About this episode
In this episode of Retire with Style, Wade Pfau and Alex Murguia explore real assets- focusing on real estate and infrastructure- and their role in retirement portfolios. They discuss the pros and cons of residential and commercial property ownership, the value of REITs, and the potential of infrastructure investments. The conversation highlights the importance of diversification and understanding the risk-return tradeoffs of these asset classes. Listen now to learn more!
Takeaways
- Real assets—like real estate and infrastructure—can play a valuable role in retirement portfolios.
- These assets can improve portfolio efficiency by enhancing return relative to risk.
- REITs offer accessible exposure to real estate without requiring accredited investor status.
- Owning residential property often requires active management and can feel more like a job than a passive investment.
- Commercial real estate tends to provide more stable income through longer-term leases.
- Infrastructure investments can offer steady cash flows and some protection against inflation.
- Diversification remains key to effectively managing portfolio risk.
- 1031 exchanges allow investors to defer capital gains taxes when selling real estate.
- Water rights represent a niche but growing area of investment opportunity.
Chapters
00:00 Introduction to Real Assets 02:00 Understanding Real Estate in Portfolios 08:04 The Role of Residential Real Estate 16:01 Exploring Commercial Real Estate 28:05 Infrastructure as an Investment 33:44 Conclusion and Future Topics
Links Explore the New RetireWithStyle.com! We’ve launched a brand-new home for the podcast! Visit RetireWithStyle.com to catch up on all our latest episodes, explore topics by category, and send us your questions or ideas for future episodes. If there’s something you’ve been wondering about retirement, we want to hear it!
The Retirement Planning Guidebook: 2nd Edition has just been updated for 2025! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/
This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips
Get every episode summarized
Each time Retire With Style publishes, we email you a written briefing from the transcript — the topics, who appeared, and any specific claims, with the ad reads skipped.
Email me new episodesFree for 3 shows. No card needed.
Hosts & guests
No transcript yet
This episode has not been transcribed. Request it and it moves to the front of the queue.
More episodes
More from Retire With Style
Episode 245: Retirement Withdrawals: When to Use Your Portfolio, When to Use a B...
Retire With Style
Episode 244: Why Being Safety-First Doesn’t Mean You Need an Annuity
Retire With Style
Episode 243: Why Annuities Aren’t Really Investments
Retire With Style
Episode 242: Why Playing It Safe in Retirement Can Actually Be Risky
Retire With Style