EP 084: Best Investments of 2022

2022 was a challenging and volatile year when it came to investing.

There was a huge amount of uncertainty:
– Inflation
– Interest rates
– Geo and local politics
– Crypto collapse
– The US market fell 20% at one point
– Australian property fell 9% nationally

The list goes on…

It’s understandable why many investors sat on the sidelines or even sold off some investments.

However…

It’s not what I did.

Yes, I increase my cash buffers to adjust to the change in the environment.

But… throughout the year, I was able to stay in the market and also made another property acquisition.

Which is up 7% for the year. 🥳

There was a point when I came close to buying a second property.
However, the terms of the deal were just not right.

I loved the property, but the terms made it a terrible deal for me.

Anyhow… a topic for a future podcast.

Something I have learnt is that times of uncertainty are often the best times to buy good assets cheap.

Uncertainty can be your advantage if you are in a position to strike.

Sellers are motivated to sell in uncertain times.
Many want out of the market to wait for more certain times.

That’s your opportunity!
It’s much harder to buy or overpay when the markets are booming.
As sellers feel that if they wait, they can get more for the asset at a future point.

However…

Something I have not heard people speak about is just how hard it is on your psychology.
To buy when others want to sell.

It’s a hard thing to do.

I’ll admit I was extremely nervous and stressed about buying in 2022.

– What if the media was right?
– What if the market collapses?
– What if rates keep powering up?

I nearly pulled out of the purchase at one point.

The thing that made the difference was the team I had around me.
Being able to lean on their expertise and experience got me through it.

In times of uncertainty, you will need a strong, qualified, and experienced team around you.

*** side note: just a reminder that I’m not a qualified financial advisor, and I get help from qualified professionals, and you should do so too ***

The team I use is listed on my website under the “partners” page.
If you are in need of some assistance, that might be a good place to start.

You can find it here: https://businessandinvesting.com/partners/ 

Anyhow, back to my portfolio.
Here is a summary.

I made 1 purchase.

2 of my properties did fall in value across the year.
Roughly 5% each.

Here is the most surprising thing for the year.

My overall portfolio is up 11% 🥳

And…

We had rents go up 10% across the board

A result I’m absolutely thrilled with.

Anyhow, in this episode of the podcast, Grant and I break down our 6 best investments of 2022.

You might be surprised to hear about the returns we produced 😉

DISCLAIMER:
All information we share is NOT financial or investment advice and is purely intended for entertainment and educational purposes only. Always seek professional advice before acting on any financial decision.