Hello Mr. Collier,
I hope life is going excellent for you! When you get some time, could you please answer the below questions?
Thank you!
What would you consider a generational asset(s)? i.e. what kind of asset if any could be passed from generation to generation that would secure a generation financially.
No asset can assure future generations’ financial security! Life is change! Security lies inside you, more in personal power than positional power: flexibility, the ability to adapt and change to evolving markets and volatile conditions of ever-increasing complexity and ambiguity, yet neither to panic or overreact. “Only 13% of the Fortune 500 companies in 1955 were still on the list 56 years later in 2011 i.e. 87% have either gone bankrupt, merged, gone private, or still exist but have fallen from the top Fortune 500 companies (ranked by gross revenue).”
Most stable asset classes?
– US Treasuries but yield is minimal, could goose a bit with Fortune 50 bonds
– Low/No Fee Index Funds: S&P 500 or Russell 2000; essentially a bet on US economy; to extent that most US based companies have extensive overseas operations you are getting a bit of global markets
– Actively managed real estate in a portfolio diversified geographically across US and perhaps even in different asset classes (office, retail, multifamily, industrial, hospitality). It is difficult for an individual to accumulate large enough holdings to achieve diversity; I’ve not done a great job re diversity.
As always, I share what I most want and need to learn. – Nathan S. Collier
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