Thanks, Jim, for starting this thread and putting together the google spreadsheet. You put my own to shame. Note I’m a US investor.
I appreciate Kevin’s comments, and definitely understand you are putting together a framework to think about comparisons of funds and assets. I was somewhat surprised that investor-type friends made property investments, but I see the attraction in their simplicity. I’m a little more focused on fees and administrative hassle, so I prefer the fund route. A few thoughts on the Portugese funds I’ve looked at, in addition to others on this thread.
The Portugese “Venture” equity funds look more like US growth equity investments. Speaking from a US background, growth funds tend to be less cyclical in their returns than true venture capital and are less reliant on finding the small number of superstar fund managers. Net, this makes me a bit more comfortable with the Portugese venture equity funds.
I haven’t fully digested the PFIC implications for US investors, but it seems that there are taxes on unrealized capital gains even in the preferred QEF election. Net, I look at this and think I don’t prefer capital gains. Pela Terra stands out to me in terms of its structure for tax efficiency for US investors, because it limits the capital gain to investors to 2% per year. Dividends would cover that tax. Farmland’s risks are also pretty much uncorrelated to the investment assets most of us hold.
Of the funds I’ve been in touch with, I’ll also say I was favorably impressed with the IBERIS Greytech II, but the minimum is high.
I have just started talking with EQTY, which looks like it may be an interesting diversified option, so maybe a single option to satisfy the investment requirement. Generally, I feel like I’ll get better attention if I invest the full 350 in a single fund. I appreciate that I will be getting into the real estate investments at cost basis with the Fund II they just opened. Several of the other available real estate funds would have a new investor buy in at their pre-existing marked up investments; having experience with marks like that, I don’t really trust their assessment of fair value.
As far as the IMGA Acoes Portugal Option goes, I love the idea of a liquid asset if the Portugese Golden Visa ceases to be an attractive route to citizenship, etc… The transparency is also comforting and the companies are legitimate and larger, thus less less likely to zero in the next seven years. I have not yet figured out if this fund would be eligible for a QEF election, so the taxation could be quite high. Still, the liquidity, transparency, and larger companies might be worth it.
My two cents and thanks to everyone on this thread.