Expert investment advisor, real estate investor and CEO of Redbed Investments LLE, Reda Bedjaoui offers invaluable advice and insight for investors looking to manage their risk exposure across the remainder of fiscal year 2017. As the major global regions of Europe, Asia and the U.S. continue to experience synchronized economic growth and relatively stable markets (as reported in the IMF’s World Economic Outlook for 2017), Bedjaoui urges speculators to remain vigilant in the midst of uncertain geopolitical and domestic policy shifts. In order to offset risks in potentially volatile 3rd and 4th quarter markets with an expected uptick in inflation and interest rates, he looks to diversified portfolios with real estate and technology assets as popular hedges.
With rates still historically low but set to rise, now is an excellent time to invest in real estate, which is generally resilient during inflation periods and offers robust returns when purchased with leverage. While returns on real estate generally average 3% vs 9-10% in stock indexes, the weight of risk is much lower for the former and with home value increases often exceeding 50% of initial leveraged investments, real estate remains a consistent performer. For 2017, Reda Bedjaoui advises a focus on the New York City and Miami markets, where delayed purchasing decisions in 2016 have resulted in oversupply and lowered prices. The Miami Herald reports that luxury real estate in Miami is currently a highly-incentivised sector, following a loss of Latin American buyers leading to drops of 3 to 8% in condo prices. In New York City, as rental prices continue to outpace sales price growth and home sellers are lowering their prices (as reported by CNBC), savvy investors are getting in ahead of the trend and rising interest rates.
Wise investing for 2017 could require choosing emerging markets as part of your overall strategy; Bedjaoui points to technology shares as a great investment vehicle with leading broad-based gains across almost all market sectors. Encompassing a wide spectrum of industries, key drivers to watch for are: autonomous & electric vehicles; wearables; blockchain (Bitcoin) currencies; biotech; cybersecurity and artificial intelligence/automated machine learning. The Nasdaq has recorded its strongest gains since 2013 following not only notable performances of big players like Microsoft (MSFT), Nvidia (NVDA), Amazon (AMZN) and Apple (AAPL), but a huge contingent of smaller tech companies on the rise. In the UK, tech sector growth has outpaced all other sectors by a factor of two during the past year and should indicate to sceptics that for the time being, the tech market remains a solid bet.
Reda Bedjaoui operates highly-successful global business ventures in North America, Europe and the Middle East. As a respected multi-sector international investment advisor, Bedjaoui leverages his decades of experience managing projects in real estate development, start-up industries, risk management and governance and compliance. Having completed studies in Law at the Université de Montréal and The Hague Academy of International Law in the Netherlands, he offers invaluable perspective in commercial and corporate law and international arbitration. Beyond his business acumen, Bedjaoui is a father of three, a passionate golfer and fluent conversant in several languages.
Reda Bedjaoui Discusses the Market Impacts of Brexit One Year After the Vote: https://finance.yahoo.com/news/reda-bedjaoui-discusses-market-impacts-190000873.html
Reda Bedjaoui — Explains the Effect of Interest Rates on the Stock Market: http://finance.yahoo.com/news/reda-bedjaoui-explains-effect-interest-072100133.html