Alternative investment

Discussion in 'Investment Strategy' started by Matt87, 17th Dec, 2017.

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  1. Matt87

    Matt87 Well-Known Member

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    Sydney
    Hi guys,

    How many of you invest in managed funds as well as property for diversity and spreading out the $.

    Matt
     
  2. thatbum

    thatbum Well-Known Member

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    Nah wouldn't even consider it.

    I'm a big fan of the theory that diversification is all fine when you don't know what you're doing - but if you have the skills, experience and strategy then its best to focus on what you have specialised in.
     
    Sackie likes this.
  3. PandS

    PandS Well-Known Member

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    NSW
    Do what you good at, no point diversify into something you have little knowledge
    I have both shares and properties but I am pretty good at both but as the year goes by I tend to move more into the stock market.

    Properties are good when you have little cash and take up large leverage but once you got a lot of capital properties is a headache and low return.

    Properties are also low volatility so it suits a lot of people who just want to buy and forget
    and hold for say 10-20 years

    Stock market required a different set of skills and you got to be on the ball else you get trembled when thing get tough with all the headlines about multi-billion wiped off the market etc...

    Some people have a lot of capital and still stayed with properties because that is what they good at and love doing and nothing wrong with that.

    I got friends with few properties and he wants to try the market, seems simple enough he said, he tried and got frightened and got out hahaha. I told him well at least you know your limit so stick to the stuff you know best
     
    Gypsyblood likes this.
  4. Sackie

    Sackie Well-Known Member

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    I'm with you on that. Only 'diversification' I do is within real estate its self but all still within my own niche area. That's what works for me.