Welcome!

MacroCRE is a collection of research and resources around investment management. Interests include:

1. Public and Private Real Estate
2. Public and Private Credit
3. Select Equity Sectors – Financials, Construction, Industrials, and Infrastructure
4. Portfolio Management

Although these topics are broad, they are incredibly complimentary with each other.

Real estate, financial institutions, construction, industrials, and infrastructure are relatively leveraged sectors – Large amounts of assets relative to equity, financed primarily through a form of debt. The regular debt payments demand a more regular, consistent cash flow structure to the business model.

A creditor perspective is valuable across all industries – the metrics are different, but the principles are the same. It shows you how to evaluate an opportunity from a bottom-up perspective with an eye on future cash flows, position structuring, and collateral values. Understanding credit is fundamental prior to taking an equity position.

Once you understand how a bank manages its balance sheet, you can never look at the Federal Reserve and interest rate risk the same way again. Of course interest rates affect all debt markets, but asset-heavy businesses relying on issuances are also greatly affected. Real estate values are simply a function of the debt markets – but banks are much more quickly impacted than real estate. Although liquidity can dry up quickly across the financial sector, real estate performance lags as the investment is more illiquid, resembling a slow-moving train wreck as more defaults gradually surface.

Lastly, Portfolio Management should answer:

1. How do you manage your bets?
2. How do you measure your performance?

Not only are these topics complementary, but properly understanding capital structure and business dynamics allows for opportunities to invest across the capital stack.

You could buy CMBS debt, but you can also target publicly traded REITs and purchase preferred shares, or you take the common equity shares. Through several mechanisms with a broker, you can leverage your bets and scale your exposure as needed.

The markets are so financialized that you could buy a 3x Leveraged Brazil Bear ETF and profit from the economic misery of the country’s people (not that it’s recommended!), but this shows there’s abundant opportunity to explore different ways of executing an investment thesis.

So, what is the goal of this website?

Pave the way for future investors

• Outlining strategies to take calculated bets and grow your wealth
• Providing resources to level up your 

Serve investors’ investment planning needs

• Small, individual investors can be armed with institutional-quality analyses when acquiring real estate
• Various consulting opportunities around cash flow structuring, debt modeling, market analysis

I hope you take advantage of every area of this website, and feel free to drop feedback below:

contact@macrocre.com