Home | About | Blog | Facebook | Twitter

Saturday, February 02, 2019

Hesitant About The Stock Market? The Solution May Lie In Real Estate Lending

Hesitant About The Stock Market? The Solution May Lie In Real Estate Lending: After nine years of a rising stock market, we enter 2019 in what appears to be a very volatile time for equity markets. In the space of weeks we’ve seen 1,000-plus point swings in the Dow recently. This begs the question of whether or not 2019 will bring a recession, a bear market or both. I don’t pretend to know the answer, but I am willing to predict that this year will continue to be turbulent for equities.

Unless you have the stomach for day-trading into this volatility or are taking such a long position that current moves in the market don’t affect you, you’re likely trying to develop an asset allocation strategy to preserve capital while still earning a fair risk-adjusted return. Private real estate lending, particularly in the short-term debt space, may offer a unique opportunity in these turbulent times and those ahead.