Seasoned investors with diversified portfolios create wealth through different investment vehicles – stock market, bonds and real estate. Of the three, real estate investments seem to offer better long-term returns without as much volatility. Historically, investors who hold their properties for longer periods can minimize the risk of loss. Moreover, the real estate market has always rebounded after any financial crisis.
For example, after the economic downturn caused by the COVID-19 pandemic, the real estate sector recovered in record time, faster than most industries. This is probably why the rich hide their money in real estate.
While there is no doubt that real estate is a great way to create and manage wealth, some savvy real estate investors are now crossing borders and targeting emerging markets, and adding international real estate properties to their portfolios.
On the one hand, the real estate space in emerging markets offers investors more freedom and flexibility in managing the property, however investors believe it would benefit them most. Second, the real estate market on international soil like Malaysia offers higher potential for appreciation and returns than properties in countries with established bureaucracies. Finally, the emerging market puts investors in a better negotiating position due to the lack of investors.
Established real estate investor and property manager Abdul Siddiqi has seen the potential in emerging markets and isn’t too afraid to jump at the chance, unlike most investors. His more than 16 years of experience in identifying properties that can offer the best returns allow him to challenge boundaries and seize opportunities that others would not be bold enough to seize.
Abdul’s stance in shifting focus to emerging markets is the result of good judgment. His first-hand knowledge and experience in all aspects of real estate, from buying to brokerage, development and lending, has provided him with the skills and tools to make better investment decisions. To date, Abdul has managed, owned and developed approximately $100 million, and he is looking to add more to his portfolio. Its move to emerging markets like Malaysia could well provide it with exponential growth opportunities.
J Anne Evans