Recent News
Dollar Strengthens; Yuan, Euro Weaken
S&P 500, Nasdaq hit records as Fed cuts rates
U.S. stocks add to all-time high
Will the Stock Market Crash in 2024? 7 Risk Factors
Buffett’s Berkshire cuts Apple stake by half, boosts cash stockpile to $277B as it gets ‘defensive’
Dollar Slides as Weak US Economic News Bolsters Rate Cut Hopes
An overload of warning signals mark the ‘last straw’ that could send the S&P 500 plunging 70%, famed permabear says
Are your investments truly diversified? HERE’S ONE WAY TO FIND OUT:
In the stock market, you are playing on a world stage with public companies. Therefore, as much as you are insulated from local events, you are exposed to national and worldwide ones.
Every single country that is a world player, investors are susceptible to their actions. The actions of the central bank in England and the EU are likely affecting your investments right now if you are investing in the stock market. Investors are completely susceptible to foreign countries actions. That’s a wild thought.
Even if you are diversified into many industries, but they are all publicly traded, you are not diversified in the scope. The scope is, by default, worldwide; and generally when the stock market goes substantially down, all of it goes to down to varying degrees.
The problem is if the stock market takes a nose dive similar to that of 2008 (and it’s a real possibility), life doesn’t wait 10 years for another correction. It’s a great philosophy in theory, but people don’t live forever, retirement doesn’t wait until its a convenient time for the stock market to perform well, and real life is different than a theory. Life doesn’t give you decades at a time to craft the perfect retirement; heck, none of us are even promised tomorrow. We can be wise with planning but we can’t put all of our trust in a strategy that demands a decade in order for it to work out.
Life’s needs and events do not submit to the directives of the stock market. Rather, the stock market responds to world events. Rather than independently following each public companies decisions, the stock market follows what the central banks do, because the central markets are controlled by the actions of the central banks. ( Nor has the market made a promise to always obey traditionally understood wisdom when it comes to cycles.)
To be truly diversified you must have localized investments that are insulated from world events, and must have investments that are insulated from local events; as well as a few different industries within the worldwide and localized scopes. If a disproportionate amount of your investments are publicly traded, that is not diversified.
And like with every wise principle, the Bible called it out first:
Ecclesiastes 11:2:
“Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Boron Capital holds different localized regions within the U.S., is expanding into international markets, and uniquely serves many industries: the oil and gas market, the corporate market, the luxury market, mobile home housing, and the self-storage market.
It’s of paramount important to start looking for ways to diversify right now.
Ten Charts That Explain the U.S. Economy in 2023
Global Economics Intelligence executive summary, April 2022
U.S. Economy Plows Through Covid Obstacles Toward a Solid 2022
The Bad News Won’t Stop, but Markets Keep Rising
A Look at Counties’ Economic Growth by Region in 2019
Global Economy: Good News for Now but Trade Tensions a Threat
Emotions Influence Investment Decisions
A nice balance of logic and true diversification will do you well.
Stronger U.S. economy to warrant more rate hikes, Yellen says
The Fed boosts its outlook for the US economy
CEO of Boron Capital Shares How to Take Advantage of Real Estate Investments Under the Trump Presidency
Boron Capital purchases Apartments in Georgia’s Emerging Market
Boron Capital has purchased apartment complexes in emerging market DeKalb county, Georgia. Boron will implement core company standards, improving rental criteria while bringing rents up to market rates, and taking advantage of untapped upside potential.
DeKalb County is quickly becoming one of the most populated counties in the metro Atlanta area. Sustained physical and economic growth, access to numerous employment centers, and popular retail destinations are a few of the reasons residents are attracted to the area.
Supply and demand conditions are favorable in DeKalb County for apartment investors. DeKalb County’s solid demographics and household incomes easily support the current effective rents in the submarket.
Atlanta’s population has increased dramatically since 2000, rising by 33.5%. With a growing population comes employment growth, which allowed businesses in the metro to hire 110,000 in 2014. The ARC projects an additional 3M people and 1.8M jobs over the next 3 decades.
The county’s economic growth, access to employment, and reputation for quality retail destinations make the area very desirable. With over 700,000 residents, DeKalb is Georgia’s third largest county. The “Clifton Corridor” is a vibrant employment area encompassing roughly 30,000 jobs supported by Emory Hospital, Emory Medical School, Children’s Healthcare of Atlanta, VA Hospital, DeKalb Medical Center, and the National Center for Disease Control.
Boron Capital intends to generate cash for distribution to its Members from operations with an eventual resale (disposition) of the Properties.
