Paraguay Ag Invest – Carsten Pfau

Paraguay Ag Invest – Carsten Pfau

 

Step into the world of AGRICULTURAL INVESTING!

 

Carsten Pfau and his experienced team will guide you to PASSIVE PROFITS investing in peaceful Paraguay.

Consider generating long-term yearly returns as an owner of your very own Paragayuan plot of land. You’ll be seeing GREEN!

Carsten has been personally investing in traditional real estate and agricultural real estate for years and years. He has a business degree from Mannheim University and lived in Paraguay for over twenty years … He knows the language and the culture.

Expand, diversify and GROW your portfolio!

Leverage Carsten’s business-minded sensibility, familiarity with the terrain and his powerful, boots-on-the-ground team.

YOU can OWN farmland … without actually having to manage a farm. Professional farming experts do all the work of running things for you … You enjoy the profits.

So what kind of farm are we talking about? Glad you asked!

Partner with Paraguay Ag Invest and before you know it … You’re a proud Paraguay landowner and producer of sweet, ORANGES, grass-fed CATTLE and FRESH PRODUCE.

YOU can DIVERSIFY your portfolio into OFF-SHORE agricultural LAND that produces a basic human need … FOOD … in GLOBAL DEMAND!

It’s actually quite simple to get in this game. And last time we checked, land and food are not going out of business any time soon.

Intrigued by the possibilities … Contact Carsten and his team to get more information on how YOU can invest in Paraguay farmland

Simply fill out the form below, and the folks at Paraguay Ag Invest will be in touch.

Farming for Profits Part 2 – Cash Flow vs. Legacy Investing

 

Real estate serves many human needs. Whether you’re investing in rental properties or agricultural properties, you’re reacting to basic human demands—and agricultural products will ALWAYS be in demand.

In our latest episode, we hear from agricultural investment expert Rachel Jensen about how agricultural investments can take decades to yield profits—but they tend to have an ENORMOUS payoff in the long run, not just for you, but for your posterity as well.

Specifically, we’re talking about investing in teak—an extremely valuable hardwood that provides tremendous value and security by mitigating investment risk. It allows you, the investor, to sit back and relax, knowing your investment could grow into serious profit in the long run.

In this edition of The Real Estate Guys™ show you’ll hear from:

  • Your seek-the-teak host, Robert Helms
  • His teaky-and-cheeky co-host, Russell Gray
  • Vice President of Sales at Teak Hardwoods, Rachel Jensen

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Diversifying your personal investment philosophy

When it comes to real estate investing, everything you do has to go back to YOUR personal investment philosophy.

If you’re investing, you have to line up liquidity points with your own liquidity needs.

Agricultural investing is NOT the same as investing in residential properties! A property owner and manager is used to monthly cash flow from rental payments.

BUT … trees can’t complain! While investing in agricultural properties may not provide a monthly cash flow, it does mitigate many of the risks of traditional real estate investment, including vacancies and turnover costs.

When you invest in agriculture, you have to be able to step back from the idea of monthly cash flow and add a zero to your thinking by calculating the long-term growth of your investment.

Investing in agricultural properties like hardwood plantations provides a myriad benefits that can match needs outside of basic monthly income. These benefits include:

  • International diversification
  • Privacy and asset protection
  • Mitigation of investor risk in MULTIPLE ways

Secure, stable, and sticking around: The ultimate long-term investment

Rachel Jensen, vice president of Teak Hardwoods, was kind enough to pay us a visit to talk about a hardwood investment that’s been popular for centuries: teak.

When you think about timber, the first think you might think about is the risks. Teak is different: it’s resistant to fire, rot, termites—all the traditional risks to owning what is essentially a giant lot of wood.

It’s also an extremely secure investment. During the recessions of 2008, when global markets were shrinking, demand for teak was high—in fact, demand increased by 9.5% during the period, Rachel tells us.

Teak is NOT an investment with short-term payoffs. In fact, teak is best harvested at age 25 and age 60.

It might not be easy to make the transition from working on a monthly or yearly timeline to working on a 25-year timeline. “For those who see the benefits of generational wealth stewardship, it’s an investment that pays off,” says Rachel.

