Throughout our history, we have been able to earn attractive income-based returns for our clients ranging from the conventional (i.e. corporate bonds) to the hard to access (i.e. mezzanine debt on a privately-owned self-storage business).
We are not alone in the pursuit of income. Investors throughout the world have been seeking yield in an era of low economic growth and mediocre equity returns. As a result, money has flooded into every popular idea and driven up the prices and, regretfully, driven down yields.
Specifically, a lot of money has flowed into Canada’s real estate market – a sector that has been a reliable source of income for us and other investors. Much of the interest has come from overseas. Foreign investors have liked our real estate, our economy, our currency and our stable political environment. This inflow of capital has pushed up prices to the point that we now think there are more significant risk/reward opportunities elsewhere. [read more >>]