The Benefits of Sustainable Property Development: Investing for the Future

October 2, 2024  Investments, property investment, PropTech, Sustainable property investment

Sustainable property development is no longer just a trend; it’s a necessity. As environmental concerns grow, investors are increasingly recognizing the benefits of incorporating sustainability into property development. In this blog, we’ll discuss the key advantages of sustainable property development and why it’s a smart investment choice.

The Shift Towards Sustainability

The demand for sustainable properties is rising. According to a survey by the National Association of Realtors, 87% of homebuyers value energy efficiency and sustainable features . This growing awareness presents a significant opportunity for investors.

1. Increased Property Value

Properties designed with sustainability in mind tend to retain their value better and often appreciate faster than traditional properties. The Urban Land Institute highlights that green buildings can command higher rents and sales prices, making them attractive investments .

2. Lower Operating Costs

Sustainable properties typically feature energy-efficient systems, which can significantly reduce operating costs. By investing in properties with sustainable features like solar panels, green roofs, and energy-efficient appliances, investors can enjoy lower utility bills and operational expenses .

3. Positive Environmental Impact

Investing in sustainable property development contributes to a healthier environment. These properties are designed to minimize waste, reduce carbon footprints, and promote energy conservation. As an investor, aligning your portfolio with environmentally responsible practices not only enhances your reputation but also meets the growing consumer demand for sustainable living .

4. Government Incentives

Many governments offer incentives for sustainable development projects, including tax breaks and grants. These incentives can enhance the financial feasibility of sustainable projects, making them an even more attractive investment .

Conclusion

The benefits of sustainable property development are clear. From increased property values to lower operating costs and positive environmental impacts, investing in sustainability is a forward-thinking strategy. As the demand for eco-friendly properties continues to grow, now is the perfect time to invest in sustainable property development.

Ready to explore sustainable property development opportunities? Contact us today to learn how you can contribute to a greener future while maximizing your investment returns!

 

Investment Opportunities in Renewable Energy: A Sustainable Future Await

 alternative investments, FinTech, GreenTech, Investments, property development, property investment, PropTech, Solar

As the world shifts towards sustainability, investment opportunities in renewable energy are more promising than ever. With global initiatives focused on reducing carbon emissions, investors are increasingly looking to capitalize on this dynamic sector. In this blog, we’ll explore the top investment opportunities in renewable energy and why now is the perfect time to invest.

The Growing Demand for Renewable Energy

According to a report by the International Renewable Energy Agency (IRENA), renewable energy capacity has been growing at an unprecedented rate, with investments reaching over $300 billion globally in 2022 alone . This growth is driven by increasing demand for clean energy solutions and government incentives to transition away from fossil fuels.

1. Solar Energy Investments

Solar energy remains at the forefront of renewable energy investments. With decreasing costs of solar technology, including solar panels and batteries, this sector offers substantial growth potential. Investing in solar farms or residential solar energy systems can yield attractive returns, especially in regions with ample sunlight.

2. Wind Energy Projects

Wind energy is another area ripe for investment. Offshore wind farms, in particular, are gaining traction. The Global Wind Energy Council (GWEC) reported that offshore wind capacity is expected to quadruple by 2030 . Investing in wind energy can not only generate significant returns but also contribute to energy independence.

3. Emerging Technologies

Investors should also consider emerging technologies such as hydrogen energy, energy storage solutions, and smart grids. These innovations are set to revolutionize the energy landscape, offering new avenues for investment. A report by McKinsey indicates that the hydrogen economy could be worth $2.5 trillion by 2030 .

Conclusion

Investing in renewable energy presents a unique opportunity to contribute to a sustainable future while generating substantial financial returns. With the sector experiencing unprecedented growth, now is the time to explore the diverse investment opportunities available.

Interested in exploring renewable energy investment opportunities? Contact us today to learn how you can get involved in this exciting sector!

