250-374-2897 dave@daviddubeau.com

Blog #5: Mutual Funds: Eggs in Too Many Baskets?

Investing in a mutual fund might seem logical. It’s an opportunity to let a seasoned investor decide where your money goes, and typically, the investments made by a mutual fund are fairly diverse. That is to say, they fall into a variety of markets, and as such you can feel protected. If one market doesn’t pan out, perhaps one of the other ones will.

A lot of experts say that diversification in your investment portfolio is a good thing, and to a certain extent, they’re right. Investing in, say, only one stock, is a bit of a dangerous move, because what if that stock crashes? But diversification can also be very dangerous.

If you invest in a mutual fund that invests in a hundred different companies, that doesn’t necessarily mean that you’ve reached optimal diversification. A lot of mutual funds invest specifically in a single industry, which means that you still face many of the same problems you would if you only invested in a single company. And what about mutual funds that invest in multiple industries?

At that point, you run into a problem of overdiversification, which is sometimes, adorably, called “diworsification”. 

If your money is in a million different companies, keeping track of how all those companies are doing is a nightmare. Another problem is that investing in a lot of companies means having to own a lot of stocks in each of them, meaning that you have to put in quite a bit of cash up front. And perhaps one of the biggest issues with overdiversification is the fact that having your cash scattered in all directions means that even if one stock is performing well, you still might not make money after you account for how another market is doing.

Now let’s think about another investment: real estate. It might seem on the surface that real estate is an investment inherently lacking diversity, but the truth is, there are all kinds of real estate. You can invest in single family homes, multi-family dwellings, or office properties. You can invest in different parts of your city, or even in other cities. There are plenty of ways to have diverse real estate investments, and yet it would be really difficult to run into a problem of overdiversification, because it’s all real estate.

Real estate is a reliable, steady investment. Everyone needs it, and so it’s not going anywhere. This is just one of the many reasons real estate could be the right investment choice for you. 

 

About Dave Dubeau

Dave Dubeau is a real estate entrepreneur based in British Columbia.
He has been actively involved in Canada-wide Columbia area real estate investing since 2003.
Our mission is to provide quality housing for quality tenants, while at the same time providing an above-average return on investment (R.O.I) for our investor partners and ourselves.
It is truly a win-win-win way of investing!

Dave offers his investor partners hands-free investment opportunities. If you are interested to learn how to earn an above-average return on your investment, backed by a solid asset,
and without the hassle of being a landlord, please contact Dave.

For more information about Dave and his investment program, please call 250-374-2897 and email him at dave@daviddubeau.com or visit https://www.daviddubeau.com/

Blog #4: The High Cost of Mutual Funds

In any investment, there’s a certain level of money you have to put in before you see a return. That’s kind of the point of investing: you put something in to get something more out. It’s not free money, it’s putting your money in the right places to turn it into more money. Investing is great!

But some investments are smarter than others. Some investments, like mutual funds, can cost you quite a pretty penny right up front. Let’s look at some of the costs associated with mutual funds.

Annual Fund Operating Expenses

There are a lot of ongoing fees you’ve got to look out for if you invest in a mutual fund. There are management fees that go to the people who run and operate the fund, and 12b-1 fees, which go towards marketing and selling the fund, as well as other shareholder services. Then there can be a whole load of other administrative and managerial fees that you don’t really want to deal with. 

Shareholder Fees

More expenses? That’s right, as a shareholder in a mutual fund you’re also responsible for things like sales loads, which are commissions you pay when you buy or sell shares, redemption fees, which you pay if the fund doesn’t feel you’ve held onto a share long enough, account fees if your investment falls below a certain waterline… the list goes on and on. There are so many little costs you have to account for when you invest in mutual funds just to have shares in them in the first place, let alone if you want to actually do anything with your shares.

How Can I Avoid This?

The best way to get around mutual fund fees is to simply invest in something else. Real estate, for example, doesn’t have all these hidden costs and fees. When you invest in a property, you pay in what you pay in, and if it’s a rental property you probably aren’t even paying the utilities for the building. 

Real estate is a really smart investment for a lot of reasons, chief among them the fact that it’s straightforward. You invest in a property, you know what you’re paying and what you’re paying for. This is one of the reasons to consider real estate for your next investment. 

 

About Dave Dubeau

Dave Dubeau is a real estate entrepreneur based in British Columbia.
He has been actively involved in Canada-wide Columbia area real estate investing since 2003.
Our mission is to provide quality housing for quality tenants, while at the same time providing an above-average return on investment (R.O.I) for our investor partners and ourselves.
It is truly a win-win-win way of investing!

Dave offers his investor partners hands-free investment opportunities. If you are interested to learn how to earn an above-average return on your investment, backed by a solid asset,
and without the hassle of being a landlord, please contact Dave.

For more information about Dave and his investment program, please call 250-374-2897 and email him at dave@daviddubeau.com or visit https://www.daviddubeau.com/

Blog #3: Stocks Are a Gamble

Stocks are probably one of the first things you think of when you think of investing. The stock market is a big, well-known path of investing. 

But just because something is popular doesn’t mean that it’s the best thing! Stocks, like any investment, come with a set of downsides that you’d be a fool to ignore. Today we’re going to talk about just how risky the stock market can be.

The stock market is controlled by supply and demand like any other market. That’s just the way it goes in the economy. But the stock market can move fast — too fast to keep up with. A stock can crash in a few months, if not weeks, if things go south for the market. And there are so many ways things can go wrong.

If people stop buying iphones, what do you think your Apple stock is going to be worth? It all comes down to how much the company itself is worth, and that depends on the economy at large. When things start dipping, as they have throughout the year 2020, then the stocks go down with them. You simply can’t rely on most stocks to not flake out on you.

