Posted on: 20-06-11 03:30:25
Is there any ETF, index, portfolio or fund which represents farm land, agriculture, dairy, cattle and supply?
Quote:
Originally posted by Blue_Peafowl
Greenhouse or Winery is a good investment.
We have worked on it and have gathered some knowledge as well as we have couple of project available.
Let me know if you guys are interested to know. We can always work in group since its required big cash
The business model that I am talking about is very small scale, not a publicly owned corporation. Initially, we want to begin as a private corporation, just as an asset management company. Trading off between earning rent vs making capital gains on purchases.
In the market, REITS promise to pay a certain amount of dividend to all of its shareholders distributing the rent revenue-expenses, to all of its unit holders. However, for our "small scale" purposes, we intend have a mixture of both rental incomes and capital gains until we get enough investors to support large-scale operation, where are able to meet the cash-flow requirements to pay-off dividends regularly, that means increasing our P/AFFO as mentioned earlier, and a solid cash flow is the key to sucess.
From my understanding, REITS aim for providing a stable continual income, even through tough times. Where as Private Equity Real Estate Investments, such as ETFs bank on capital gains.
I know investing my money into public companies, will be a safer option because of the expert management. However, as a young fellow in the market, I think I still have time on my side to start this company, and learn about start-ups and entrepreneurial ventures. Even though it may be a lot of work, it will definitely be an experience I will never forget.
Quote:REITs pay out capital gains as well when they sell a property.
Originally posted by rdassarm
From my understanding, REITS aim for providing a stable continual income, even through tough times. Where as Private Equity Real Estate Investments, such as ETFs bank on capital gains.
Most of REIT payouts are usually not qualified dividends (in the Canadian DTC sense), but general payouts comprising a mix of interest, income, ROC and capital gains.
Quote:Sure, absolutely, it'll give you good experience in property management, starting and running a business etc.
I know investing my money into public companies, will be a safer option because of the expert management. However, as a young fellow in the market, I think I still have time on my side to start this company, and learn about start-ups and entrepreneurial ventures. Even though it may be a lot of work, it will definitely be an experience I will never forget.
I was speaking purely from an investment perspective.
Owning and managing properties is almost a full time job, esp. once you have more than one and/or multiplexes and need to rent out to common tenants rather than friends and family.
If you feel up to it, go for it !
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
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Thanks fellas for the useful info. Looks like it is too much work as an investment if you are really not into farming.
Actually, I am drafting a business plan for a real-estate venture, would you folks mind editing the draft, and adding your opinions?. Right now I think I can take the pressure of handling the work, at a young age so I am up for the challenge. Let me know if you can spend some time correcting the work, and adding opinions.
Thanks,
Hi rdassarm
I bought a rental townhome last year and having positive cash flow. My next plan is to get into a real estate corporation kind of company.
We can possibly exchange ideas, knowledge if you like. My email is, email me then we can go from there....
Happy Investing!!
How much investment would a survivalist farm for a small family in a desirable area of the country require?
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