Stock Vs Real Estate

[71tr]

This subject is debated on the forum every couple of months.  Naturally on a RE forum you might expect a heavy tilt toward RE investment, but if you ignore stocks and other asset classes then you are missing out on opportunity.  Reading this thread you can see some on the forum think of diversification as nothing more than a fancy word used to hide our ignorance or a strategy where you purchase many stocks in the hope that some will go up.  These are naive comments, proper diversification across asset classes by definition will reduce overall risk and improve total portfolio return. 

[Bluemoon06]

reduce overall risk

What risk?

[tatertot]

 [[[......have a friend who bought 50,000 shares of UPL (Ultra Petroleum) in 1998 at 46 cents and today it is worth more than $3.5 million.....]]]]

And I have 3 friends who lost every penny they put into the stock market, totaling a loss of several million dollars (over 7 million, at least).

Are you and I making a point of some sort here? I didn't think so.

Hey, I bought a property for $9,000 that is today worth $6.5 million. Is that solid evidence that anybody can make millions in real estate? No, it is not.

Some people make money in the srock market, some people lose. Some people make money with real estate, some people lose.

I hope you are not trying to make the claim that anybody and everybody can make millions in the stock market, because that would be an untruth.

I am jumping to the conclusion that you are some sort of stock broker, trying to drum up some business for yourself.