Passive Income Fund (USA Commercial Property) - Steve McKnight

Discussion in 'Property Experts' started by Gurtofen, 14th Jan, 2016.

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  1. Gurtofen

    Gurtofen Well-Known Member

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    These are unrealised gains.......unless the properties are sold and the exchange rate is the same or better a the time of sale, it really is dangerous relying on those supposed gains as an indicator of fund performance.

    There is only one redemption period a year and the parent entity has control over how much equity can be redeemed......good luck trying to time that and get out when you want. It is not a liquid investment by any means....and isn't meant to be.

    McKnight doesn't have a track record at all with managing a fund so time will tell.....I am not so sure the property valuations add up as you know from that thread.....good on him for having a go though and putting his name on the line. I will be very surprised if this works out well for anyone other than the fund managers............
     
  2. MTR

    MTR Well-Known Member

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    Have you read the link I posted.

    BTW if you want to be fair all product are not realised gain until sold that is stock standard, not sure what is different here
     
    Last edited: 28th Feb, 2016
  3. Gurtofen

    Gurtofen Well-Known Member

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    Yes, I questioned him on his fund in that thread because I have genuine concerns about the fund?

    Yes but if you are invested in a managed fund for example and your Unit Price increases by 35% due to currency exchange, you can sell your units and lock in those gains at any time. This is an unlisted REIT which is due to wind up in 2022 and has one redemption period per year for investors and this is controlled by the parent entity as to how much can be redeemed. It is a very illiquid investment and pretty tough to actually lock in any currency exchange gains. Each property would be dependent on exchange rate at time of purchase and sale and this is an unknown factor....
     
  4. Azazel

    Azazel Well-Known Member

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    He did get spanked by that kerfuffle with his $1M/12mth apprentice thing, but his brand has well and truly rebounded.
     
  5. Redwood

    Redwood Well-Known Member

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    Hi there - you have been extremely critical of Steve here and on PI.com, if you are a prospective investor then fine, however is there a hidden agenda here?

    All of what you have stated is public and in the offering docs, its not like the fella is misleading investors. If he did, I would be happy to put him down, he is not. Put simply, like I said in my first post to you, any questions with the fund, ask him, he will answer and if you donot agree, then it did not meet your due diligence, so move on and find a suitable investment, it seems like there is a little more for you.

    Good luck to Steve and his investors. Hope they win!

    Cheers, Ivan
     
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  6. Gurtofen

    Gurtofen Well-Known Member

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    I have said quite clearly why I was interested in the fund....a friend of mine IS invested in the fund so I looked into it as I know of others that have been burnt investing in US property and I do not want to see him in the same situation. Yes, I am very sceptical of the results being reported.....have a look for yourself and form your own opinion.

    Whatever happens won't impact on me personally either way.

    I could argue that you are a little closer to McKnight then you let on....you posted a link to this thread on his website as soon as you could and I note the following in this thread....

    'Steve has now replied to your questions on PI.com - for the detail please refer to pi.com....'

    Ivan
    that was quick.

    What is your affiliation with Steve?? Are you involve in the fund, curious??

    Thanks

    MTR

    You have stated that you have clients invested in the fund.....if you are happy with the performance of the fund, the results being reported and the returns your clients are receiving, then that is your call. Maybe you have the agenda?

    I already have.....which you know. Steve replied and we both moved on.

    Me too.......I really do I hope I am wrong about my concerns about this fund.

    Free advice......very rare these days.
     
  7. Redwood

    Redwood Well-Known Member

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    Hi there - good try, I am sure people round here, Steve and people on PI know that I am independent - if I have a vested interest, i'll say it (i.e anything relating to SMSF). If your friend is invested, fine, they can redeem, have they been burnt?

    Quoting MTR's post? read the response you clown. Let MTR respond in due course

    While your there, trace the posts on PI from me.

    How close am I? please let me know as i'm confused?

    I have clients invested in every security you can think of, I care for their investments and DONOT make recommendations for them. I look at all statements at year end and can see the results they make, from managed funds to private companies, if they're good - it pricks my ears for sure.

    Steve has a pretty good reputation around the traps and that is rare for Guru's - most of them have a scam report - Steve has not.

    As for your interest, well, as I said earlier read to OM or PDS, if you don't like it find a suitable investment - free advice...nah.

    All the best

    Cheers Ivan
     
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  8. Gurtofen

    Gurtofen Well-Known Member

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    You accuse me of having an agenda but when the shoe is on the other foot you get upset? Precious maybe?

    How old are you? Name calling.....I thought that stopped in high school.

    I have genuine concerns about the fund, asked questions about it and you don't like that. Build a bridge......

    Invest in it yourself if you like it so much....it's your choice.

    I don't think anyone has said you aren't independent.....I simply asked you the same question you asked me about having an agenda? Mind you, I have never met a financial advisor, broker, or accountant that hasn't said they were independent ;)

    Enjoy the circus...........
     
  9. Redwood

    Redwood Well-Known Member

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    Gurtofen - you quoted MTRs post - did you read my response to MTR?

    I no longer invest in the US - I have made it clear why. You are questioning my independence, hence the compliment provided to you. Yet - you did not answer my question. Be free to read my posts here and "there".

    all the best

    Cheers Ivan
     
  10. Gurtofen

    Gurtofen Well-Known Member

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    I think you are questioning your own independence, not me......you accused me of having an agenda, I asked the same of you. Not fair?

    Relax and enjoy the weekend....
     
  11. Azazel

    Azazel Well-Known Member

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    Fight fight fight!
     
  12. albanga

    albanga Well-Known Member

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    @Gurtofen
    Everyone is entitled to there opinion and it sounds like you have done your research but im just confused how you can "be very concerned" about something you are not invested in?

    O.K you have a friend invested in it but so does everyone else in this world have a friend invested in something. Not sure it would keep anyone up at night. I have friends invested in poor real estate that would be far more detrimental to there finances than a fund, risky shares.etc

    So whilst I respect everyone's opinions I must agree with the others, it appears you are quiet keen to pick this apart and get a direct response from Steve.
     
  13. Azazel

    Azazel Well-Known Member

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    Your planely entitled to pacifically youse the wrong usage of theyre ;)
     
  14. petewargent

    petewargent Buyer's Agent

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    Well, there were plenty of critics, but it looks to me as though Steve got his timing just right, with the US economy still adding jobs for fun even after 71 months of expansion and commercial property prices rising fast from the fund's inception to 2016.

    I also remember he said if you don't get in early you may also miss some of the best gains.

    Westpac sees the A$ heading to 68c, so there might even be a bit more FX upside yet.

    upload_2016-9-25_7-56-2.png
     
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  15. MTR

    MTR Well-Known Member

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    US property - commericial, yes he got it right, same as resi, going nuts
     
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  16. Azazel

    Azazel Well-Known Member

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    He may have gotten out of the Australian residential market a tad early though.
     
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  17. Tony66

    Tony66 Well-Known Member

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    Hi MTR,
    I was following your messages and I see you are as an inspiring for a novice.
    What would be your advice to a novice Australian investor looking for IP in US now?
    Strategy is to buy & hold a townhouse or SFH which has reasonable CF. I understand that I can't get a mortgage there & aware the need for the right structure.
    Or is it not worth the hassle!
    Appreciate your thoughts.
    Thanks
     
  18. Player

    Player Well-Known Member

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    [​IMG]
     
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  19. Azazel

    Azazel Well-Known Member

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    My favourite game at the moment!
     
  20. MTR

    MTR Well-Known Member

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    I would say his focus is about business now, I think his doing OK:) he is making $200K per month, at least that is what he stated at one of his conferences.
     

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