3 ms·
So you have a return of 3.2% on investment, which is in line with inflation. Not a particularly good investment I guess.
by mgaunard 3y ago
So you have a return of 3.2% on investment, which is in line with inflation.
Not a particularly good investment I guess.
- MagnumOpus 3y ago3.2% yield which likely is real yield as it grows with inflation in the long term. And the underlying property price also growth with inflation (with incomes, really, so higher than inflation). So 3.2% real yield - which is not much lower than the earnings yield on stocks, but with the ability to go heavily leveraged without being exposed to the rapid margin calls in equities. (It's no surprise that many multi-millionaires got their start by developing/renting out property.)
- mgaunard 3y agoS&P annual return is 8% on average. A good hedge fund would be able to offer higher than that still.