Navigating the Future of Alternative Investment with Willow Rivers Wealth

June 11, 2024  alternative investments, FinTech, GreenTech, Investments, property development, property investment, PropTech, Solar, Uncategorized

At Willow Rivers Wealth, we understand the unique investment landscape navigated by High-Net-Worth (HNW) and Ultra-High-Net-Worth (UHNW) individuals. Our expertise in exclusive investment opportunities has positioned us as a leading advisor in the realms of Proptech, Fintech, and Greentech sectors.
The Prestige of Luxury Real Estate Investments
Our clients are afforded the opportunity to invest in luxury real estate investments, a cornerstone of wealth that not only appreciates over time but also offers the exclusivity and grandeur befitting their status.
Championing Renewable Energy Funds
In line with our commitment to sustainability, Willow Rivers Wealth has been a pioneer in renewable energy funds. We help our clients invest in green technology, which is not just a trend but a movement towards a sustainable future.
High-Yield Investment Programs with a Conscientious Approach
While high-yield investment programs can be enticing, we at Willow Rivers Wealth prioritise security and due diligence. Our private wealth management services ensure that every investment is scrutinised for its merit and potential.
Asset Diversification for a Resilient Portfolio
We advocate for asset diversification, ensuring our clients’ portfolios are robust and resilient. Our services extend to estate planning services and tax optimisation for investors, safeguarding their wealth across various asset classes.
Direct Impact Investing through Angel Networks and Venture Capital
Willow Rivers Wealth connects HNW and UHNW investors with angel investing networks and venture capital, fostering direct investments in startups and innovative companies poised for growth.
Bespoke Property Investment Consultation
Our bespoke property investment consultation services are tailored to meet the specific needs of our clients, ensuring alignment with their investment goals and lifestyle preferences.
Investing in the Future with Sustainable Energy Project Investment
We guide our clients through sustainable energy project investment, offering them a chance to be part of the global shift towards cleaner energy solutions.
Exclusive Access to Off-Market Property Deals
Willow Rivers Wealth provides exclusive access to off-market property deals, presenting our clients with unique investment opportunities that are not available to the general public.
Specialised High-Value Asset Management
Our approach to high-value asset management is meticulous and personalised. We understand the intricacies of managing significant investments and the importance they hold in our clients’ portfolios.
At Willow Rivers Wealth, we are more than just an investment consultancy; we are partners in our clients’ journey towards financial growth and sustainability. Join us as we navigate the exciting and transformative opportunities that the future holds.
Source: Conversation with Copilot, 11/06/2024
(1) Home – Willow Rivers. https://willowrivers.com/.

Managing Your Finances During a Recession: Expert Advice from Willow Rivers Wealth Ltd

April 24, 2023  2008 financial crisis, diversify portfolio, estate planning, expert advice., expertise, global economy, How to invest for inflation, inflation proof investments, investment, investment planning, investment strategies, Investments, personalized financial planning services, recession, what to invest in now, Willow Rivers Wealth Ltd

Managing Your Finances During a Recession: Expert Advice from Willow Rivers Wealth Ltd

During a recession, managing your finances can be challenging, but with the right knowledge and planning, it is possible to minimise the impact on your wealth.

How to Manage Your Finances During a Recession: A recession can bring with it a variety of financial challenges, and it is important to understand how to manage your finances during tough times. At Willow Rivers Wealth Ltd, our financial advisers have the experience and knowledge to provide advice and assistance on how to navigate the difficult economic climate, helping to protect and grow your wealth.
How to Manage Your Finances 

At Willow Rivers Wealth Ltd, we have years of experience in helping our clients navigate challenging economic times, and we offer expert advice and assistance to protect and grow your wealth.

Here are some tips on managing your finances during a recession, including recent investments that may be suitable for you:

 

 

 

  1. Create a budget: A budget is crucial to manage your finances during a recession. It helps you understand your income, expenses, and cash flow, allowing you to make informed decisions about your spending and savings. Our financial advisers can provide you with tools and resources to create a realistic budget tailored to your goals and priorities.
  2. Cut unnecessary expenses: Review your budget and identify areas where you can reduce your spending, such as dining out or entertainment. Cutting unnecessary expenses frees up funds to invest or save. Our financial advisers can help you identify suitable investment options for your situation, such as bonds, stocks, or real estate.
  3. Build an emergency fund: Having an emergency fund helps you weather financial storms. At Willow Rivers Wealth Ltd, we recommend building an emergency fund of at least three to six months’ worth of living expenses. We can help you choose suitable investment vehicles for your emergency fund, such as money market funds or high-yield savings accounts.
  4. Prioritise debt reduction: During a recession, it is crucial to prioritise paying off high-interest debt, such as credit card debt. Our financial advisers can help you develop a debt reduction plan that balances debt repayment and investments. We can recommend debt consolidation options and negotiate with lenders on your behalf.
  5. Seek professional advice: During a recession, seeking professional advice can help you make informed financial decisions. Our financial advisers have expertise in investment strategies, risk management, and other financial planning services that can help you protect and grow your wealth. Some of our recent investments that may be suitable for you include socially responsible investment funds, healthcare sector funds, and technology sector funds.

