Best Asset Class

Which is the Best Asset Class? The world is full of Assets such as Stocks, Bonds, Gold, Real Estate, Art, Businesses, Mutual Funds, Internet Businesses, Wines, Antiques, Rare items, old paintings and many more Assets. But Which is the Best Asset Class among all of these?

Well, “Best Asset Class” Should fulfill the following criteria.

- The Best Asset Class is one which provides you CASHFLOW + CAPITAL GAINS Both.

Most of the Asset classes available in this world only provide you Capital Gains and not the Cash flow. But the Best Asset Class is one which provides you both the Capital Gain & Cash flow. And following  two Asset Classes Best fit into this criteria.

01) Businesses (On which you have some degree or Full Management Control)

02) Real Estate (Rental Properties)

I am not talking about owning Stocks of Listed companies on which you have no management Control. I am talking about Private Equity or in other words, Businesses on which you have partial or full Control. This is Best Asset class because as long as you hold that Business, it will provide you a steady Cash flow that you can spend behind your luxury life style.

Real Estate is also a Cashflow producing Asset. If you Hold a Rental Property than you will receive a Rental Income every month as well as appreciation in the price of property (Capital Gains).

According to one observation, The Richest people of this world are engaged in 2 activities – Developing a Business & Taking it to public and Real Estate. Because both of these are the Best Asset Classes.