Georgetown Trust Blog

Market Crash Screams for Alternative Investments

Posted by Georgetown Trust on Aug 26, 2015 11:41:00 AM

Keep Your “Building” from Crumbling

Collapsed_BuildingYou are invested in stocks and bonds because you have been told it’s the best way to increase your net worth. Yet, the recent world markets played “Follow the Leader” with crashes, corrections and pull backs worldwide. What an awful feeling as we watched markets free fall. 

Many of us are wondering if this was the big one like, I presume, most Californians do every time the earth shakes under their feet. Is this the one that sends California slipping into the Pacific; or just a little one that startles momentarily and ensures we’ll be able to drive to work tomorrow?  A day later it looks like this market correction may not have been the big one, only time will tell. However, we all feel like something is coming and that it’s only a matter of time before it hits. 

These are the type of days that fuel confidence in a strategy that includes holding alternative investments as a component of your asset portfolio. When the Shanghai index was screaming loud enough for the entire world to hear; I noticed a couple of things. 

First, condos, homes and land in Central America didn’t drop 10-15% in a matter of minutes, hours or even days. As well, we didn’t see the price of timber, or coconut water, or mangos drop overnight. They held their own. Why? Because these types of alternative investments react differently, they tend to be immune to the confidence crashes that accompany standard investment instruments. 

You have been thinking about making an international investment or you would not be reading this email. Please take action before the big one hits and you are unable to make that move you’ve been considering for weeks, months or even years. 

Contact us now and we will work with your specific situation. We can help identify what funds you have that might be better allocated abroad. We can also help you determine how much you should allocate internationally and discuss some alternative opportunities that make sense for your investment goals and objectives. 

Please, do NOT wait until it’s too late. Take a step, even if it’s a small one, to protect your wealth and allow yourself the indulgence of a good night’s sleep.

Contact Georgetown Trust

 

Topics: Asset Protection