Benefits of Working With Investment Managers
Melissa Hosgood, MBA
Chief Investment Officer, Labassa Captial | Real Estate Investment Management
Investment managers bring to the table compelling investment opportunities, along with expertise on making well researched investment decisions, managing financial assets and strategies to achieve a set financial goal for investors.
In this article we explore the key benefits and the reasons for investors to consider working with a professional investment management company.
Professional Analysis and Risk Management
Professional Investment management companies like Labassa Capital analyse every investment in detail backed by extensive years of industry experience and knowledge within the sector.
Identifying and managing risks is key to any investment. Investment managers can recognise the crucial factors, structure the transactions around managing risks, and actively track these factors throughout the investment period. In the rare case of non-performing assets, the investment management companies have the capacity to conduct an active workout to protect the capital and to realise the investment returns.
Access to Deal Flow
Quantity leads to quality – accessing deal flow is essential to real estate investing. Investment managers are active deal makers in the market. Labassa reviews over 200 potential investment deals per year and this number is increasing each year. We work hard to originate and filter these opportunities through our due diligence process to narrow down to the few deals to invest in. This energetic broad selection process leaves us with a high calibre of the best opportunities for our investors and maximises our chances of success.
Portfolio Diversification
Portfolio diversification is a risk management strategy that mixes a variety of investments and thus limits an investor’s exposure to any one investment. From asset class diversification perspective, private real estate has gained increased popularity amongst investors for its low correlation with stocks and bonds. Within the real estate asset class, investment managers like Labassa provide investors further diversification through pooled mortgages and a variety of standalone investment opportunities to achieve mixed coverage of geography, loan types, sectors, and return & risk profiles.
Asset Management Automation
Professional Investment management companies have the qualification, governance, systems, and processes to handle volume, operate with efficiency and generate consistent quality outcomes. At Labassa, we actively review and refine our internal processes to ensure that we follow a systematic and evolving investment process and portfolio management approach to achieve consistent and compelling value proposition for our investors.
Labassa Capital is an investment manager and principal investor focused on debt and equity investment in Australian private real estate. We are a team of professionals with extensive experience in real estate and capital transactions with presence in Sydney, Melbourne, and Brisbane. At all times, we seek to deliver compelling relative returns for our investors. For more information about investing with Labassa, please contact our team: [email protected]; +61 2 9061 6600; www.labassa.com