Private investments may allow investors an opportunity to enjoy stable performance, due to the fact that they are less correlated with the public markets. In fact, Skyline Wealth’s private investment products have each seen historically stable performance since their inception—even amid a global pandemic.
However, it’s important to do your own due diligence and research, and to ask the right questions to your investment advisor, to ensure the investment is the right fit for your portfolio.
Questions to ask when considering a private investment
- What is the management team’s track record?
- What is management’s experience and industry reputation?
- What is the historical performance of the investment?
- Can you see the investment’s reporting documents at any time?
- Is there an online repository of the investment’s reporting (annual reports, quarterly financials, etc.)? If not, can reporting be made available upon request?
- Is management available to answer your questions about the investment’s financials and taxation?
- What are the fees, if any, associated with your investment?
- Are there any transaction fees?
- If there are management fees (such as asset management, wealth management, etc.), are they reasonable and proactively disclosed?
- Is the investment’s redemption policy reasonable?
- Many private investments have a mandatory hold period before you are eligible to redeem. Is the hold period reasonable?
- Is there a redemption fee, and/or a penalty for early redemption?
- Does the investment’s business model align with my investment goals?
- Is the business model, corporate structure, and investment asset type(s) straightforward and easy to understand?
- If ESG (environmental, social, governance) investing, or sustainable investing, is important to you, are the investment and corporate management behind it aligned with your values?
It is also important to consider the transparency and accessibility of the investment’s management and advisory team. Do they answer your questions in a straightforward manner? Do they ask questions about your investment goals, and work with you to assess whether the investment is the right choice for your portfolio?
A good management team will welcome questions from prospective investors and take every opportunity to educate them regarding the investment’s structure and strategy.
Skyline Wealth: ready to answer your private investment questions
At Skyline Wealth, we pride ourselves on engaging, educating, and empowering our clients. We are eager to get to know our clients and ensure that our investment product offering is suitable for them—not just at the time of initial investment, but throughout their life milestones and investment journey.
Skyline Wealth offers four private investment products:
- Skyline Apartment REIT – professionally-managed multi-residential properties in secondary and tertiary Canadian markets
- Skyline Commercial REIT – professionally-managed light industrial properties along major Canadian transportation corridors, with a focus on logistics and warehousing
- Skyline Retail REIT – professionally-managed retail properties in secondary and tertiary Canadian markets, with a focus on ‘everyday essential’ brands
- Skyline Clean Energy Fund, a portfolio of professionally-maintained clean energy producing assets across Ontario.
With our experience and insight, we’d be happy to discuss with you how our private investment products may be a suitable fit for your investment portfolio. Get in touch with us any time.