At Willow Rivers Wealth Ltd, we understand that managing your finances during a recession can be overwhelming. That’s why we offer personalised financial planning services to help our clients navigate these difficult times. Our financial advisers have the experience and knowledge to provide expert advice on managing your finances during a recession, and we offer a range of investment options suitable for different risk tolerances and investment goals.

In conclusion, managing your finances during a recession requires a combination of discipline, knowledge, and professional guidance. At Willow Rivers Wealth Ltd, we offer the expertise and tools to help you manage your finances and grow your wealth. Contact us today to schedule a consultation and learn more about our investment options, including socially responsible investment funds, healthcare sector funds, and technology sector funds.

Meta Description: Willow Rivers Wealth Ltd provides expert advice on managing finances during a recession, including suitable investment options such as socially responsible investment funds, healthcare sector funds, and technology sector funds. Contact us to schedule a consultation and protect and grow your wealth during challenging economic times.

Keywords: recession, financial challenges, financial planning, budget, unnecessary expenses, emergency fund, debt reduction, professional advice, investment strategies, risk management, socially responsible investment funds, healthcare sector funds, technology sector funds, personalised financial planning services, expert advice.

How to Manage Your Finances During a Recession: A recession can bring with it a variety of financial challenges, and it is important to understand how to manage your finances during tough times. At Willow Rivers Wealth Ltd, our financial advisers have the experience and knowledge to provide advice and assistance on how to navigate the difficult economic climate, helping to protect and grow your wealth.

Bitcoin Verses Gold

March 23, 2023  bitcoin, diversify portfolio, informed decisions., Investments

Bitcoin vs. Gold: Which is the Better Investment in the Next Bull Run?

The debate between Bitcoin and gold as a safe-haven asset has been ongoing for several years, with proponents on both sides touting the benefits of their preferred investment. As we head into the next bull run, it’s worth examining the strengths and weaknesses of each asset and how they could perform in the coming years.

Bitcoin v Gold

Bitcoin: The Digital Gold

Bitcoin is a decentralised, digital currency that operates on a peer-to-peer network. It was created in 2009 by an unknown person or group using the pseudonym Satoshi Nakamoto. Since then, Bitcoin has grown in popularity and is now widely considered a legitimate asset class.

One of the main benefits of Bitcoin is its decentralisation, meaning that it is not controlled by any government or central authority. This makes it a potentially attractive investment for those who are concerned about inflation or political instability.

In addition, Bitcoin has a limited supply, with only 21 million Bitcoins in existence. This means that it may be a hedge against inflation and potentially appreciate in value over time.

However, Bitcoin is also highly volatile, with sharp price swings and a lack of a track record during periods of economic uncertainty. It is also still relatively unknown to many investors and may be more difficult to access or trade compared to other assets.

Gold: The Time-Tested Store of Value

Gold has been used as a store of value for thousands of years and has a well-established market with high liquidity. It is also considered a safe-haven asset during times of economic uncertainty, as it is not tied to any specific government or currency.

One of the main benefits of gold is its long-term track record as a store of value and a hedge against inflation. It has historically held its value during periods of economic uncertainty and has outperformed other asset classes during some recessions.

However, gold also has its downsides. It can be costly to store and transport, and its price can be impacted by various factors such as changes in production or mining regulations.

Bitcoin vs. Gold: Which is the Better Investment?

Both Bitcoin and gold have their pros and cons, and the decision of which to invest in ultimately depends on each investor’s individual goals and risk tolerance. Some investors may choose to invest in both assets as a way to diversify their portfolio.

