04/16/2026
From Jeremy Russell:
Client forwarded me a pitch last week: Private REIT offering 8.2% current yield. "This seems too good to pass up."
We passed.
Not because it's a scam. We passed because of what it would mean for their specific situation.
$200K proposed investment. Client is 68, retired, $2.1M portfolio. Withdrawing $72K/year.
The pitch emphasized 8.2% yield and monthly distributions. What it didn't emphasize: 5-7 year lockup (they might need liquidity for health issues), distributions aren't guaranteed, and they already own an office building—more real estate doesn't diversify anything.
The real question wasn't "is 8.2% good?" It was "what problem are we solving?"
They don't need more income. They DO need liquidity. Dad's health is declining.
So we moved $200K into intermediate-term municipal bonds yielding 3.8% tax-free. Less exciting. Fully liquid. Actually solved the problem they have.
Good financial advice often sounds boring. That's usually the point.
