Some time ago we looked at some basic investment concepts on this blog and how we could get started, specifically here. After all this time, I have new ideas I want to share with you.

The Macroeconomic Context

The theory that governments weren’t going to stop getting into debt turned out to be correct. It’s worked well for me betting with that in mind: “numbers go up”. But one is curious and always investigating alternatives.

The Housing Crisis

The housing problem is relatively universal in the West, even more so in Spain.

This is a problem I think will continue to worsen for several years:

  • Housing is lacking and not being built
  • Bureaucracy is not agile
  • Urban population continues to grow

Inflation Will Continue

On the other hand, inflation will continue, at least 2%. If there’s any kind of crisis, as we already saw with the pandemic or the 2008 financial crisis, Europe will apply the “whatever it takes” approach and kick the can down the road until there’s no road left… Or even without a road.

Furthermore, things are somewhat more complicated for young people:

I’m leaving at your disposal several charts from @jongonzlz to start understanding with data how the situation really is.

Investment Options

Basic Protection Against Inflation

If you simply want to “somewhat protect yourselves” with very low risk, just as I was writing this, Rallo published: How can we protect our savings from inflation?

When I say “somewhat protect yourselves,” I mean that the returns mentioned in the video are gross - you have to pay taxes.

Higher Return and Higher Risk Alternatives

The following list contains curious alternatives I’ve been finding, with good returns and relatively safe according to my research. Everyone should do their own: DYOR (Do Your Own Research), as they say.

⚠️ Disclaimer: This is not investment advice!

Real Estate Crowdfunding

Returning to the housing topic, several companies dedicated to real estate crowdlending/crowdfunding have emerged. It seems banks aren’t providing financing to developers, and they’ve sought to obtain it through these types of platforms.

And surely there are more.

Other Real Estate Options

  • Invernomics – In addition to offering properties designed for rental, they have personal shopper services. For some time now, they occasionally offer opportunities to participate in crowdlendings.
  • Habitación – Another way to invest in real estate without having to buy an entire apartment is to buy a room. It offers returns of 6-7% net.

My Opinion on Investing in Real Estate

The more people invest in real estate, the more real estate there will be, and that’s what’s needed. If there are more people who want to live in a city, more housing is needed in that city.

Reducing legal certainty disincentivizes investment in housing and, therefore, reduces the number of available homes.

Collateralized Loans

Firefish – We can provide loans in € collateralized at 200% by BTC, with a return around 8%.

If BTC drops approximately 40%, they liquidate whoever requested the loan, unless they add more funds to maintain the collateral value.

Bitcoin Mining

Everminer – We can buy terahashes from BTC miners that will give us a return.

There are more platforms of this type, but this is the only one that allows exiting the investment easily.

Private Equity

This type of investment typically yields returns of 15-20% and was limited to people with large estates, as the minimum ticket can be between €50,000 or even several million euros. Now, platforms are starting to emerge that significantly lower the initial capital required to enter, with the platform acting as an intermediary. I’ll dedicate a separate post to this later, as this type of investment can be somewhat more complex, and whenever we invest, we need to understand what we’re getting into.

Remember: always do your own research and never invest more than you’re willing to lose.