What do you mean by core assets?

The so-called core assets refer to those assets that can not only outperform economic growth in the economic upswing cycle, but also resist inflation and have obvious resistance to the economic downturn cycle. In every round of wealth reshuffle in this world, the winners are mostly investors holding core assets.

What are the core assets?

There are two main types of core assets. The first category is real estate, and the second category is listed companies with good profitability. Overseas countries and some cities in China have confirmed this with data. Real estate has the natural property of maintaining value, and it is often at the front end of inflation in the economic upswing cycle. However, although there is no property tax in China, the loan and transaction costs are extremely high. Unless investors have a natural eye to choose the right area, the cost performance of investing in real estate is extremely low.

Because of the problem of investment cost, in addition to the first type of core asset real estate, more and more investors began to focus on the second type of core asset allocation, that is, making money and profitability have long been ahead of inflation.