If you have the patience to wait 25 years for the payoff, you end up with a lump sum of cash at the end of those 25 years.

This is especially important when you consider that tuition could skyrocket by 2030. Teak investment provides security for those who have kids, grandkids, nieces, nephews, or even causes they want to support in the long term.

Growing in fertile land: the benefits of South American teak

Around the world, teak is harvested at a rate of 8-12 times more than it is planted, especially in countries where it’s grown naturally. As you can imagine, this is a huge problem.

One area of the world has solved this problem, however: South America.

How? South America provides incentives to investors for reforestation. This is an unbelievable opportunity that provides benefits not only to investors, but to the local community, world economy, and environment as well.

In Panama, these reforestation incentives include zero income tax at time of harvest and zero property tax.

Investing in South American countries provides other HUGE benefits to investors.

Most obviously, investors can diversify their portfolio internationally. Rachel’s teak plantations rest in the fertile lands of Panama and Nicaragua.

Investors are also eligible for the Friendly Nations Visa, a residency that’s one of the most popular in the world because of its simple requirements and low cost. This visa allows users to get work permits, obtain eventual citizenship, and even move their families to Nicaragua.

How YOU can invest in teak

If investing in hardwood properties is starting to sound pretty darn good, we agree!

How can YOU get started? It’s quite simple.

Investors in Teak Hardwood interested in a plot of land in Panama can start with as little of ¼ acre of ownership. The title of a ¼ acre parcel goes for $15,700—investors typically start with two to four parcels.

One benefit of this specific property? The teak trees are already 17 years old, meaning investors get a payoff in just eight years.

This is an incredibly accessible investment, especially for millennials who are willing to look at the big picture. Investors even have access to a five-month, zero-interest payment plan, says Rachel.

As a millennial herself, Rachel says, “I like knowing I don’t have to do anything.” Teak is what Rachel calls a “peace-of-mind turn-key” investment.

You make the investment, and Mother Nature basically just does her thing—usually with the help companies like Geo Forestal, an experienced plantation management company that manages Teak Hardwood’s properties in Panama.

For someone who wants to get in on the ground floor, Teak Hardwood also has a new program in Nicaragua with trees planted just this year. Proceeds start in year 12, when the trees are thinned.

Interested in learning more about investing in this tried and true wood? Rachel compiled a packet of information just for us. Email teak (at) realestateguysradio (dot) com for more information.

Diversification: Security in an unstable world

It’s important for investors to think about global issues when they make an investment.

“Currently, there is worldwide pushback against established institutions,” Russell reminds us. “This means there is potential for radical, substantial change in coming years.”

Investors have many concerns to consider: market crashes, climate change, the collapse of established traditional institutions, disruptive technology to name a few.

In the face of these concerns, teak investment is one way to insulate wealth.

And it’s not a time bomb—unlike other agricultural investments, teak has a shelf life. So does coffee.

Robert reminds us of David Sewell, founder of International Coffee Farms. David buys coffee farms and turns them from commodity farms to specialty coffee growers and harvesters. This allows him to narrow his target market and eliminate commodity competition.

He’s insulating his wealth from potential dangers by investing smartly and finding a competitive edge.

If you’d like to learn more about investing in coffee, we’d love to provide you with more information! Email coffee (at) realestateguysradio (dot) com.

There’s many reasons people are getting off the beaten path when investing—it may take a little more time and diligence, but the path’s not as crowded, and the risks are much lower.

If you want to step into the world of agricultural investing, consider investing in your future with a whole week for YOU to talk to experienced agricultural investors and look at investing from a global perspective!


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Farming for Profits with Agricultural Investing

Start your day with a cup of jo today? Yeah, we thought so.

We’re java-jazzed to share our latest interview with you. We spoke with David Sewell of International Coffee Farms about a unique real estate investment opportunity.

David and his team make it possible for anyone to become an agriculture investor. They produce specialty coffee beans in Panama, yielding both reliable crops and profits for savvy investors.

