DiversyFund’s unique new $50 Million Regulation A Growth REIT offering provides small investors with a portfolio diversifying option focused on commercial real estate that was formerly only available to the very wealthy.
DiversyFund’s Regulation A Growth REIT offering. “REIT” is a common financial industry acronym for Real Estate Investment Trust.— Diversification of an investment portfolio by owning high-quality commercial real estate has many advantages that have long been known to the wealthiest “one percent.” In the recent past, government regulations required that investors in the most lucrative types of real estate investments be “accredited investors.” “Accredited investors” have to be certified as having a certain net worth or meeting an income requirement, and these rules kept the average investor from accessing these same investments. DiversyFund founder Craig Cecilio’s mission was to level that playing field. That mission was recently accomplished when the Securities Exchange Commission (SEC) qualified
DiversyFund’s ability to make this innovative offering available to small investors was due in part to a change in the SEC’s reporting requirements under “Regulation A.” Regulation A allows companies to offer and sell securities to the public, but with more limited disclosure requirements than what you would otherwise expect from publicly reporting companies. In comparison to registered offerings, smaller companies in earlier stages of development may be able to use this rule to raise money more cost-effectively. Those cost savings mean that it takes less time and money to get an investment vehicle up and running and these cost savings are passed on to investors.
Traditional investments in stocks (and mutual funds that own baskets of stocks) tend to have price movements that are linked to the overall stock market. In a bull market, it is often said that “high tides lift all ships,” meaning that the price of nearly everything goes up in tandem. In volatile times such as these, many investors have become painfully aware that the converse is true: when overall market trends are moving downward, even the stocks of the world’s greatest companies tend to lose market value. Real estate trusts that focus on cash flows from commercial real estate are a way to invest in securities that are not closely linked to market volatility. It is no wonder that DiversyFund’s co-founders, Craig Cecilio, and Alan Lewis, see pent up demand from non-accredited investors wanting to put money to work in this space.
With a low minimum investment of only $2,500, DiversyFund provides a unique opportunity for small investors to deploy modest amounts of capital in a lucrative sector of the economy that can also provide some welcome stability to portfolio returns during market downturns and periods of heightened volatility. The fund is appropriate for long term investors who want to build wealth through real estate over a period of approximately five years.
Readers interested in learning more about DiversyFund can visit their website: https://diversyfund.com
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