For years, individuals have been limited to investing in public stocks and bonds.
Now, for the first time ever, you can invest like a billion-dollar institution
by diversifying into private market real estate investments.
Institutional investors have consistently outperformed public markets over the last 20 years by investing in alternative assets like private market real estate. Fundrise democratizes access to this once-unattainable asset class, making it possible for anyone to become a real estate investor regardless of income or net worth.
|Public market When you invest in the stock market, you or your investment advisor buys shares in an auction environment where prices are heavily bid up. vs||Private market When you invest with Fundrise, you’re investing in private real estate that we purchase through a negotiated sale to keep prices low.|
|Investment Horizon Daily liquidity||Investment Horizon 3 – 7 years|
|Trailing 20 yr. annual return 8.2%||Trailing 20 yr. annual return 12.3%|
Auction liquidity costs you 33% of your return –
whether or not you use it.
We follow a value investing strategy of buying investments for less than what we believe is their replacement cost, then improving the real estate through hands-on management and partnership with local operators. Our team draws on over 75 years and $7.5 billion of combined experience to pursue the best results for our investors.
Pictured: Elysium 14, a Fundrise asset in Washington, DC
Every Fundrise portfolio is made up of our proprietary eDirect™ investments –
think of them as online-only, low-cost ETFs for real estate. Each eDirect
investment acquires and manages many individual real estate properties,
which means you get broad diversification with the click of a button.
According to numerous sources listed below, a one standard deviation increase in private equity holdings, such as those available on Fundrise, is associated with approximately 4.1% greater returns per year.
Dyck, A. and Pomorski, L. “Investor Scale and Performance in Private Equity Investments.” Oxford Review of Finance 2016, 20 July 2015, pp. 1081-1106; Fundrise White Paper, “Why Private Markets Outperform Traditional Publicly-Traded Stocks & Bonds,” May 16, 2017; Cambridge Associates’ 2016 Q1 US Private Equity Index; and Wall Street Journal, “Calpers Is Sick of Paying Too Much for Private Equity,” April 16, 2017
“The Old Way” is the annualized dividend yield of the Vanguard REIT ETF, which is 3.91% as reported by vanguard.com on May 26, 2017. “The Fundrise Way” is the weighted average of the Q3 2017 daily distributions of each of the eDirect investments in the Fundrise “Supplemental Income” portfolio.