Yes, investing in offshore coffee farms is a way to perk up your portfolio and caffeinate your cashflow.

Tune into our latest java-driven edition of The Real Estate Guys™ radio show with personalities:

  • Your green-thumb host, Robert Helms
  • His greenie co-host, Russell Gray
  • International Coffee Farms Founder, David Sewell

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Why invest in coffee farms?

One way to diversify your portfolio and is investing in harvest-producing land, like coffee farms.

Think about it.

When you own the LAND the coffee beans grow on, the tenants are your trees (in a manner of speaking) and the coffee farmers are your property managers.  So the coffee farmers deal with the trees.

Wouldn’t you like to invest in something many people consume every day?

Millions of people DRINK coffee every day, which means they BUY coffee regularly.

Coffee is an interesting commodity because people are only drinking MORE of it over time. It’s a booming industry.

What sets International Coffee Farms apart?

“God provides the coffee cherry. The cherry turns red on its own. It’s what you do with it from there,” said David.

David and his team at International Coffee Farms have developed a premium process for their specialty coffee. This includes everything from how it’s picked, harvested, and profiled. “The process is key,” said David, “and all our cherries are picked one by one and the trees managed individually.”

International Coffee Farms buys underperforming, commercial coffee farms. In the company’s first year and a half of operations they have acquired six coffee farms in Panama, totaling 34 hectares (85 acres) with plans to acquire another 50 hectares in 2016.

“We turn them around into specialty coffee farms in three years,” said David. “It’s takes a bit of art with the people, science with the agriculture, and capital to make it work.”

Also, David treats his workers well, paying them more than other farmers, and offering them bonuses.

“We take a 20% slice of the revenue and use it for our workers,” said David. “It’s not purely altruistic, although it does do good. We do it for efficiency and because happy farmers equal happy coffee.”

International Coffee Farms invests that money in running water, showers, better working cloths, and overall better conditions, enhancing the quality of life for the coffee farmers.

Why Panama?

Panama is a well-proven, traditional source of high-quality coffee at high altitudes. In fact, many coffee buyers come to Panama to bid on the most premium types, which can go for $15-$35 a pound.

Panama is known for having a climate perfect for coffee farming, with no temperatures or hurricanes.

Also, Panama residents include many, many coffee farming harvesters who’ve been harvesting coffee all their lives – they are the world’s experts with coffee trees.

Turn-key ownership for investors

“We take a coffee farm, make it more efficient, and create an opportunity for investors,” said David.

We’ve been encouraging investments in real assets for a long time. Those interested in creating a future with asset protection should at least consider it.

The nice thing about owning a piece of producing land with a turn-key provider is YOU don’t have to manage it, pick it, or learn the secrets.

You get to sit back and rely on the company’s expertise to harvest it.

They subdivide into half-acre parcels for those who want to own a producing well-managed coffee farm.

Where you own your acre of the farm is irrelevant. All the income and expenses are divided among the number of owners.

Invest off-shore, reap the rewards

The minute you get a piece of land in another country, you are an international investor.

International Coffee Farms has a low entry point for investors: It’s an $18,000 investment for a half-acre, and over a 20-year period the average annual ROI is 12.5%.

Protecting your assets through diversification and off-shore investments is state of mind. It can feel scary, until you educate yourself, set the goal, and give it a try!

Then again, it’s everything like that?

Investing in these coffee farms allows you a chance to cross those mental hurdles, and you’ll have a legacy investment you can own forever and leave to your family.

If you’re interested in investing in this incredible opportunity, reach out to us at coffee (at) realestateguysradio (dot com). 


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The Real Estate Guys™ radio show and podcast provides real estate investing news, education, training and resources to help real estate investors succeed.

1/11/15: Dirt to Dollars – Investing in Raw Land that Cash Flows

Best-selling author James Rickards (Currency Wars and The Death of Money) recommends land as a place to store and protect wealth from the dangers of paper currencies.

A falling dollar creates financial turmoil.  James Rickards recommends land as a safe haven.In spite of the recent blip up, the dollar has a 100 year history of going DOWN, so it probably makes sense to “sell” dollars when they’re “high” and buy real assets…like real estate…especially when those real assets are on sale.

