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Mada Partners > Blog > Market Volatility and the Advantage of Real Estate Investing
Market Volatility and the Advantage of Real Estate Investing

Can you remember a time when the markets were so volatile and unpredictable?  The world appears to be facing unprecedented upheaval with the war in Ukraine, humanitarian/refugee crises, soaring fuel prices and general security under threat.

Here’s some of the highlights I read the headlines in Bloomberg.com Bloomberg April 19 2022 today:

  • “75 an option” – fears of ongoing inflationary pressures leading to increased talks of the US federal reserve raising rates to 3.5% with multiple half point rate hikes over the course of the year.
  • “Exceptional Uncertainty” – World Bank Chief Economist talks about “exceptional uncertainty” experienced by the global economy.  Raises the specter of further downgrades to the global growth outlook.
  • “Worsening Food Crisis” – increasing cost of fertilizer may affect overall global rice production, which feeds half of the globe.  Less fertilizer used, results in decreased production to feed the world.

Such volatility can cause concern for many investors, who will want to search for some stability during difficult economic times.  The good news is investors do have some control of their situation.  Investors can, ultimately control their portfolio holdings and the diversity contained therein, while managing your risk adjusted returns.

From our perspective, we continue to see real estate as a great tool of diversification.  In a previous blog we wrote about the strength of real estate investing against high inflationary times.  Well, the same principles apply. In fact, an article we read recently in Forbes.com spoke about the resiliency of real estate investment funds in volatile markets.

The article, albeit from 2019, spoke about the strength of real estate investing, generally, as a solid diversification tool against volatile markets.  Specifically, Forbes speaks about the availability of REITs as an investment tool for savvy investors.

At Mada Partners, we agree that real estate investing is a solid arrow that investors should maintain in their quiver.  We have a multiple pronged approach of offers for our investors.  Real estate investment opportunities with Mada range from direct partnerships with various forms of equitable distribution to traditional bond fund investing.

We’d love to have the opportunity to meet with you to see how investing with one of Mada’s offerings might help secure and diversity your investment portfolio through these uncertain economic times.  Click on the link below to schedule a meeting with us!

DAVID CAPRA

DAVID CAPRA

President & Founder at Mada Partners & Managing Partner at Langevin More Smith LLP and I help guide high-income earners like lawyers, dentists & entrepreneurs increasing their wealth by using real estate to enjoy a more balanced life with more time.

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