The Secret to Differentiating an RIA Firm? Commercial Real Estate Syndications
Updated: Nov 18, 2019
What makes an investment advisor stand out?
Advisory firms throughout the United States are finding it harder and harder to answer the question. Today’s registered investment advisors (RIAs) face mounting pressure from all sides. There are the Securities and Exchange Commission rules that substantially restrict marketing efforts. There’s the pattern of mergers and acquisitions sweeping through the industry. There’s the volatility of the stock market and other correlated assets (for more, read our post on Correlated vs. Non-Correlated Assets).
On top of it all, RIAs must continue to follow their fiduciary duty—at a time when clients expect more from their advisors than ever before. Highly educated and empowered to self-manage their investments, clients are looking beyond the baseline of objective, strategic asset allocation. They want more than a handful of opportunities to diversify. They want their advisors to connect them with the kinds of alternative assets that offer a personal sense of ownership and prestige in a community. In other words, they want to invest in commercial real estate.
Several pioneering RIA's are demonstrating how technology and access to greater deal flow has finally made client-centric direct commercial real estate investments possible. Several wealth management firms are now part of a new breed of financial advisors using real estate syndications to invest in commercial real estate deals on behalf of the high-net worth individuals they advise, which fill an important alternative investment category for their clients.
Investment advisors who want to stand out from their competition and offer alternative investments to their clients should consider looking for a real estate syndicator who has a client centric platform, with a diversified offering of deals, uncorrelated to traditional stocks and bonds.
ABOUT MCKENNA CAPITAL
McKenna Capital is a Real Estate Private Equity firm that provides investors opportunties to passively invest in institutional-quality, recession-resistant, real estate. Our direct access allows investors to invest alongside experienced operating partners who have a proven track record of delivering attractive risk-adjusted returns.
Our goal is to help investors build long-term wealth and passive income streams through a diversified offering of value-add multifamily, self-storage and manufactured home park investments located in growing markets across the U.S.
The deals we fund provide opportunities for investors to preserve capital investments, collect consistent cash distributions, and build equity through future capital appreciation of the assets.