BUT…the challenge is that land doesn’t cash flow like little green houses.  Or does it?

In the broadcast barn to explore how to get more green from your acres:

  • Your erudite host, Robert Helms
  • His not-so-glamorous co-host, Russell Gray
  • Special guest and renowned financial commentator (The Gartman Letter), Dennis Gartman
  • Special guest and agricultural land expert, Steve Bruere

The beautiful thing about real estate…one of many beautiful things…is there are SO many different ways to make money.

Real estate investors can do just about anything a paper asset investor can do, but be much more insulated from the corruption and rigging in financial markets.

Most people think of real estate investing as the house they live in…maybe a second home…or even a rental property.  More serious investors look at multi-family, commercial, retail…and maybe even industrial.

But if you think back to the very beginning of real estate ownership, the PRIMARY purpose of land was to produce food.

And last time we looked, food is still a pretty important commodity.

So while residential real estate investors…landlords…need to pay attention to jobs and wages, agricultural real estate investors (and mineral investors…like oil and gas producing properties) need to pay attention to commodities.

It isn’t really more difficult than employment and wages.  It’s just different.

And if you want your land to cash flow, you don’t need little green houses or big red hotels.  You can rent your land to farmers.Make your land cash flow by renting to a farmer

This is a subject that’s intrigued us for quite some time.  When financial markets are jittery, it can be smart to focus on “primal” investing…things that are essential to human existence.  Because even in difficult financial times, there’s always a demand for essentials…like food and shelter.

Dennis Gartman is the author of The Gartman LetterIn this episode we visit with Dennis Gartman, who’s one of the most well known and respected financial commentators.  We ask him about macro-economic factors which impact not just farmland and commodities, but residential real estate as well.

You should listen to his comments, but the short of it is he likes housing.  Cool.  So do we.

Next up is Steve Bruere.  Steve is a very experienced farmland broker from America’s heartland.Steve Bruere is a land broker with Peoples Company

We’ve been talking about agricultural investing for the last couple of years, but haven’t focused much on U.S. farmland.  Steve helps us understand some of the how and why of U.S. farmland investing.

More mouths to feed means perpetual demand for food and famrlandWhen we look at the world, we see more mouths to feed.  And while we’re not quite sure where all those mouths will want to live and work, we’re pretty sure they’ll all want to eat.

And because the fruit of the land can be shipped to where the people are, farmland investing can be a great way to get in on the action without having to rely upon the local economy.

Just think about investors with properties in the Bakken.  If oil prices stay down long term, North Dakota might not be very profitable for real estate investors.

Another nice feature is that renting to a farmer is like owning a hotel property and renting to a hotel operator…or like renting a commercial property to a business.  EXCEPT…you don’t have the tenant improvements and other expenses of maintaining a physical structure.  It’s more like a NNN lease.

So farmland investing can be a great way to store wealth in real estate long term, while generating cash flows while you wait.  And if the the local path of progress brings people to your pasture, then you can put up some buildings…or sell to a developer…and move your equity to a new market.

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The Real Estate Guys™ radio show and podcast provides real estate investing news, education, training and resources that help real estate investors succeed.

12/8/13: Perking Up Your Portfolio with Profit Producing Properties

Call us paranoid (we’ve been called worse), but all the worldwide currency and credit expansion makes us a little nervous.  Sure, we like it when asset prices rise.  But they’re supposed to go up because of fundamentals…things like supply and demand, cash flow, a strong labor market.

But right now, asset values…especially stocks…are going up like there’s no tomorrow.  That’s great if you own stocks, real estate, collectibles, etc.  But last time we looked, your tenants don’t own those things.  What they get instead is rising prices on food, energy…and now healthcare.

Meanwhile (notwithstanding minimum wage workers in Washington State), labor and wages are soft.  Hence, landlords aren’t pushing through rental increases, even when supply and demand says they should be able to.

All this to say, while you’ve been busy working your day job, as your erstwhile surrogates, we’ve been traveling the globe looking for solutions.