In terms of the next bull run, it’s difficult to predict how each asset will perform. Bitcoin may continue its upward trajectory, but it may also experience significant price swings and volatility. Gold may also perform well, particularly if there is continued economic uncertainty.

In summary, both Bitcoin and gold are viable investment options with their own unique properties and benefits. Investors should carefully consider their options and seek professional advice before making any investment decisions.

Why JVing with an existing developer is better for UK property development

March 10, 2023  buy to let, inflation proof investments, Investments, joint venture, property development, property investment, property joint venture, uk property development, Uncategorized, what to invest in now, what to invest in this quarter

The UK property market is notoriously difficult to navigate, with high costs, complex regulations, and a shortage of affordable housing. For those looking to enter the market, there are two main options: to start a property development project from scratch or to joint venture (JV) with an existing developer. While both options have their advantages, there are several compelling reasons why JVing with an existing developer is the better choice for UK property development.

JV
JV

Entering the UK property market can be a challenging task for anyone. However, JVing with an existing developer can provide access to valuable expertise. An experienced developer will have a wealth of knowledge regarding the local market, contacts with suppliers and contractors, and a deep understanding of the complex regulatory landscape. Trying to build this expertise from scratch is time-consuming and costly, and mistakes can be costly. A JV partner can provide a valuable shortcut to success.

Another benefit of JVing with an existing developer is the sharing of risk. Property development is a high-risk business, with a significant amount of capital and time invested in each project. By JVing with an existing developer, you can share this risk, minimizing your exposure to financial losses. Sharing risk with a partner also provides an opportunity to leverage each other’s strengths, expertise, and resources to ensure project success.

JVing with an existing developer can also help to reduce costs. An experienced developer will have established relationships with contractors and suppliers, as well as access to financing at favorable rates. They may also have economies of scale that can reduce the costs of materials and labor, which can be particularly beneficial when working on larger projects.

Developing a property from scratch can be a complex process involving numerous stakeholders, including architects, contractors, lenders, and regulatory bodies. With a JV partner, many of these processes will have already been streamlined and optimized, reducing the time and effort required to get a project off the ground.

Lastly, JVing with an existing developer can also provide improved exit options. By partnering with an established developer, you may be able to sell your share of the property development project more quickly and easily, freeing up capital to invest in other projects or diversify your portfolio.

In conclusion, JVing with an existing developer is the better option for UK property development. It provides access to expertise, reduces costs, streamlines processes, shares risk, and offers improved exit options. By working with a JV partner, you can leverage their knowledge, experience, and resources to achieve success in the competitive UK property market.

Is the Cambridge laboratory space a good investment ?

February 6, 2023  biotech, Investments, property investment

The Cambridge laboratory space market is currently experiencing a high level of demand, making it an attractive option for property investors. This demand is driven by a number of factors, including the growing number of technology companies and start-ups in the area, as well as the presence of a number of prestigious universities and research institutions.
Cambridge lab space
Cambridge laboratory space.
One of the key advantages of investing in laboratory space in Cambridge is the quality of the tenant base. Many of the companies and institutions located in the area are leaders in their respective fields, and have a strong track record of success. This can help to ensure that rental income remains stable, even during times of economic uncertainty.
Another factor that makes Cambridge an attractive option for property investors is the relatively low vacancy rate. The demand for laboratory space in the area has been consistently high in recent years, which has helped to keep vacancy rates low. This can help to ensure that properties remain occupied, and that rental income remains steady.
Despite the strong demand for laboratory space in Cambridge, there are still a number of challenges that property investors need to be aware of. One of the main challenges is the high cost of land and construction. This can make it difficult for investors to find properties that offer good value for money.
Another challenge is the competition for properties in the area. Because the Cambridge laboratory space market is so popular, investors may need to be prepared to compete with other buyers in order to secure the properties they are interested in.
Despite these challenges, the Cambridge laboratory space market remains an attractive option for property investors. The high demand for space in the area, coupled with the quality of the tenant base and the relatively low vacancy rate, make it an ideal location for investors looking to invest in laboratory space.
Overall, the Cambridge laboratory space market is a great option for property investors who are looking for a stable and reliable investment opportunity. With the right approach, investors can find properties that offer good value for money, and which are likely to generate a steady stream of rental income.

