Throughout various economic cycles and asset classes, a core principle to success is to take profits near the peak of each cycle and reallocate into additional assets. The stock market is presenting investors the opportunity to expand their portfolio, utilizing recent or unrealized gains. As we know, diversity is a key strategy to building wealth.
“The kind of craziness we’re seeing right now is not atypical of the kind of craziness you tend to see when we’re ready for a little bit of a downturn,” Randy Frederick, Charles Schwab Vice President of Trading and Derivatives, tells Fortune. The stock market is at an all time high and continues to climb. It seems detached from the health of the economy and is generally acting irrational to traditional analysis. The equities market is in a period of heightened volatility and may see a substantial correction at any time due to increased regulation or a black swan event that dramatically decreases investor confidence.
More than ever, it is important to be responsive and adaptive to current environments. Real estate has always provided investors with desirable qualities, such as collateralization, physical property, tax benefits, and cash flow. Additionally, throughout the Covid pandemic Multi Family has provided investors with consistent and reliable returns. Throughout my personal and professional investments, collections rates in stabilized Multi Family assets have maintained 95%+ across all portfolio assets.
Most financial professionals advise investing in broad diversified portfolios produces the largest lifetime returns. Our Diversified Real Estate Fund is built specifically for investors who are seeking tax advantaged returns from a diversified portfolio of real assets.
JKAM has developed personal and long-lasting relationships with real estate operators across the nation. We review several projects per month and prioritize those where we can negotiate an increase in potential returns for our investors.