How can you perk up your portfolio with more profit producing properties?  After all, we want to own all the real estate we can.  And we want to borrow heavily (short the falling dollar) to do it.  But that means we need solid cash flows to control everything.  And a soft labor market and real world inflation (the CPI is a joke) makes that “challenging”.Coffee farmland investing provide high cash flows and international diversification through a renewable resource.

Then one day, sipping a cup of coffee in an exotic location, it hit us!  When if you could create cash flow from the very commodities that are going up because of all the easy money in the system?  Brilliant!

But how?

Well, because we’re us, it didn’t take long for us to find the guy with the answer.  After a little chit chat, we put a microphone in front of his face and did a short segment as part of our show from the floor of Freedom Fest last summer.

Then a funny thing happened.  Our feedback page lit up and our audience wanted more!

Always eager to please, we checked out jet set calendars and noticed we’d be in Scottsdale, Arizona where our pal Robert Kiyosaki has a very nice studio.  So we snuck in, set up shop, and called our newest answer man (who happened to be in Colombia at the time) to talk cash flow from coffee farmland.

Percolating powerful pontifications in this fresh brewed episode of The Real Estate Guys™ Radio Show:

  • Your bold (with a hint of sweetness, but no room for cream) host, Robert Helms
  • His caffeinated co-host, Russell Gray
  • Our dark roasted special guest, David Sewell

When you think about it, the term “real estate” means “the King’s property”.  That’s why they call rental property owners land lords.  The serfs just got to work the land (farming and ranching) and keep 75% of the profits.  They paid the other 25% to the King.

Hmmmm….the serfs got to keep 75%?!?  Someone should tell Uncle Sam about that system.  Ironic that in the country that pioneered the concept of private property rights for the little guy, US citizens don’t get to to keep as much of their “produce” (income) as the serfs of old.  Are we the only ones who think that’s weird?  But we digress…

The point is that basic real estate was farming.  The tenants were farmers.  The income came from the produce and was shared between the farmer and the landlord.

So David didn’t come up with this idea. He simply brought it into the 21st century and we think it’s brilliant…and timely.

But as David explains, it’s also a socially responsible endeavor.  In their model, they buy coffee farmland from a poor farmer.  They retain and retrain the farmer to improve the product and production efficiency.

Cima Coffee Farms provide investors high cash flow from coffee farmlandBy getting more yield from the land, the poor farmer is now making more money than he’s ever made.  He’s happy.

The investor (that’s you) gets really attractive double digit cash flows.  You’re happy.

And the world gets more and better coffee. We’re happy.

And aside from our coffee addiction, we’re also attracted to profits.  And we love the idea of diversifying our holdings in various countries.  Of course, owning land offshore provides some asset protection and privacy benefits.  You can even use your self-directed retirement account to tack on some tax advantages.

Plus, creating income off shore income denominated in something other than dollars has some interesting possibilities.  Just ask Google, GE or Apple.

But while all those things are great, the thing we like best is that we can create cash flows from a commodity that is in demand worldwide.

See, when we buy residential real estate (which we love…we get to use leverage and we get tax advantages), we need to be careful to pick a good local economy.  “Good” means it creates the kind of jobs that our tenants need to pay the rent.  This is important because all your rental income is derived from the local economy.  That’s why we like locations where there are industries that pull money in from outside the area.

But when you own land that produces a commodity like energy or food that can be sold ANYWHERE in the world, it’s less important where the land is.  So in some cases the land is cheap, but the commodity is popular.  That’s a recipe for high ROI.  We like it. 🙂

So grab a cup of Joe, and sit back and listen in as we consider how YOU can create cash flow from coffee farmland as part of your real asset investing strategy.

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11/3/13: Agricultural Real Estate Investing for Cash Flow, Equity Growth and Asset Protection

Whether times are good, bad, uncertain or chaotic, it always makes sense to focus on fundamentals.  And there’s nothing more fundamental than food.

In this episode, we visit with the CEO of an international investment company.  He shares the path of discovery his firm and their clients explored in the wake of the 2008 financial crisis.  The conclusions they came to and where those lead are the focus of our conversation.  We found it fascinating and think you will too!

