By Although it is possible to invest without using an investment broker, the benefits of having one always tends to be positive.
At Avantis Wealth, we believe that the first investment you should make when researching alternative investments is to find yourself an experienced investment broker.
What exactly is an investment broker, and what do they do?
An investment broker is an individual or a company that sits in between the investor and the investment.
Their job is to connect investors with specific businesses that require funding, finding opportunities that may not usually be available to individual investors or the general public.
A good broker works hand in hand with a business to help them raise capital for specific business initiatives (i.e. new development project). This relationship helps to bring pragmatic investments with achievable structures to market.
An investment brokers skill in researching the market to identify opportunities to bring their client the right combination of return vs risk profile vs desired income frequency.
It is in the brokers best interest to find successful investments to build up a long-term relationship and encourage repeat investments.
A responsible broker delivers research and knowledge that give you the confidence to understand what you are investing in — making your decision to proceed an informed one.
How do brokers mitigate against risk?
All investments carry risk. Although all participants are exposed to common risk factors with this type of private debt instrument, be it a bond or loan note, the way investors think about these risk factors can vary.
At Avantis Wealth, our team of investment brokers only present investments that are carefully selected for integration into the portfolio.
We believe in quality over quantity and value our recent track record when it comes to successful investments. In 2020, we rejected around 95% of all investment opportunities after assessing them.
When a new fixed-income investment comes to the platform, the investor can be reassured we have looked into all the details with stringent due diligence.
Brokers will do the hard work for you; what we mean by this at Avantis Wealth, our brokers will spend the time researching and performing due diligence on all investment opportunities on the market.
They will then identify opportunities that they believe are lower risk than others and present these to their clients.
This due diligence process can vary between organisations. At Avantis Wealth, we believe our approach, which we have heavily refined over the last few years, ensures a deep client understanding.
Our approach involves detailed internal processes that oversee the collection, processing and analysis of each investment’s data.
We collect detailed information from multiple sources such as 800+ Watch Lists and Global Sanction Databases to ensure we present the best alternative investments in today’s market.
Our due diligence process is not just limited to our initial analysis of live investments; it is continuous. Our dedicated team of specialist professionals monitor all investments regularly to ensure our standards are maintained.
Most importantly, the Avantis Wealth team of investment brokers champion the investors’ interest above all else by ensuring all investments have been highly scrutinised and offer the returns to suit your portfolio. We have established a robust structure that you can confidently use to inform your decision making.
As noted by the Business Times, the primary purpose of meticulous Due Diligence is to obtain sufficient information about the target’s business to enable you, the investor, to make a well-informed decision whether the proposed acquisition represents a sound commercial investment.
Our Due Diligence approach at Avantis Wealth lends us to offer you superior scrutiny levels over our rivals.
Hopefully, now you understand why an investment broker is the first investment you should make. Speak to our team at Avantis Wealth and find out how we can help you.
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