Which renewables are best for retail investors in the UK

 energystorage, Investments, Solar, what to invest in right now

Which renewables are best for retail investors in the UK?
Which renewables are best for investors
Which renewables are best for investors ?
There are several renewable energy options that are well-suited for retail investors in the United Kingdom. Some of the most popular options include:
  1. Solar energy: Investing in solar energy projects, such as rooftop solar panels, is a popular choice for retail investors in the UK. There are various investment options available, including buying shares in solar energy companies, investing in solar energy funds, or investing in community solar projects.
  2. Wind energy: Wind energy is another popular option for retail investors in the UK. There are several ways to invest in wind energy, such as buying shares in wind energy companies, investing in wind energy funds, or investing in community wind projects.
  3. Biomass energy: Biomass energy, which is generated from organic materials such as wood or agricultural waste, is also a viable option for retail investors in the UK. Investment options include buying shares in biomass energy companies, investing in biomass energy funds, or investing in community biomass projects.
  4. Hydroelectric energy: Retail investors in the UK can also invest in hydroelectric energy by buying shares in hydroelectric companies, investing in hydroelectric funds, or investing in community hydroelectric projects.
It’s important to note that investing in renewable energy projects, like any investment, comes with risk and it’s important to do your own research and consult a financial advisor before making any investment decisions.
Additionally, it’s worth mentioning that the UK government has implemented a series of policies and initiatives to support the growth of renewable energy in the country, such as the Renewable Obligation Certificates (ROCs) and the feed-in tariff (FIT) schemes, which have helped to attract investment into the sector.

News: Asset-Backed Token Raise to Support the Build of Algae Biomass Protein Farms

June 29, 2022  biotech, bitcoin, blockchain, cryptomining, decentraland, energystorage, Ethereum, FinTech, Green Technology, GreenTech, how it invest in the metaverse, How to invest for inflation, How to profit from inflation, how to profit from the metaverse, inflation proof investments, Investments, meditech, meta, metaverse, property development, PropTech, Smart grid, Solar, tech investment, Uncategorized

Globacap announces the offering of Sustainable Impact Token (SIT) to support the construction of algae biomass farms.

SIT is the world’s first blockchain-based algae biomass project offering. The project will be built utilising patented sustainable technology to deliver a pioneering green investment opportunity.

Algae From Solar

Carbon credits generated by biomass projects will be tokenised as Algaecoin.

