portfolio. Whether investors want and want to plan their investment strategies on their own or with the advice of professionals, the other way It is an eye-opening must-read program that aims to inform investors about the types of alternative investments that can balance their portfolios and reduce the negative effects of market volatility. It is a book that I highly recommend to anyone who has considered expanding their investment portfolios and adding unconventional investments to them.

To learn informed investing and know how to invest with confidence, most people should divide the topic into two parts: Investing and Investing Basics. By tackling the topics or articles in the following order, you can learn how to invest money as an informed investor without wasting much time and effort.

First, learn basic financial concepts, terminology, and investment basics. Every investment in the world can be evaluated based on just a few simple characteristics. Don’t invest money in anything until you know if it fits your needs for things like safety, liquidity, growth, and income. Only if you invest informedly can you avoid the costly mistakes caused by choosing an investment that is not right for you.

Then, as a primary guide to investing, focus on stocks and bonds because that’s where you’re most likely to invest money in the future. Once you have dealt with these securities, it is time to learn about the investment markets and how to invest in them. If you don’t understand the stock market, for example, your knowledge of stock(s) is of little value in the real world of investing.

Learning all about mutual funds should be your next step and it shouldn’t be difficult now that you know about stocks and bonds. After all, these securities are where most mutual funds invest money for their investors. Mutual funds are where most investors invest their money in stocks and bonds in 401k plans, IRAs, and other accounts. There are thousands of funds to choose from but 99% of them fall into one of 4 general categories.

You should also familiarize yourself with other investments such as money market securities and annuities before moving from the investment guide stage of your education to the investment guide section. In other words, before you can learn to invest thoughtfully, you’ll need a clear understanding of all of your major investment options and how they compare in terms of their core investment characteristics. This is not as hard as it sounds as the world of investments can be condensed into just 4 different asset classes or categories: cash equivalents (safe and liquid investments), bonds, stocks and alternative investments.

Investing is the art of putting together an investment strategy and managing your money at a level of risk within your comfort level. Once you understand the investment end of things, you need a game plan in the form of a complete investment strategy. Asset allocation is the most important part of any strategy; The allocation of your portfolio assets over time will be the main thing that determines your success or failure as an investor. Focus on learning asset allocation: how to invest money (in any ratio) across the four asset classes listed above.

Now you’ll also want to learn how to apply various investment strategies or tools to help offset risk while achieving above average returns on investment. The two important things to understand when starting the learning process are the following. Learning how to invest is easier than you think if you take it step by step in a logical sequence. Second, learning informed investing is actually a two-step process: learn the basics of investing, and then learn to invest.

Don’t be discouraged if you don’t understand something in an investment article you’re reading. Back up and find another article that covers the topic or area that confused you. For example, if you’re confused by an article about bond funds, it’s likely because you don’t understand bonds in general. Most people don’t. Most people don’t get much out of an adventure novel, either, if they start reading on page 47.

Get rid of the fear and anxiety of investing. Learn how to invest well informed.

The Internet has revolutionized it from being a tool for sources of information, to a source of entertainment, and finally to a source of money. If your monthly earnings are not enough to meet your needs, then you can turn to the internet where you can make money online without investments. There are many sites that will not only tell you how to make money but will also offer you jobs or money making schemes. These sites include:

moneyonline.we.bs

ForeclosureCash.net

OvernightCashSystem.com

Asiawriters.com

SurveyMoneyMachine.com

The many ways you can make money online are reviewed below:

1. Write articles online for pay

There are countless sites out there that will only ask you to write articles about your niche that you submit to get paid. Such sites include Helium, eHow, WikiHow, and many others. The registration procedure is very easy as you will only need to register for the Book Compensation Programme. How well the articles you write will determine the number of people who visit the site to read the article. Relevant ads are embedded on the article page and you earn by the number of clicks generated on that page. Other sites worth considering are Associated Content, Bukisa, and HubPages.

2. Participate in online surveys

Many companies do not have to conduct physical surveys that include questionnaires. Instead, they hire online survey companies who do the survey on their behalf. These companies include:

· Ipsos i-say

Global testing market

National consumer segment

My questionnaire

· My point of view

Opinion outpost

It is crucial that you only join sites that are positively reviewed by logged in members reviewing blogs. There are sites that can hold you to ransom with punitive user agreement terms that you must take a specific time to consider. They are always convinced that many people who register on these sites do not take time to review the terms and conditions.

3. Make money with blogs and websites

Sign up for free blogging sites. An alternative method is to design your own website. You will have to come up with a creative theme that will keep your readers coming back for more content. This way your ads can get enough clicks to secure your payment. Add Google AdSense to help you earn money.

Positives

Making money online requires little or no investment. All you need is a computer and a working internet connection. In addition, you can do it along with your main job.

cons

On the other hand, making money online requires signing up for many sites which are difficult to manage as well as the possibility of being scammed.