A New Asset Class? What’s the Old Asset Class?

What’s the old asset class?  Asset classes are categories given to similar investment types.  The SEC recognizes stocks (equities), bonds and certificates of deposit (fixed income debt) and cash as the three primary asset categories. There are also other asset classes that are common such as real estate and commodities.  Equities, because of the high risk and high gain potential, are considered an essential part of any portfolio when working towards a long term financial goal.

A few key points regarding equities:

  • Stock identified as growth is usually more expensive in relationship to current earnings but recognized as having great potential upside (this company is going places)
  • Value stock is lower priced in comparison but has a lower risk factor and a high dividend yield (this company is going to be around for awhile and is going to pay out steadily)

Because of the fluctuations in the market and risk factors (volatility) all financial planners, experts and economists recognize the importance of a diverse approach to investing…hence the mantra you must have a diverse investment portfolio to maximize capital appreciation.

Market capitalization and asset allocation

Market capitalization is the total value of a company’s tradable stock when we are talking about traditional models and equities.  Scroll through the latest numbers of the NYSE and you will see the Morningstar box which is a graphic representation of whether a company’s market cap is considered small, medium or large and if it is considered growth, value or a blend.  It should probably be noted that within the old asset classes, a micro-cap (a very small company) is less than $300 million…yes that’s a tiny company according to the old asset classes.

Which brings us to asset allocation.  Asset allocation comes down to how you are going to stir up your asset classes within your investment portfolio or choices.  There is no investment without risk, period.  But experts like to preach variety for good reason, whenever one market spikes, chances are there is a downturn in another.  By spreading that money around you are protecting yourself.  Need a refresher on what not to do when investing?

But over the past decade we have seen variable market changes across the board that have resulted in a great deal of upset on Wall Street.  Inflation, crashing housing markets, stocks taking a dive–all of these factors have shaken up the way investors approach managing their money because during that 2007 plunge, people lost money.  A lot of money.  Even with improving economic conditions, today’s investor needs to strike a balance between security and capital appreciation.  And to do this it is time to take a fresh and innovative approach to cash flow.

Cloud is bringing a new asset class to the market

There hasn’t been a new asset class in how many years on Wall Street?  Exciting. With the old asset classes we invest in equities to own a piece of a company.  We may diversify by investing in real estate to own physical property.


The beautiful thing about investing with Cloud Income Properties, is that you are investing in both a company (you are buying a revenue generating website – a business), you are investing in virtual real estate (you own the location) and you have the option to work with a management team that has an unprecedented collective experience in one of the fastest growing markets in the world.  You are diversifying in one transaction.  Cloud Income Properties provide both new and experienced investors with an incredible opportunity to earn cash flow and gain capital appreciation at the nexus of innovation.

The new asset class offers:

  • Unlimited growth potential in revenue generating website opportunities
  • Investment possibilities for diverse investors with lower to high purchasing power
  • Participation in a market with 800 million properties (web sites) with an additional 50 million per year growth rate
  • Investments in a market with lower risk of fall out in comparison to old asset classes due to a virtual, global presence
  • An opportunity to invest in both growth and value simultaneously
  • The choice of managing your properties on your own or hiring a team of experts that are at the head of the forefront in their fields
  • Accessibility – real financial growth for real people

Watch these videos now to learn more about it: Http://joincip.com  Or  Http://joincip.com/webinar


Vice President of Marketing & Acquisitions at Cloud Income Properties. Terrible golfer ;)

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