Planted in the studio and calling in from the field for this fulfilling episode of The Real Estate Guys™ radio show:

  • Your host and cultivator of conversation, Robert Helms
  • Your co-host and fertilizer of radio frequency, Russell Gray
  • Special Guest, CEO of Liquid Investments, Anthony Archer

Even though the world is now in the “information” age, it didn’t abandon the industrial or agricultural age.  It’s more like each age stacks on top of the other to create a bigger economy.

But when things get shaky, sometimes it’s safer to get closer to the base.  This is our interpretation of Liquid Investments post-2008 investment strategy.

We know the stresses of the Great Recession compelled us to broaden our horizons and deepen our understanding of the macro-economic factors affecting real estate investors. In addition to our obsession the Fed and the bond, gold and oil market, our interest in both international real estate and farmland has been blossoming.

What makes agricultural investing so appetizing?

First of all, it’s real estate.  So for all the reasons we like real estate, we like farmland.  Except for depreciation.  You can’t depreciate dirt. But you can appreciate it, and of course, we do.

After all, farmland is real.  It serves an essential human need.  And while they aren’t making any more real estate, apparently whatever it is that makes more people remains popular, and so the world’s population is growing.  Of course, all those new people need food… no matter where they live.

Which brings us to a very important distinction between rental real estate and farmland

Discover agricultural investing in coconut farmland in BrazilRental real estate, whether it’s residential, commercial or industrial, provides a service (the tenant gets to use the building) that is LOCAL.  That’s why we do field trips and spend time studying the micro-economic factors supporting the people and businesses in any community where we’re considering investing in rental property.

But the product of farmland is a commodity (food) that can be sold ANYWHERE.  So whether you’re growing coconuts or coffee beans, just like oil, gas and gold, these food commodities can be sold and shipped to consumers worldwide….even places like China, India or Russia.  It doesn’t really matter where the people live, as long as they like to eat.  So you can invest locally, but derive income globally. Yummy.

But wait!  There’s more…

You may have heard about central banks (The Fed, the ECB, the Bank of Japan, etc.) practicing an economic rain dance called Quantitative Easing.  The stated goal of this “easing” is to inflate prices.  They allege this is desirable.  We might beg to differ, but they’re not calling us for our opinion, so it is what it is.  At last glance, the stock market seems to agree with the bankers – at least for the short term.

But along with the fruit of high stock prices come the weeds of soft employment and rising consumer prices.  For folks that have enough money to get in on the rising stock market (and enough brains to get out before the next crash, er…”correction”) can offset their lost purchasing power with more capital gains.  Good for them.

But the working class people…you know, the kind of people who live in your rental property…can’t afford to invest in the stock market, so they get squeezed between soft wages and rising prices.  There’s no wealth effect in their portfolios to compensate them for the loss of purchasing power.  This is one of the main reasons we focus on lower priced residential markets right now.

But we digress (shocker)…

The point is that while QE squeezes your tenants and puts downward pressure on residential rental income, it puts UPWARD pressure on commodity prices.  So if you’re a producer of commodities (which you are as a farmland owner), you’re hedged against inflation, and diversified against local economic disruptions.  That is if the cost of food goes up, so does your income.

Think about it.  Food, in it’s most basic form, may end up in a lot of places.  Cheese can end up in a cheap frozen pizza you grab at the market, on in a high end pasta dish prepared at a fancy restaurant.  But when you trace it back to the root (or udder, in the case of cheese), it came from the farmland.  So whether the economy is soft and more frozen pizzas are sold, or the economy is hot and more people eat out at fancy restaurants, the cheese producer gets the order.

But it gets even better….

Long time listeners to The Real Estate Guys™ radio show know that we’ve been longtime advocates of international diversification.  There’s a whole crop of good reasons including privacy, asset protection, generating offshore income in a low tax jurisdiction (the same way Google, GE and other corporations do), and our personal favorite: having a business related reason to travel.  We could go on, but you get the point.

