Get the Low-Down on High-Return Investments

Friday, July 31, 2015 | 10:07 pm

Most of us aren’t stock market geniuses. In fact, many are overwhelmed by the bombardment of commercials and advertisements claiming to help customers invest their money with the customer’s best interests in mind. It’s hard enough to put money aside for investments, let alone know which companies to trust.

With so much distrust in the investment marketplace, it’s critical to choose a firm who seems to have customers’ interests in mind over capital gain.

We sat down with Ricky Biel of Haydel Biel & Associates, who has offered some help to those of us who simply don’t know where to start when it comes to investing.

Pasadena Now: I’m sure there are plenty of investment opportunities in both private equity and commercial real estate. How do you and your firm sift through them all to arrive at the best options for me?

Ricky Biel: We attend several investment conferences and meet with countless investment managers to hear their ideas and really examine their investment process and offerings. Our meetings are intended to truly uncover what it is, if anything, that makes them different from other managers. I would say that for every 10 investment offerings I initially research, only 1 is sufficiently compelling enough for us to recommend to suitable clients.

PN: Does your firm group or pool the investments of several customers to make a larger investment that would be more profitable for all parties?

RB: Yes. Obviously it’s not possible for most people to invest $10 million to buy a commercial office building for example, but that’s the beauty of pooled investments. Through our network, clients can gain access to these large deals with tremendous return potential. However, it’s important to note that these type of investments are typically—but not always—only open to “Accredited Investors,” meaning clients with $1 million or more of investible assets, or $200,000 of annual income ($300,000 for married clients).

PN: Do these commercial real estate options provide immediate cash flow?

RB: Every deal is different. A land development investment, for example, would not typically provide immediate cash flow, whereas an investment in a shopping mall would provide immediate cash flow.

PN: And if I only have $50,000 to invest, should I invest it and forget about it for a couple of years, or will I make a monthly, quarterly or annual return of investment (ROI)?

RB: Again, every investment opportunity is different, but in private equity and commercial real estate the investment timeframe will almost always be at least two to three years. In most cases we do like to see immediate cash flow from an investment, providing, as you say, a monthly, quarterly or annual ROI. Depending on the investment structure, we also like to see a good chance of a capital gain on the back end at liquidation, in addition to the dividends clients receive.

Biel believes that his company’s current private equity and commercial real estate investments are meeting, and often exceeding, investors’ expectations. Since Haydel Biel & Associates started in 2009, all private equity and commercial real estate investments they’ve recommended have paid 100 percent of their target distributions, and none have experienced a downgrade in value.

Biel and his associates aim to provide customers with diverse financial opportunities for their investment portfolios. So don’t worry if you’re not a stock-market genius—you can easily get help from one at Haydel Biel & Associates to help you meet your investing goals.

Haydel Biel & Associates is located at 100 E. Corson Street Suite 310, Pasadena. For more information, call (626) 529-8347 or visit www.hbawealth.com.

 

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