Real Assets: A Tangible Approach to Investing

Investing has long been associated with stocks and bonds, but real assets offer a compelling alternative that provides diversification, stability, and tangible value. Large global institutions have embraced real assets for decades, but most Canadian investors have virtually no exposure to these asset classes due to steep barriers to entry.

What Are Real Assets?

Real assets are physical investments (or assets) that generate income and appreciate over time. Unlike financial assets, which exist as contracts or securities, real assets have intrinsic value and often serve essential functions in society. These include:

• Infrastructure – Toll roads, bridges, energy distribution networks, and water treatment plants.
• Private Real Estate – Direct ownership of land, office buildings, apartments, shopping centers, and industrial warehouses.
• Agriculture & Timberland – Investments in farmland, timber plantations, and agricultural operations.

Why Invest in Real Assets?

Real assets provide several advantages:

• Diversification – They behave differently from traditional financial assets, reducing overall portfolio risk.
• Inflation Protection – Many real assets, such as real estate and commodities, tend to appreciate alongside inflation.
• Stable Cash Flow – Infrastructure and real estate investments often generate consistent income through leases, tolls, or agricultural production.
• Tangible Value – Unlike stocks, which can fluctuate based on market sentiment, real assets have physical presence and utility.

The Challenge for Canadian Investors

Historically, investing in institutional-grade real assets was reserved for sovereign wealth funds, pension funds and ultra-high-net-worth individuals. Many Canadian investors struggle to access these opportunities due to multi-million-dollar minimums, long lock-up periods, and restrictive structures. As a result, the vast majority of investors remain underexposed to these asset classes, missing out on the benefits of real asset investing.

Real-Life Examples of Real Asset Success

To illustrate the value of real assets, consider these examples:

• Farmland Investments – Over the past few decades, agricultural land values in Canada have steadily appreciated, outperforming inflation while generating stable income through crop production.
• Urban Infrastructure Projects – Investments in toll roads and utility grids provide long-term cash flow, benefiting from increased urbanization and demand for essential services.
• Institutional Real Estate Holdings – Prime office buildings and multi-family residential properties continue to generate reliable rental income, even in uncertain economic climates.

How Kinsted Wealth Bridges the Gap

Kinsted Wealth opens the door to institutional-grade real assets, premium real estate, infrastructure, and agriculture, without the traditional barriers. Through strategic partnerships with global leaders, investors gain direct access to the same opportunities as billionaires and institutions, but with greater flexibility, lower minimums, and no lengthy lockups.

Real Asset Investing: What Canadian Investors Want to Know

Real assets are an essential component of a resilient long-term investment strategy. While they’re not necessarily “better” than stocks, they offer important advantages, namely diversification, inflation protection, and income stability, that complement financial assets. Traditionally, gaining access to these types of investments required multi-million-dollar minimums, making them available only to the largest institutions or ultra-high-net-worth investors. At Kinsted Wealth, we’ve changed that by offering institutional-grade opportunities through our pooled funds with significantly lower entry points.

How do real assets hold up during turbulent markets? The answer lies in their consistent cash flows and low correlation to traditional markets. Infrastructure and private real estate, for example, often continue generating income through leases, tolls, or utility fees, regardless of broader market volatility. Canadian investors can now also access opportunities once considered out of reach, such as farmland and timberland, through Kinsted’s diversified real asset platform. These tangible investments provide both financial resilience and exposure to long-term growth trends beyond traditional stock and bond markets.

The Future of Real Asset Investing

As markets evolve, real assets continue to play a crucial role in long-term wealth preservation and growth. Whether through farmland investments, sustainable timberland, or urban infrastructure projects, these assets provide a solid foundation for financial security.

Ready to Invest Differently?

If you're interested in building a more resilient, diversified portfolio through real assets, Kinsted Wealth can help. Our institutional partnerships and curated investment platform give you access to opportunities traditionally reserved for the ultra-wealthy, without the steep minimums or long lockups.

Connect with us today to explore how real assets can play a role in your long-term strategy.

Regards,
Kinsted Wealth