And what about the long term? A company that made, say, the tapes for answering machines might have been doing great in the eighties, but how well do you think they’re doing now? Most companies don’t live to see their hundredth anniversary. The sad truth is that most things eventually become obsolete, and with technology advancing faster and faster by the day, that’s a bigger risk than ever.

So, why not invest in something steady? Something people are always going to need? There are a few things that are simply necessary for human life, and one of those is shelter. Real estate is never going to become obsolete. As long as there are people, those people are going to need a place to live, a roof over their heads. Furthermore, real estate is a relatively stable market — even when it goes down, it doesn’t do so as rapidly or dramatically as some other markets do.

If you’re thinking of expanding your portfolio, think about real estate before you start looking at the options in stocks. It’s an essential asset you can count on to provide a prosperous future for you and your family.


About Dave Dubeau

Dave Dubeau is a real estate entrepreneur based in British Columbia.
He has been actively involved in Canada-wide Columbia area real estate investing since 2003.
Our mission is to provide quality housing for quality tenants, while at the same time providing an above-average return on investment (R.O.I) for our investor partners and ourselves.
It is truly a win-win-win way of investing!

Dave offers his investor partners hands-free investment opportunities. If you are interested to learn how to earn an above-average return on your investment, backed by a solid asset,
and without the hassle of being a landlord, please contact Dave.

For more information about Dave and his investment program, please call 250-374-2897 and email him at dave@daviddubeau.com or visit https://www.daviddubeau.com/

Blog #2: Steady Eddie Real Estate

The world of finances can feel like a hurricane. The tides of the economy are constantly washing in and out, and it can be hard to tell where you can safely make your investments in order to maximize your returns.

So, how do you tell what investment will secure your fiscal future? The stock market fluctuates every day. You can’t really depend on it to give you what you need. Likewise, bonds and even mutual funds tend to be unstable, as they shift with the external market forces that move the economy. You want a more stable investment, one you can count on. That’s where real estate comes in.

Real estate is a smart investment for a lot of reasons. Chief among these is the steadiness of it. Where other types of investment can lose vast amounts of value at a moment’s notice, real estate has a great consistency in value.

Of course, the value of a property can change. But it doesn’t drop like a cement block, the way the value of stocks can. When properties’ prices change, they do it much more slowly and gradually. That’s because, unlike luxuries like gold and diamonds, housing is a necessary and consistent market. Everyone needs a place to live, and that isn’t going to change. So with that in mind, it only makes sense that your properties would remain valuable no matter what the economy gets up to.

Of course, we all know that the housing market can be subject to negative economic forces. We all learned that in 2008, with the collapse of that particular bubble. But where other markets can’t take such heavy blows and would suffer irreparable damage, housing has a neat tendency to even itself out within a few years. Even if a real estate investment takes a hit, it’ll be back to its old self (or perhaps even better!) in a relatively short time as compared to other investments.

Real estate is just that: real! This kind of investment is reliable because it’s based on actual, tangible things- things people are always going to need. It’s not based on abstract concepts and invisible forces. Real estate is the real deal. If you’re looking for an investment that’s as stable as concrete, the property is the way to go.

 

 

davedubeau.com is a real estate investment company. We have been actively involved in British Columbia area real estate investing for a number of years. Our mission is to provide quality housing for quality tenants, while at the same time providing an above-average return on investment (R.O.I) for our investor partners and ourselves.  It is truly a win-win-win way of investing!

Dave offers his investor partners hands-free investment opportunities. If you are interested to learn how to earn an above-average return on your investment, backed by a solid asset,and without the hassle of being a landlord, please contact Dave.

For more information about Dave and his investment program, please call 416 522 4221 and email him at Dave@DavidDubeau.com or visit https://www.daviddubeau.com/

 

VLOG #1 WHY REAL ESTATE: Rich Invest

Dave Dubeau here, and I’ve shot a short video for you about the investment choice of over 60% of North America’s wealthiest families.

The good news is that we can all do the same thing!

Check it out here:

Cheers,

Dave Dubeau

P.S.  If you’d like to find out what I’m doing with real estate these days, and how you can enjoy an above average return on investment (without the headaches of being a landlord), either reply to this email, or give me a shout at 250-374-2897

P.P.S.  And of course, if you never want to hear from me again then you can simply use the link below to stop future communications.

VLOG #2 WHY REAL ESTATE: Stable

Dave Dubeau here, and I’ve shot a short video for you about why real estate is so stable as an investment.

Check it out here:

Cheers,

Dave Dubeau

P.S.  If you’d like to find out what I’m doing with real estate these days, and how you can enjoy an above average return on investment (without the headaches of being a landlord), either reply to this email, or give me a shout at 250-374-2897

P.P.S.  And of course, if you never want to hear from me again then you can simply use the link below to stop future communications.

VLOG #3 WHY REAL ESTATE: Multiple Profits

Dave Dubeau here, and I’ve shot a short video for you about how there are Multiple ways to make money with real estate.

Check it out here:

Cheers,

Dave Dubeau

P.S.  If you’d like to find out what I’m doing with real estate these days, and how you can enjoy an above average return on investment (without the headaches of being a landlord), either reply to this email, or give me a shout at 250-374-2897

P.P.S.  And of course, if you never want to hear from me again then you can simply use the link below to stop future communications.

Contact Dave Dubeau

Dave Dubeau

Professional Real Estate Investor

DISCOVER WHY REAL ESTATE IS AN EXCEPTIONAL WAY TO INVEST (VIDEO)

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