Saturday,
March 2, 2024
Top Story
The week in review
• The U.S. economy grew at a slightly slower pace in Q4 of last year than initially estimated but it was still the sixth straight quarter with an annualized growth rate of more than 2%. However, inflation also rose faster than first reported during the same period.
• The 30-year mortgage rate dipped slightly to 7.04% last week, and mortgage applications declined 5.6%.
For more economic news, visit On the Money — SoFi’s one-stop-shop for news, trends, and tips!
Alternative investments: How to invest outside the stock market
Diversifying your portfolio may help you offset certain risks your portfolio could face if it was concentrated in only one area.
This week we’ve been diving into the world of alternative asset classes. So far we’ve explored investing in real estate and commodities. Up next: private equity.
Here’s how it works: A private equity fund buys shares of private companies with the goal of eventually making a profit when they sell these stakes.
Venture capital is often considered a type of private equity because at it’s core it’s doing the same thing. However, VC firms invest in start-ups and early-stage companies in return for an equity stake.
The risks associated with private investments tend to be high — but there’s also the potential for substantial profits when companies succeed.
Traditionally, these types of investments weren’t available to average investors because they required huge sums. But that’s changing as more private funds are designed for retail investors.
SoFi Head of Investment Strategy, Liz Young, recently sat down with legendary quarterback Steve Young to talk about his transition from the NFL to a career in private equity. Tune in to The Important Part podcast for the full conversation about what he learned along the way.
