Tiger 21

Source: The Globe and Mail

Tiger 21 is a “high net worth, peer-to-peer network for investors with over $10 million in investment assets.” This organization has just over 300 members from Canada and the U.S. and every year it puts out the results of a survey conducted of its membership. In September 2014, the survey asked the members what changes, if any, they intended to make with their portfolios by the end of this year. Here are a few of the trends that Tiger 21 reported;

• “Steady as she goes”

Most members aren’t planning any big changes in their portfolios.

Exceptions:

• Increasing cash allocations – the wealthy are raising cash so they can buy a bargain in the near future. They recognize they will have to be a bit patient for this steal of a deal opportunity.

• Increasing private equity investments – yielding stronger returns, the wealthy have preferred to invest in privately held businesses.

Selling those bonds

The wealthy are decreasing their allocated investments in bonds. The bond market simply is not compensating the wealthy.

• Buying real estate in the U.S. – but not in Canada

Some of the wealthy Americans are buying real estate south of the border, realizing that it has taken a turn after the crash of 2007-2010. The U.S. real estate market is expected to produce some bargain opportunities. But Canada’s market is “arguably stretched right now.” The article goes on to say that this is particularly true for Vancouver, Calgary and Toronto.

Who knows, maybe you are Tiger 21 material. Are you looking to join the ranks or, at least, interested in increasing your investments? Contact a Financial Services Representative today!