|
Dear Fellow Investor,
Even though most of us will never become billionaires, it’s sure fun trying.
And if we want to have a chance of making it BIG, it’s probably smart to watch and listen to those who’ve actually done it.
After all, as Tony Robbins says, “Success leaves clues.”
To which the Godfather of Real Estate, Bob Helms, adds...“You don’t need to give natural childbirth to a good idea...you can adopt!”
So when multi-billionaire real estate investor Sam Zell has something to say, we pay attention and take notes.
In a recent appearance on Bloomberg News, Zell reveals what he’s doing right now and why. It’s a short clip, and you can watch it here.
There are some pearls of wisdom to glean...some obvious, and others more subtle. And if you’ve been following The Real Estate Guys™ for a while, some of it will sound familiar.
But that’s not because we’re super smart. It’s more because we’re well- informed from spending quality time with lots of really smart people.
Sam Zell is buying gold...for the first time in his life.
We think that’s REALLY interesting.
Of course, we’ve been following gold for quite some time...and for a lot of reasons.
So while it’s interesting that Zell is buying gold for the very first time in a long and uber-successful investing career...what’s even MORE intriguing is WHY.
In the interview, Zell offers up two reasons. One is obvious. The other more subtle...and leads to some even more subtle lessons.
All this from a guy who wrote a book titled Am I Being Too Subtle?
First, Zell says he’s buying gold because of the supply and demand dynamic. He overtly states he sees gold supply constrained going forward.
So it’s obvious from Zell’s comments that it’s important to understand supply and demand when investing in anything.
When supply is low relative to demand, there’s opportunity.
Yes, we realize that’s Investing 101.
But it’s also a GREAT reminder that even at the billionaire level, successful investing is based on basic, timeless concepts.
And there’s MUCH MORE to be gleaned from Zell’s comments about gold...
While he openly explains that he sees the gold supply being constrained, what is inferred is his confidence in persistent demand for gold.
After all, if supply drops...but demand drops too...there’s no imbalance and therefore, no opportunity. Zell’s too smart to miss that.
So Zell must see gold demand holding or increasing.
Even more notable is that the supply AND demand dynamic in gold is SO compelling that billionaire Sam Zell is buying gold for the FIRST time in his EPIC career.
THAT is telling in and of itself. But wait! There’s more…
Gold Is Not Only Good...But Better
In addition to constrained supply and persistent and growing demand going forward, Zell must think the opportunity in gold is quite good right now relative to other investment options.
Which begs the question...
What’s different in TODAY’s world that pushes the prospects for gold high up Sam Zell’s priority ladder?
After all, he’s been around a LONG time...though stock market crashes, recessions, financial crises. What’s different NOW that makes gold alluring?
That’s a topic too big for this commentary...and our limited brains...
… but will be a hot topic of discussion with gold experts Brien Lundin, Dana Samuelson and Peter Schiff aboard the upcoming Investor Summit at Sea™.
We’re guessing part of the answer is wrapped up in Sam Zell subtle comment number two…
Sam Zell is buying gold as a “hedge.”
Hmmmm…a hedge against what?
Investopedia defines a hedge this way...
“A hedge is an investment to reduce the risk of adverse price movements in an asset. Normally, a hedge consists of taking an offsetting position in a related security.”
Well, THAT’S interesting.
Zell is using gold to “reduce the risk of adverse price movement in an asset.” And he considers gold “an offsetting position in a related security.”
Which begs yet another question...
What asset / related security is Zell worried about...for the first time in his long and illustrious career?
Our guess is it’s the U.S. dollar. In fact, we’d bet a beer on it.
And there’s one more clue we think bolsters the argument Zell is hedging the dollar…
Zell is bullish on oil.
Wow. What a coincidence...our recent episode on precious metals was immediately followed with an episode on oil and gas.
Maybe Zell’s been listening to The Real Estate Guys™ radio show???
Um, probably not. More likely, we’re learning a lot from all the smart folks we hang out with and listen to...and we’re starting to think like billionaires. We hope so.
So why oil?
Also coincidentally...just a week before the Sam Zell interview was published, we published our weekly newsletter and talked about...oil.
We won’t take time here to explain why we think oil could be a big story going forward. You can read our thoughts here.
But this Zell interview affirms what we and many of our big-brained pals have been watching carefully for several years...
The dollar is under attack...from both internal and external forces.
So anyone who earns, invests, borrows, lends, or denominates net worth in dollars...probably most people reading this...should probably take steps to become more aware and better prepared.
After all, if multi-billionaire real estate investor Sam Zell is hedging against the dollar...maybe you should too.
How To Keep Learning From The Best
Remember — in all his career, Zell has never bought gold before now.
One thing he knows well: The world is changing FAST…and in many ways.
Technology, politics, economics, and even investing…are evolving at a chaotic pace.
Of course, while chaos breeds fear, uncertainty and doubt…it also creates tremendous opportunity for the alert and nimble.
But how quickly you can see an opportunity or a problem, analyze it, and take action…is the difference between thriving, simply surviving, or dying. Just ask Sears.
That's why captains of industry and wealthy investors both put a high priority on staying informed, connected, and attentive.
Many folks look for answers by listening to our radio show and others like it. Maybe you’re one of them.
But we hate to break it to you…it’s probably not INFORMATION you need.
It’s TRANSFORMATION.
Albert Einstein make a powerful point…
“You can’t solve a problem with the same level of thinking that created it.”
Genius advice. But HOW do you transform your level of thinking?
Like many real estate investors going through 2008, we realized we needed a new level of thinking.
And for us, that means spending as much time as possible with bigger brains.
So we completely overhauled our Investor Summit at Sea™ to attract a much higher caliber level of both faculty and attendees.
And it's been nothing short of AMAZING. Not just for us, but for the hundreds of people who've been and come back year after year.
Of course, the Summit is expensive and limited in space. That's part of the unique appeal. It's a pretty exclusive experience.
But if you’re ready to take a QUANTUM LEAP in your financial education, strategic network, and level of thinking…
It’s time for YOU to join Robert Kiyosaki, Peter Schiff, Chris Martenson, G. Edward Griffin, Brien Lundin, and MANY more experts for an EPIC educational experience.
We talk real estate niches of all kinds...along with precious metals, oil, entrepreneurship...all in the context of the macro-factors affecting investing decisions.
And this year Robert Kiyosaki and his team will be going deep into how they routinely create infinite returns. It's going to be powerful.
But time is running short. The Summit will be here SOON.
Tony Robbins stresses how important it is to take MASSIVE ACTION if you’re SERIOUS about transforming your life.
This is your chance. We hope you grab it…because if you do, then YOU are exactly the kind of person who belongs with this all-star group.
Click here NOW to make it happen >>
Russ Gray and Robert Helms
The Real Estate Guys™
CLICK HERE
To Learn More About
The Real Estate Guys™
Summit At Sea
|
