A Blackstone Investment Strategy You Can Use
Blackstone, a towering force in the field of alternative asset management, ranks among the globe's biggest investors in Real Estate. According to their website, they have a real estate AUM (Assets Under Management) of $585 Billion.* That's an eye-watering number, no doubt! Their vast real estate holdings stretch worldwide, but what catches the eye is the substantial portion of their portfolio invested in the Multi-Family sector. This is no random choice, as there are compelling reasons behind it that make Multi-Family attractive to institutional investors. If investing in Multi-Family properties makes sense for the world's leading asset manager, why shouldn't it ...
Why do we love Multi-Family? May 2023
If you have been following us for any length of time, you probably know that we are extremely optimistic about the investment potential in commercial-grade, multi-family (apartment buildings) real estate, particularly when there is potential for value-add (hint: it’s all in the value- add!) There are undoubtedly other real estate assets apart from multi-family out there that do very well in terms of investments. So why do we put so much emphasis on multi-family right now? When developing the CalTier platform, we wanted to start with an asset class that included a number of characteristics: Positive cash flow with potential ...
The 2022 and 2023 IRA contribution limits
The information below was taken from the Fidelity website. A link to the source is provided at the bottom of the article. Main points In 2022, those under 50 can contribute $6,000 to their IRAs, while those over 50 can contribute $7,000. In 2023, those under 50 can contribute $6,500 to their IRAs, while those over 50 can contribute $7,500. IRAs help save and invest for retirement. However, they have annual limits on how much you can contribute and deduct from your taxes, which may depend on your income. The essentials are as follows: IRA and Roth IRA contribution ...
Do you have the Right Mindset for Investing in Alternative Assets?
Last week, I began the CalTier series with “Are Alternative Assets right for your portfolio?” with the premise that the average investor misunderstands alternatives. Rightly or wrongly, they may be hesitant because of potential risks, illiquidity, or lack of access or understanding. This week’s article will address a more basic fundamental, yet perhaps the biggest challenge for both the investor and the Advisor, which is the mindset. In my 30+ years of working with investors, I have learned that most, if not all, investment decisions are made emotionally, not logically. Early on, I remember presenting the new Merrill ...
Using a Self-Directed IRA for Real Estate Investments
If you have been following CalTier for any length of time, you have likely seen the term 'self-directed IRA' mentioned several times on our website or in emails. So what is a Self-Directed IRA? Self-directed IRAs (often called SDIRA for short) are self-directed individual retirement accounts that many favor in conjunction with a traditional Roth IRA. The big difference with a self-directed IRA is that these accounts can hold various alternative investments, such as real estate or an investment into a company. A custodian company administers them; however, you decide where the monies are invested as the account owner. ...
