Real estate investments

It’s about more than just location. Expenses, for instance, vary widely; hotels require ongoing maintenance, cell towers not so much, says contributor Peter Greenberger

Advisers and portfolio managers will soon need to pay more attention to real estate investing as it enters the mainstream.

Nearly 60% of wealthy baby boomers are more optimistic about tangible assets than about stocks, bonds, private equity and hedge funds, according to a recent U.S. Trust study.

"We always tell our client base that the potential opportunity is plentiful, but like every asset class, there is no guaranteed profit," says RBC adviser George Kursar.

Advisers who ask clients about the history of real estate holdings can save headaches – and potentially millions.

Richard W. Davis also took $1.5 million in fees while he was entitled to just $150,000, the commission alleges.

One adviser got a frantic call from client in a sales office who actually yelled, ‘Help me!’ into the phone.