At the end of each year, the senior team at Brennan Investment Group gathers to look forward to the upcoming year. This year, we spent a weekend with our spouses at the Waldorf Astoria in Chicago. I gathered with the other senior managers in a hotel conference room where we discussed the economy and our strategic initiatives for the upcoming year. I heard some interesting thoughts, which can be summarized as follows: There will be a bull market in everything this year, with everything being expensive and returns running low.
Here’s a recap of our two-hour meeting and market update from Mike Brennan, one the smartest guys in the business I know.
- Money, money everywhere. There’s a liquidity gut. There are few “value” investment deals on the market, which makes finding a good deal challenging. The population is ageing, which translates into more people wanting to put money into the real estate market as they are set to retire. Corporate balance sheets have a lot of cash and few alternatives for the kind of returns we used to take for granted. Companies have a lot of money sitting on the sidelines. Add in the banking industry is in grade shape.
In short: There is a lot of money on the sidelines available for investment into alternatives like industrial real estate – values should stay high for 2019 (barring a black swan event.)
Read more here: http://cardinal-partners.com/blog/2019/01/2019-will-be-a-bull-market/