Tesla boss Elon Musk: Physical assets pay off even when inflation is high

• Elon Musk recommends these investments
• These investments are made by Elon Musk
• Crowd investing

In a tweet last week, Tesla CEO Elon Musk advised his followers to buy real assets. In addition to his investments in Bitcoin, Ethereum and Dogecoin, which he would not sell, he mainly relies on physical assets in the current inflation.

As a general principle, for those looking for advice from this thread, it is generally better to own physical things like a home or stock in companies you think make good products, than dollars when inflation is high.

I still own & won’t sell my Bitcoin, Ethereum or Doge fwiw.

– Elon Musk (@elonmusk) March 14, 2022

While the prices of the aforementioned cryptocurrencies rose after the post, the second part of the statement seems far more interesting: Musk prefers to own real estate or stocks in companies that make good products.
This is somewhat surprising, because Musk owns a number of shares in the companies SpaceX, The Boring Company, SolarCity and Neuralink, but only Tesla is listed on the stock exchange. However, Musk is not “only” an investor in the companies mentioned above, but the largest shareholder, (co-)founder, holds the top position or all at the same time. Nothing is known about Musk’s other shareholdings. Musk had sold his numerous properties in recent years to invest the proceeds in SpaceX, he wanted to rent himself.

So it’s not that easy to invest your money like Elon Musk, but it’s easier to follow his advice. Tesla shares, Bitcoin, Ethereum, Dogecoin are ways to directly follow the billionaire’s recommendations – or real estate. If you want to invest your money in real estate, you can buy condominiums, single and multi-family houses or land. However, there is also the possibility to invest in real estate funds or on crowd investing platforms.

crowd investing

Compared to crowdfunding, crowd investing is not only intended to realize companies (start-ups), (construction) projects or acquire land/real estate, but also to generate a profit with the investment. Private investors can participate in the financing of construction projects or environmental projects (renewable energies), for example, on various online platforms. You can invest with many providers from a sum of 50 euros.
The maturities are usually relatively short at one and a half to two years, the yields are relatively high at 4 to 6 percent, the administration costs are negligible or zero. However, the risks are generally rated as high: deposits are not protected by deposit insurance, and small investors bear the full risk in the event of delays and even insolvencies.

Editor: finanzen.net

This text is for informational purposes only and does not constitute an investment recommendation. finanzen.net GmbH excludes any claims for recourse.

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