Would you bet your life on one income stream?

“We weren’t expecting COVID. That has convinced me that betting my life on…”

by Simon Popple of the Brookville Capital Intelligence Report

Having been a director of one of Europe’s largest private property companies – until a few years ago….I would have done just that.

I viewed property as the perfect long term investment. Back then – it probably was.

But times change.

We weren’t expecting COVID. That has convinced me that betting my life on one income stream – doesn’t make sense.

Although online sales have gone through the roof….parts of the commercial property market have really suffered. In fact, cracks are already starting to appear…with the closure of two property funds.

Take a look:

https://www.moneymarketing.co.uk/news/aegon-closes-property-income-fund/

https://www.avivainvestors.com/en-gb/paif/

Hopefully these closures will only be temporary…..but I would not want to bet my life that they are.

The residential market is on fire….but how much of this is down to the Stamp Duty holiday? We simply don’t know.

Don’t get me wrong – I’ve still got a lot of exposure to property…..but diversifying has become a lot more important to me.

Which is why I like commodities so much – particularly Gold and Silver

They’ve been around for thousands of years – they’ve got form. Unlike the digital currencies….the new kids on the block….how will they fare in a severe economic downturn? We don’t know.

Commodities are tangible. You can touch, feel them. They’re yours.

Much like property. Although with property, you need someone inside to be paying you the rent.

That’s not the case with commodities.

In fact, you can go anywhere in the World with gold, silver, platinum or palladium and people know it’s valuable. They’re a currency in EVERY country.

I know you read about it. But do you have any?

Simon Popple is the author of the Brookville Capital Intelligence Report. A weekly report that provides investment ideas in the commodity market. More information can be found at www.brookvillecapital.com

Walt Disney or Miss Marple?

I’ve never seen a Disney film and thought “I wasn’t expecting that”.

There seems to be a tried and tested formula. You fall in love with a character – they have some adversity – happy ending.

Miss Marple (a UK “Whodunnit”) on the other hand……is very different.

Someone gets killed, then at the end they show your all the clues. You don’t know why you thought it was the Vicar…..it was so obviously the Gardener.

Last week I ran a poll on LinkedIn, I asked what was going to bring the level of debt down. Inflation, Higher Taxes or a Dramatic change in government policy.

Or perhaps someone had another idea. 

NO-ONE did.

A huge global problem. And everybody assumes that someone else is going to fix it.

When we get nasty inflation, higher taxes or a dramatic change in government policy. We will be very much in the world of Miss Marple. 

The clues were obvious – but WE ignored them.

Have you done anything about this?

Simon Popple is the author of the Brookville Capital Intelligence Report. A weekly report that provides investment ideas in the commodity market. More information can be found at www.brookvillecapital.com