It is July, the dry season in Bali. 

Why are you smiling?

Same as with the unpredictability of weather, we have to allow for unexpected fluctuations in our life, health, the fortunes or mishaps amongst family members or friends – and last but not least the changes in the value of our assets. 

And same as almost everyone else, who is frequently on the internet, you may have received oodles of advice regarding how to protect your assets, create more wealth and also on occasions advice about what not to do with your money.

The investment advisors, who are usually well educated in their field and keenly observe daily market trends, cannot really be blamed for saying one day : ‘turn right” and a few weeks later: ‘turning right would be a terrible mistake’.

(Sorry, totally unconnected, -but this just reminds me of one of my favorite sayings: 

“If nothing goes right, go left”)

If you want to see a classical example of a confusing array of contrasting advice given by people, who should know, do what I just finished five minutes ago –

I went over the headlines of reports from one of the most famous free investment journals on the net, named  “Wealth Daily”. 

They claim their reports are read by about 6000 Wall Street professionals.

Therefore we can safely assume that each article has a professional substance,  at least on the day it was written.  Some weeks, often even only a few days after, another expert lays out, why all is now completely different. Oooops!

To get a taste of what I am talking about, - check out : https://www.wealthdaily.com/archives

If you think about it, it is obvious, that free reports, which are often based on serious research and written by people who drive expensive cars, have to be paid for by someone. If not by you, the reader, who else pays?

Well, to make all look more independent, the Company mixes some neutral research stories into their daily messages, but mostly advise on particular investments, such as  “Rush in, quick buy this cannabis stock”,  or “why selling Tesla now would be unwise…” etc.  

Surely, if we would own a publicly listed Company, we may also think about how to boost shares into our project and would consider an advisory service writing about our surefire benefits – against a fee.

In strong contrast to those frequently changing messages is a market you seem to be interested in:  - Property -.  

A market, which has only minor short-term changes in value and almost 100% guaranteed a long term upward trend.

This morning, when I entered the office one of our very first clients came out of the door. A nice French lady, Ms B. who bought in 2004 a block of land in Tegallalang. She and her husband built their home there.  Today, however, they spend much time with their kids in the French speaking part of Canada and France itself. 

“It is time to sell”, she said.  She came in and asked for advice about today’s property value and to my surprise said:  “We really do not care about the last few dollars or Rupiah we get. We made so much money anyway, it doesn’t really matter.”

Wow!    Not only did she add:  “the coffin does not have a luggage rack, and for us it matters most to focus on a fulfilled life”, but she also said their idea is now to lease some land closer to Ubud, build and rent out to receive some sort of pension payment to support future travel plans.  She came in to ask about our villa management fees.

She had no thoughts about possible fluctuations in property value or demand.   And why should she?   On a popular Island such as Bali, there will be development continuing, like it or not.

You and I, even including all staff in our Real Estate Company, could decide not to promote Bali any more, but would not be able to stop any of it.  Land on an island cannot be multiplied.

Within 10 years there will be 9, even 11 milliard humans, all aiming for a better life.   Unless interstellar travel becomes available, land ownership or –usage rights will increase in value. No if’s or but’s.

Therefore read and enjoy investment advisor’s exciting announcements, but stay on the floor. There are no drastic up’s and downs in land value, which can shake and upset your investment portfolio.

Build up your property asset with confidence, get the right advice, relax and enjoy.

BTW.  Don’t make the mistake I did:  When building  my home I knew, that a moisture barrier between the hygroscopic volcanic rock, which is used for foundations and the house walls on top is essential.   I instructed the builders to put a layer of special water resistant concrete in between.  Then I went back to Australia for some business.  Coming back the walls were up and I saw the layer of concrete.  ‘Good, all good’.

Only now, when looking at the paint peeling off near the floor, I know that they either saved on the water proofing additive or did not put it in altogether.  Grrrr…

Other than this it is hard to loose value with a well-chosen property. 

Finally, just to admit to you, that I am far from being the smartest business person around - some month ago I put a bit of “test-money” into crypto currencies. 

What a delight!  How clever to follow the market trend!

Within three weeks I made 30% plus. Enough to pay for a week’s holiday on the Gili’s, including fine food and a glass of plonk to go with.

However, right today I am back at my buying price and should consider myself even lucky, says an expert on further outlooks.

You see what I wanted to pass on this time?

Happy to meet you again in a month or so.  Same place, same spirit. 

Cheers, - Ramon