INFLATION AND APPRECIATION

Cash is considered by many to be the safest asset, as there is no way for you to lose your investment if that money is sitting in your local bank safe or under your 10 year old mattress. However, you lose money every year if you don't spend it. This is the result of that nagging problem called inflation. The average inflation over the last 10 years (2011 to 2020) is 2.54%. In 2020, inflation was 3.16 %. And that doesn't even take into account all the pent-up inflation that hasn't been triggered yet. If you're sitting on your cash, you just throw that money away. That's one of the reasons people invest in the first place - rather than working for your money, you want to make your money work for you.

Béton Capital allows you to benefit from indirect exposure to real estate. Real estate is a special asset class that can help you put your money to work in line with inflation. While many people dislike inflation because it drives up the price of petrol, food, rents and entertainment, among other things, a property company like Béton Capital loves inflation. Not only does inflation tend to increase property values, but investors can also charge more rent for the buildings they own, making inflation a double win for the company and its investors.

DIVERSIFICATION

Most individuals allocate their funds to a number of different asset classes such as cash, money market accounts, equities or even investments in start-ups. Some of these funds may be highly liquid, such as cash and equities, while others are less liquid, invested in pension funds, vested benefits accounts or traditional third pillar accounts.

Adding real estate exposure to any portfolio further diversifies what you invest in. The advantage of diversification is that if one asset class isn't doing well, you don't have all your eggs in one basket.

LIABILITIES

Our motto for our investors at Béton Capital is "no rubbish, no toilets, no tenants", which means that as an investor, you won't have to deal with the hassle of owning the property while still receiving your pro-rata share of the net income each month. By investing in Béton Capital, you can literally earn money while you sleep. This approach to income is very different to 'active' income, such as turning up to work each day, where your time and income are linked.