Of course, as in all investing, there’s a lot to consider.  What country?  What crop?  How do you find opportunities?  How does it all work?

We knew you’d have more questions.  So we got our British friend Anthony Archer on the line (it’s like talking to James Bond) because he’s been researching all of this for several years.  And it isn’t just theory.  Anthony and his team have been weeding out opportunities, cultivating relationships and growing their investors’ cash flows and equity by putting these principles into practice.

So listen in and harvest the benefit of Anthony’s experience.  And to reward you for your diligence in listening through the whole episode, at the end, we tell you how to get his excellent free report on the topic.  In fact, since you’ve made it all the way to the end of this post, your reward is you can go ahead and click here to get the report now.    Good job!  But remember to listen to the show too!

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7/28/13: From the Floor at Freedom Fest – Coffee, Coins and Capital Controls

The real estate we love to invest in floats in an economic sea teeming with other financial and political life forms.  And each of these denizens of the dollar (after all, the greenback is the world’s reserve currency…at least for now), have an impact on the overall financial ecology.  There are symbiotic relationships, predators and prey, natural and man-made disaster (can you say “derivatives”?), and a host of other factors which affect where we find opportunities and how we manage them.

That’s why we like to attend Freedom Fest each year.  It’s like an ancient watering hole (to switch metaphors) where all kinds of different creatures gather to refresh themselves.

This year was no different.  We arrived with our microphones, set up shop, and started talking to a variety of extremely interesting people.

In the past, we would go for the “big game” and proudly bring back to our tribe (that’s you) interviews with folks like Steve Forbes, Herman Cain and Peter Schiff.  We still like all those guys (Peter’s returning as a faculty member for our 2014 Investor Summit at Sea™), but since Forbes, Cain and Schiff are all on TV and radio all the time, we want to bring some thoughts from people you might not otherwise every hear from.

So, behind the microphones, wearing our real estate wetsuits and diving into the deep sea of discussion at Freedom Fest:

  • Your intrepid hunter of interesting ideas, Robert Helms
  • His gatherer of great guests, Russell Gray
  • International agricultural real estate investing expert, Wayne Kurtz
  • Coffee farmland investing executive, David Sewell
  • Rare coin and precious metals dealer, Van Simmons
  • Economic collapse prepper, Max Wright
  • Freedom Fest founder, economist and author, Mark Skousen

As you can see, we have a pretty full dance card for this episode.  Freedom Fest really is a smorgasbord of ideas. And the first one that whet our appetite is the notion of offshore agricultural investing.

Our first guest is Wayne Kurtz, who is the Chief Commercial Office for Liquid Investments.  We first met the Liquid Investments gang at last year’s New Orleans Investment Conference.  Back then, we were intrigued by their whole program, so we were excited to see them at Freedom Fest and grabbed Wayne for a quick chat.

Liquid Investments offers investors the opportunity for cash flow and long term equity growth through coconut farmland in Brazil.  Really.

But if you think about it, it makes sense.  After all, many Americans and Brits are looking to get their money off-shore.  And while the U.S. is chasing down foreign bank accounts, it’s still relatively private to own real estate offshore.  Even better, it’s nearly impossible to confiscate.  But even if you’re not paranoid about an over-reaching government, the investment still has attractive merits.

Coconuts, like oil, corn, copper and coffee, are a commodity.  And coconuts are surprisingly useful and growing in demand.  So like an oil well, you can turn a coconut farm into a cash flowing machine.  Of course, it all happens on real estate, which is a tangible asset and can be a great hedge against inflation.  Unless you’ve been asleep, you’ve probably noticed that every major country is printing money at a record pace, so a hedge against inflation is probably a good idea.

So we get the quick overview, and invited Liquid Investments to come back on the show to go into more detail. Stay tuned!

Keeping with our theme of agricultural real estate, next on deck is David Sewell.  David is the VP of Investments for Terra Cafetera in Colombia.  Once again, we’re offshore (unless you happen to be from Colombia), and we’re talking farmland.  Except this time, the crop is coffee.  We probably don’t have to tell you how popular coffee is.  Or how unlikely it is that people will ever stop drinking it.  Or that Colombia is renowned for producing some of the best coffee on earth.

