Yan Yan
- Nov 15, 2021
- 3 min read

Investor Testimonial: Why Invest in ATM Fund?

What’s on My Mind this Week

Investor Testimonial from Cecilia

Watch this video on Cecilia's Testimonial

Why Invest in ATM fund?

Number one is diversification. I have been investing since college and now have a good pool of assets of my own, and each year I allocate a portion of my investment to alternative assets. I pick assets that are less correlated to the market and in a way it hedges my other positions. Now when you look at the ATM fund, it is one that has shown sturdy performance historically, and if you look at the data even when during COVID hit and the market tank, ATM is one that has performed as promised so this natural hedge is very important to me. The second reason I liked about the ATM fund is cash flow. When making alternative investment, I make sure it is very clear to me whether it's a value play or a cash flow deal, and I tie the return profile to my overall financial goal. Now ATM is clearly a cash flow play, and I like the fact that it's monthly distribution and it has a floor on return in a way it's like saving money and paying yourself back for a period of time... and when it comes across the payback period, you're just like getting an extra paycheck each month. Now I have only gotten through a few pay periods so far and they have been punctual and as expected so I'm hoping the best for the rest of this investment. Last but not least and probably the most important consideration to me is taxes... My family has a relatively high tax bracket so when we look at the investment we look at return after tax. Can I fund via SDIRA? Does the asset qualify for bonus depreciation? Does the asset provide any tax benefit to our overall alternative investment portfolio? These are the questions I asked myself and our deal sponsors for the specific deal that we're looking at and our tax advisor... The answer to these questions makes a big difference to the real return you get post-tax.

Why Invest with Sharpe Investor Group?

We talked about why I invested in ATM but this might be the first and foremost reason why I invested in ATM... is because of Yan. She has been a long-term friend. We both had our master's degree in financial engineering and we fought our CFA war together in the old days. She's very analytical by nature and very very very detail-oriented... There was a time when we and a few other friends meet regularly on real estate opportunities. Her research has always been the most thorough and interesting one covering all relevant demographics you can think of and always backed by data and all sorts of correlation analysis... so when she presented the ATM opportunity to be the first question I asked her was... Are you in Yan? Are you in yourself?... and when she said that she's also invested, I was 99% committed then.

- Cecilia

Sharpe Investor Group Portfolio Update

ATM Fund Update

The second ATM fund will be opened in early October due to popular demand. We already have investors queued up and ready to invest, and it will have excellent benefits like the first ATM fund. Here are THREE reasons we like about this deal: 1. 24.7% annual preferred return from the ATM sponsor. 2. If your tax bracket is 40%, you will have potential tax savings up to $20,800 per $53,000 investment. 3. Low risk due to 0 leverage and recession-resistant nature of the ATM business.

Please note that the October tranche is the last chance to get the tax-saving counted in 2021. Future tranches will count towards 2022. You can learn more about the analytical frame and how the deal works by watching our video playlist and contact us if you are interested.

Book a Passive Investing Strategy Call

If you have any questions about your passive investment strategy, or you're just getting started, feel free to schedule a time with me (click on the link in my signature) or simply respond to this email.

Yan Yan - yan@sharpeinvestorgroup.com

Henry Yuen - henry@sharpeinvestorgroup.com