Families Growing Their Wealth Together

As Vice President of Business Development I meet and speak with Investors, Wealth Managers and other industry professionals around the U.S. and abroad. It’s my job to identify investor trends to help us stay ahead of market conditions; where they invest, what they invest in and more specifically who they invest with and why. At a recent mastermind session we discussed the strategy and importance of forging Strategic Alliances, and the long term benefits of doing so. As entrepreneurs & businesses continue to leverage each other’s strengths, there’s a hot new trend coming out of family and wealth management offices around the country.

Families across the U.S. are combining their funds and resources to grow their portfolios, and in many cases start building a real estate portfolio. They believe that the market is bottoming out and acquiring real estate or “hard assets” now, will create the foundation for a successful & long-term investment plan.

As our mastermind discussion continued, we identified several benefits associated with what we’ve now come to know is, the “Individual Joint Venture.” Some of those benefits include:

  • Multiple Acquisitions
  • Larger Acquisitions
  • Cash Flowing Acquisitions
  • Complete Check Book control of their Money

Clubs, networking events and forums are being formed (Strategic Alliances) to recruit additional partners and identify all available resources and opportunities to ensure their long-term success. It’s no longer just one deal. It is about multiple acquisitions, diversification, taking control of their financial futures.

There are pitfalls, of course (thus the need for consultants). Families with experience in the real estate market sector, who are now managing the money of other careful investors want, actually need to put structure and controls in place. They also need to figure out how to report to their new partners. Passive and active investors alike need to know typical terms and protect themselves and their assets legally.

Families without real estate holdings as well as those with underperforming retirement savings vehicles (401K, IRA, CD’s, Mutual Funds) see the opportunity here too, of course. They want to align themselves with smart, experienced investors and groups that have the systems, expertise and opportunities they seek.

When conducting your diligence to identify a business, organization, or group to work with, a common challenge/question posed by most is: Where can I find genuine investment opportunities from reliable sources? While there are many viable outlets across the country, I believe that aside from longevity and expertise, the three most important “keys” you must uncover prior to making your selection are Credibility, Accountability, and Transparency.

The last few years has taught everyone a valuable lesson. You must become a good steward of your own money. This means taking back control of both your money and your investment choices.

Wishing You & Yours a very Merry Christmas and a Happy, Healthy and Prosperous New Year!

Sam Ally

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