The world’s first blockchain-based algae biomass project, built on the energy-efficient Tezos blockchain, was today announced by leading capital markets technology firm, Globacap.
Developed and operated by Sustainable Impact Token (SIT), the project will support the development, construction, and operation of algae biomass farms. The initiative will use blockchain technology to bridge the gap between two of the fastest growing investor markets in the world – asset-backed finance and crypto.
Algae Biomass Investment
Algae Biomass Plant
SIT’s algae biomass farms produce high quality, non-animal protein, based on a system powered exclusively using renewable energy. These algae farms are absorbing large amounts of carbon out of the autmosphere and a net producer of renewable energy. The SIT project is currently supporting the development of a “proof of concept” algae biomass farm in Europe using patented, sustainable technology.
Myles Milston, CEO of Globacap says, “Being part of this pioneering project marks an important milestone in our ongoing mission to enable frictionless asset creation and transferability. With Globacap, the capital raising process is completely digital, mostly automated, transparent, secure, and regulatory compliant. Our work with SIT and Tezos is transformational in the way this market can operate.”
The $5 billion algae biomass sector is estimated to grow at a CAGR of 6.3% during the next 5 years ( Quince Market Insights) and the success of the project will provide the basis to expand globally. SIT provides investors with tokens issued via smart contracts deployed on the proof-of-stake Tezos blockchain, representing their preferred shares in the project. Carbon credit generated from the algae production will also be tokenized into Algaecoin, a tokenized asset representing tradable carbon credits. “By bringing agri-tech solutions and carbon credit-backed assets into private markets and beyond, we can make significant, impactful steps towards sustaining our planet for future generations,” adds Milston.
The SIT offering was designed to enable frictionless transferability in full compliance with securities regulation through the Tezos FA2 compliant token contracts for holding and settlement. This pioneering offering links the sustainable asset-backed and crypto investment worlds together to create a compelling blockchain-enabled investment vehicle. “As solutions to the macro challenges of food scarcity and sustainable energy production continue to be a global priority, demand for investment vehicles that can also support these objectives are increasing. We are thrilled to see Globacap choose Tezos to power this unique blockchain based, asset-backed offering,” says Mason Edwards, from Tezos Foundation.
Tezos is an energy-efficient open source blockchain network powered by a globally decentralised network of users and validators. Companies and builders around the globe leverage Tezos for projects exploring the potential for blockchain to be a tool for sustainable innovation. Recently, Cambridge University announced the Cambridge Centre for Carbon Credits (4C) which is creating a trusted decentralised marketplace on Tezos where purchasers of carbon credits can confidently and directly fund trusted nature-based projects that ties together corporate funders to conservationists via automated and transparent global oracles.
Globacap is committed to driving adoption of tokenization for most asset classes and providing a means for digital securitisation to global capital markets. Blockchain technology enables previously illiquid investment to now be transacted efficiently in seconds instead of weeks, and with minimal overheads. Globacap’s mission is to bring the archaic processes behind capital markets into the digital era by offering private placement, securities issuance, securities registry management, and liquidity products.
Chairman & Founder of Sustainable Impact Token, Peter Henderson, says “Our vision is to play our part in addressing some of the real challenges of our time – how can the growing world population be fed sufficiently, nutritiously and can this ambition be achieved in a way that improves, rather than harms, the environment? We believe our approach helps on all of these fronts and know that the investor community is keen to join us on the journey.”
“We wanted to structure the offering using an innovative, transparent and secure approach. Investors are being offered an attractive return, in a real asset, but through digital technology – and they can make their investments through fiat or crypto currencies.” “Bringing to market the token offering has been amazingly smooth, which is a credit to our partners at Globacap , Tezos and Lumin Capital.”
To learn more about Sustainable Impact Token get in touch for a copy of the white paper by filling in the below contact form.

    To learn more about Globacap, visit https://globacap.com/

    To learn more about Tezos, visit https://tezos.com/

    ###

    About Globacap:

    Globacap is driving the digitisation of all assets by using technology to unlock the true potential of capital markets. It has standardised the securities landscape, enabling frictionless asset creation and transferability. Over $14 billion of private share and debt instruments are digitally administered on the platform, and Globacap has now executed over $180 million of secondary liquidity in private securities with digital, automated settlement. Globacap is regulated by the FCA (Financial Conduct Authority) as an arranger and custodian and its platform can onboard investors from over 60 countries, in compliance with local regulations. For more information on how Globacap is changing the private capital markets industry, please visit globacap.com.

    About Tezos:

    Tezos is smart money, redefining what it means to hold and exchange value in a digitally connected world. A self-upgradable and energy-efficient Proof of Stake blockchain with a proven track record, Tezos seamlessly adopts tomorrow’s innovations without network disruptions today. For more information, please visit www.tezos.com.

    How To Profit From Inflation.

    May 21, 2021  FinTech, Green Technology, GreenTech, How to invest for inflation, How to profit from inflation, inflation proof investments, Investments, property development, property investment, PropTech, Solar

    How To Profit From Inflation.

     

    Unless you have been living under a rock for the last few weeks, you will have seen that the markets have been spooked by the prospects of higher inflation. This has come about due to the post Covid bounce we predicted back in January, in our Roaring 20s article. https://willowrivers.com/the-roaring-20s-are-back/ This latest article looks at how to profit from inflation.

    Just in case you don’t know what inflation is. I have borrowed a definition from Robbert Kiyosakis website: The simple definition of inflation is when prices rise and the purchasing power of a currency drops. It means that you can buy less with your money than you used to be able to. Simple!

    So we are all getting poorer. Our money goes less far and this is bad news unless our income is linked to inflation.

    Luckily there are ways of beating this. Some assets perform better than others in an inflationary environment and we are lucky enough to have a number of these on our books here at Willow Rivers Wealth Ltd.

    How to profit from inflation
    How to profit from inflation

    Long-term (since 1950) correlation between inflation & various financial/real assets.

