July 2021

BE CAREFUL OUT THERE!  This saying was used by the desk sergeant at the beginning of each episode of Hill Street Blues – for those of you who are old enough to remember the show.
I’ve been a strong proponent of investing outside the traditional equity and bond markets over the last few years. Amongst other investments, this includes mortgage funds, mortgages on land, private equity funds, real estate development funds/projects, private reits, long /short funds, factored receivable funds, etc, etc. I haven’t changed my view. When making any investment, you need to do your due diligence. With low interest rates here for the foreseeable future and equity markets at historic highs, the pursuit of yield by investors has become a challenge.
Inevitably, in circumstances like these, unscrupulous characters appear on the scene. Besides this, the pressure on well run businesses to source products for their investors, might result in them not being as diligent as they’d been in the past. You need to be more cautious than ever when making investments. That’s why you NEED TO BE CAREFUL OUT THERE!

Leave a Reply

Your email address will not be published. Required fields are marked *