2022 Why Private Real Estate?
Will McIntosh, Ph.D
Global Head of Research
Senior Associate, Research
Executive Managing Director, Private Wealth
Managing Director, Private Wealth
- Commercial real estate (CRE) represents a significant portion of the global universe of investable assets and should be viewed as a critical building block in portfolio construction for both individual and institutional investors. As such, private real estate should be considered as the third leg of the stool in a traditional stock and bond portfolio.
- CRE is comprised of equity and debt investments through public and private markets. An allocation to private real estate can provide attractive risk-adjusted returns, excellent portfolio diversification, and a hedge against inflation; while maintaining or enhancing levels of current income for investors.
- When building a private real estate allocation, it is critically important that investors have a firm understanding of what they own and disciplined focus on selecting an investment matching their primary goals.