57: Diversification in 2024: Three Undiscovered Strategies
Mar 25, 2024
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Exploring unique diversification strategies in investment portfolios such as wine and whiskey. Profiting from farmland and timberland investments for steady returns. Investing in fine art and owning fractions of valuable artwork. Using the Griffin app for investing while shopping and benefits of health savings accounts. Maximizing investment returns with unique funding strategies and innovative investment choices.
Investing in alternative assets like wine and whiskey can provide substantial returns outside traditional markets.
Considering farmland and timberland investments can offer stable returns with diversified portfolio options.
Investing in fine art can yield high returns, provide unique investment avenues, and outperform traditional market benchmarks.
Deep dives
Diversification through Alternative Investments: Wine and Whiskey
Investing in alternative assets like wine and whiskey can provide substantial returns outside traditional markets. Historical data shows wine offering a 9% annual return over 120 years and whiskey averaging 13.8% annually from 2015-2022. Platforms like VinoVest and Vint offer opportunities for investing in these assets, with examples showing significant returns.
Exploring Farmland and Timberland Investments
Considering farmland and timberland investments can offer stable returns with diversified portfolio options. Timberland has shown an 11% average return since 1987. Farmland provides a dual benefit of land value appreciation and rental income from farmers. Platforms like AcreTrader offer accessible investment opportunities with successful track records.
Fine Art as an Alternative Investment
Investing in fine art, including pieces from artists like Kusama, Basquiat, and Banksy, can yield high returns and provide a unique investment avenue. Platforms like Masterworks facilitate fractional ownership and offer substantial annualized returns, net of fees. Fine art investments offer diversification and potential outperformance compared to traditional market benchmarks with a mix of flair and financial growth.
Financial Strategy: Exploring SPYI as an Income Source
Considerations for shifting from a rental property to investing in SPYI for passive income involve tax-efficient strategies and potential income growth. SPYI, despite being relatively new, offers opportunities for tax-free distributions through return of capital. Exploring options like a 1031 exchange or split exchange can optimize capital gains and enhance investment diversification.
Podcast Evolution and Gratitude
The Rich Habits Podcast expresses gratitude for its listeners, recent Top 10 ranking, and growing community engagement. The hosts express excitement for upcoming content and initiatives to help millions on their personal finance journeys. Listeners' positive feedback, reviews, and support drive the podcast's mission to educate and motivate individuals towards wealth-building and financial success.
In this episode of the Rich Habits Podcast, Robert Croak and Austin Hankwitz share their three favorite strategies they use to achieve diversification in their own portfolios.
By staying diversified, they're able to build wealth uncorrelated to the whims of the Federal Reserve and the stock market.
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