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Take advantage of the 'New 1031' |
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Page 1 of 2  Anybody who reads the news knows that we are entering a potentially uncertain period with regards to the market's direction. We know that we are in a rising interest rate environment, which historically has a negative impact on most markets, including the stock, bond and real estate markets.
Let's take a closer look at various strategies available to investors of all types who have begun a movement towards "safe-havens" for their portfolios.
Anybody who reads the news knows that we are entering a potentially uncertain period with regards to the market's direction. We know that we are in a rising interest rate environment, which historically has a negative impact on most markets, including the stock, bond and real estate markets.
More and more investors are now re-positioning their assets into a more secure and - perhaps most important - a more predictable portfolio allocation.
Arguably, the key reason for investor unrest is the very fact that they are uncertain about what can happen to their assets. Traditional investors have been advancing their portfolios towards insured index accounts, which allow the portfolio unlimited growth while insuring against any market losses.
This uncertainty includes not only traditional stock market investments, but now we are beginning to see alternative investments such as real estate start to feel a level of uncertainty.
Now is a good time to remember that regardless of the type of investment, if we maintain a long-term perspective, these various investment vehicles will eventually get us where we are going.
The "white-hot" stock market of the late 1990s moved investors away from the long-term perspective and put many into a state of unrealistic expectations. Even the conservative, retired investors came to expect "overnight" satisfaction from their stock portfolio's.
For a few years, during 1998, 1999 and into 2000, they actually were rewarded as such. Now going into our fifth year of "flat returns," investors finally have started to lose the "hangover" from unrealistic expectations.
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