How do we navigate these markets?
When evaluating any decision, a prudent examination of that decision dictates we must evaluate the worst case and of course ideally, the best case scenario. The same is true in our investment portfolio. In an environment that consists of wild market swings, Covid, Game Stop, record low interest rates, high frequency trading, the Kardashians, we can go on and on.
How do we prudently deploy capital in an environment of constant noise? In our view, the best way to approach this is how the professionals do. How exactly is that? They hedge. They hedge against noise, and ensure that in a best case scenario or a worst case scenario, they profit.
In our mind the most effective way to hedge against these risks is to utilize a total return strategy for a portion of your portfolio. If we are an equity investor, then it is prudent to include yield to offset potential losses and increase returns. If we are an income investor, it is prudent to include capital gain and increased yield in your strategy under the same criteria.
This is exactly how THE Cawthon TCO ONE REIT accomplishes both. It hedges by providing a competitive yield and potential capital gain while simultaneously engaging in the preservation of capital.
In both scenarios, there is a low correlation to the capital markets.
In an extraordinarily unpredictable investment environment, this is the best allocation of capital for a portion of our portfolio, regardless of your overall strategy.
Ultimately, if the low correlation to the capital markets is provided, yet our REIT still provides competitive yield, potential capital gain, and preservation of capital. Then ultimately, for that hedge in our portfolio: best or worst case scenario, the rest is just noise.
Would you like to experience the following?
1) Low Correlation to the capital markets Reduction of entire portfolio volatility.
2) Extremely competitive yield and capital gain
3)1031 Tax Free exchanges
4) Buy low and sell high through timely, distressed acquisitions
5) Substantially greater passive income - 8% TCO ONE / 3.5% Public
Our choices for income are very limited in this environment. The Fed will undoubtedly not be raising interest rates anytime soon.
With the TCO One REIT you acquire diversification, income, capital gain and tax advantages!
Speak to the Cawthon Organization Today and find out how you can dramatically increase your income in a diversified Real Estate Portfolio!
Call us today at 225-276-1525.
Find out how we can increase your passive income, and decrease your overall volatility.
Jim Fournace Account Executive of Investment Sales Cawthon Organization
225-276-1525
The TCO ONE REIT, purchases multi-family properties with the intention to bring consistent passive income back to you, the investor. This is your opportunity to invest in institutional quality multi-family properties at a fraction of the cost. For $25k dollars you get a fractional ownership in multi-family property where you earn passive income. This investment structure offers you the ability to invest in something bigger than what you could do individually.
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