So David gives us an overview of what he and his company are doing.  Good stuff…kept us awake. 😉

Next we switch from coffee to coins as we welcome Van Simmons to the microphone.  Van is a numismatic coin dealer.  Mark Skousen says when it comes to this topic, Van is the Man.  That’s good enough for us, so we pried him away from his impressive display of collectible coins and sat down to talk.

What do coins and precious metals have to do with real estate investing?

Directly?  Nothing.  But as we noted at the top of this post, all these various financial vehicles either affect each other or are indicators of potential market changes.  Besides, “real estate” is really just a preface to the core function of being an investor.  So we’re always interested in all kinds of investments.  Yes, it’s true.  We’re investors first, and real estate guys second (don’t tell our producer).

It used to be that the U.S. dollar was “as good as gold”.  In fact, before August 1971, Federal Reserve Notes (those green pieces of paper with pictures of dead presidents) were redeemable in gold.  But after the U.S. went on a giant spending binge in the ’60s, Uncle Sam started hemorrhaging gold, so President Nixon slammed the door to Fort Knox.  It’s took awhile, but after an orgy of money printing at the turn of this century, investors began stocking up on gold as way to hedge against a falling dollar.  You probably know gold was THE investment of the 00’s.

But lately, gold (and silver) have fallen on hard times.  Does that mean the dollar is back?  Maybe.  If it is, then interest rates will likely rise. Now THAT matters to real estate investors.  So while we watch bonds to see how the market feels about the dollar, gold helps us understand how the market feels about currencies (of which the dollar is only one).

(If your head is already spinning, just take a deep breath and make plans to join us on the 2014 Investor Summit at Sea™, where we’ll be talking Schiff with our friend Peter…you’ll catch on fast).

Of course, numismatic coins and bullion are two different animals.  Going into the interview, we weren’t necessarily fans of collectible coins.  It seems like when times get tough, premiums for rare coins would fall, right?

But then when you muse on it a little longer, you realize that (to quote our friend Robert Kiyosaki), “the poor are getting poorer, the middle class is getting wiped out, and the rich are getting richer.”  That’s the impact of inflation.  While consumers’ purchasing power is being eroded by incessantly rising prices (albeit slowly right now, thanks to a very weak labor market), anyone with means is buying investments which hedge or even benefit from inflation.  The uber-rich are playing arbitrage (borrowing cheap and investing for a profit) and buying tangible assets.  And while commodities markets are very volatile (some say manipulated), collectibles are more stable.

Interesting stuff.  As soon as we’re super rich, we’re buying rare coins and fine art.  But in the meantime, it still might be fun to put a coin or two in the portfolio to see what happens.

Our next guest is even MORE interesting…

Max Wright represents an organization called the Success Council.  The short story is they belief the greatest wealth transfer in history in underway right now, and they want to help people be on the right side of it.  Of course, they aren’t the only ones who think this is happening.  But sounding the alarm is one thing, guiding people to safety is another.

Our visit was far too short to draw any conclusions about their theories and practices, but there’s enough credible people proclaiming the same thing that we’re always interested in getting another perspective.  Long time listeners of The Real Estate Guys™ radio show know that since the mortgage meltdown, we’ve sought out a litany of opinions on the topic.  And as the markets continue to gyrate and convulse, you can be sure we’ll continue to bring you a diverse range of viewpoints.

Because when the foundations of the economy are fundamentally changing, it’s important for diligent investors to test their paradigms and make sure they aren’t snoozing when a big economic shift happens.

Last, but not least, we visit with Freedom Fest’s founder and a 2013 Summiteer, Mark Skousen.  He shares with us that this year’s 7th annual Freedom Fest is their best ever -with record attendance and national television exposure.  So while not everyone agrees on policies or priorities, everyone wants to be enjoy more freedom and prosperity – and that’s what Freedom Fest is all about.

So tune in to this edition of The Real Estate Guys™ radio show recorded at Freedom Fest 2013.  Enjoy!

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