    So lets first look at what not to do!

    The worse thing you can do, is hold all your net worth in cash in an inflationary environment. You are effectively making a negative return. With some analyst stating inflation could pass 5% this is a very real threat.

    The boom on the back of the rapid vaccine rollout is starting to take shape and many assets and commodities are getting swept up in the rapid recovery. None more so than in the construction industry:

    https://www.constructionnews.co.uk/supply-chain/construction-materials-shortage-5-key-items-in-short-supply-17-05-2021/

    https://www.theconstructionindex.co.uk/news/view/developers-urged-to-start-now-to-beat-build-inflation

    Inflation in building materials will lead to higher prices for construction and thus higher property prices down the line. Added to this, demand for property is rising as people come out of look down and look to improve their living standards.

    Fuel prices are also rising rapidly as we get back on the roads and start to fly again. Expect $100 oil in the not too distant future. https://financialpost.com/commodities/energy/oil-gas/peak-demand-more-like-a-supply-crisis-propelling-oil-to-us100

    So how do we beat and profit from inflation?

    How to profit from inflation

    • Property Investment

    So the first and most obvious place to look when trying to beat inflation in the property market. Inflation is also a good time to use leverage. One can buy a property with a buy-to-let mortgage and buy an appreciating asset with a 25% deposit but see capital appreciation on the full value of the property. If you fix in your mortgage rate for several years you should be able to see steady capital appreciation and rental growth, while your fixed interest costs remain the same. A very crude example of this would be a if a 100,000 pound flat appreciates by 10% and you have invested 25,000 you have made a paper profit of 40%. (10,000/25,000 x100) comfortably beating inflation. There are obviously other costs to take into account but even when these are added you should still be well clear of any inflation.

    • Property development.

    By developing houses and projects now, you can build at the current prices and sell at the new rate of inflation in 6 to 12 months time. We offer a number of property developments around the county all with market beating returns of 15%+. We use a JCT contract https://corporate.jctltd.co.uk/products/about-our-contracts/ which fixes the price of the build at the front end and avoids any uncomfortable surprises for the investor. Get in touch to find out about our latest development opportunities around the county. More details at www.willowrivers.com

     

    • Commodities

    You can trade commodities on all the usual platforms such as Etoro and IG. Oil, Copper and Timber are already showing excessive growth, but just about any commodity used in the building process will see substantial growth over the next couple of years.

     

    • Renewable energy with inflation linked returns.

    We have been developing renewable energy projects for over ten years now. Feed-in-tariffs linked to inflation are a thing of the past now, however we are still building private projects with a Power Purchase Agreement (PPA). The power generated from wind, solar or geothermal is sold back to the business below and the contract is fixed for 20 to 30 years with an inflation linked kicker to the price. We are able to generate 10% to 15% pa returns which will rise in line with inflation. Get in touch to find out what projects we have available for investors. Projects start from 20,000 pounds to 25m. www.willowrivers.com

    • Farmland and Forestry

    UK Farmland will also appreciate again. The combination of the security land ownership offers, zero inheritance tax and yields linked to commodity prices will attract both UK and international investors alike. We work closely with a number of UK land companies and can help with forestry and agricultural land investment.

    Conclusion

    Don’t just take our word for it, hedge fund manager Michael Burry made famous in the the movie Big Short is also investing for inflation. https://moguldom.com/338484/famous-big-short-investor-michael-burry-warns-weimar-like-hyperinflation-is-coming-to-america/

    Now is the time to get your house in order and profit from what is likely to be a bumpy road ahead.

    If you have any questions about building an inflation proof portfolio, do get in touch and we can discuss some strategies.

      Additional resources on inflation:

       

      Institute of International Monetary Research has produced a good video on their inflation expectations over the next couple of years.

       

      Good video here on why we can expect higher inflation of the next couple of years.

      https://www.theguardian.com/business/2021/may/15/the-fear-that-haunts-markets-is-inflation-coming-back

      https://www.marketwatch.com/story/the-biggest-inflation-scare-in-40-years-is-coming-what-stock-market-investors-need-to-know-11617846712

      https://www.wsj.com/articles/if-inflation-is-coming-here-is-what-to-do-about-it-11620694235

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