Direct Investing – and why you haven’t ever heard about it…

If you listen to Suze Orman and all the talking heads in the print media and on TV, you would think that Stocks, Bonds, Mutual Funds and ETF’s are the only way for a normal person to invest their money. You are literally inundated with information about those INDIRECT INVESTMENT options and don’t realize that this is only ONE option for investing your hard earned dollars.

It is like talking to a Fish about Water … the Fish looks you in the eye and says, “What water?”

We are fish swimming in an Indirect Investment Ocean and most people don’t know about the other investing options available to you.

This blog is about Commercial Real Estate Investing which is a form of DIRECT Investment.  By Direct Investment I mean you are actually purchasing a portion of the ownership of the business or real estate asset that is generating the income and profits.

As a stock owner and Indirect Investor you profit from any money that the business chooses to distribute to stockholders and any speculative increase or decrease in the value of your shares.

As a Direct Investor you get your proportionate share of the profit income from the business.

Direct investment is the source of the massive wealth of Bill Gates.  He didn’t own Microsoft stock he owned a piece of the business.  (That ownership was later translated into stock holdings)

Most self-made millionaires get there via their direct ownership of their own business … not in the stock market.

AND Commercial Real Estate has a massive amount of additional advantages over traditional Indirect Investing.

  • You own a Real Asset whose value will NEVER go to zero.
  • There are multiple’s tax advantages including Depreciation and sheltering of Capital Gains
  • You can use borrowed money for 75-80% of your investment – try asking your stock broker for a loan to buy more stocks.

I’ve put a report here on the blog main page giving you 35 separate reasons to make sure at least a portion of your portfolio is invested directly in Commercial Real Estate.

So welcome to the Commercial Investor Blog. Please go ahead subscribe to the RSS feed and I look forward to hearing from you regularly in the comments to my blog posts. 

Here’s your investing success and our brave new future in the world of economic bailout of George Bush and his cronies.


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