Retirement is for many a synonym for lower income and the savings accumulated during the active life of savers sometimes sleep on unpaid accounts or on the fund in euros for life insurance contracts, the return of which has fallen sharply. In recent years, the majority of savings retirees are looking for additional income to maintain their standard of living.
Civil real estate investment firms, civil real estate investment firms, respond to this problem, in fact, this low-volatility real estate investment associated with inflation, allows you to diversify your assets while building an annual salary for life.
So why do retirees choose to invest their money in REITs?
Why invest your money in SCPI?
Anticipating a lower income at retirement helps avoid a decline in lifestyle and purchasing power. Indeed, for some, retirement is expected, for others it is frightening, and whatever the case may be, it is important to anticipate it.
For the vast majority of French families, retirement is synonymous with a decline in income and, in fact, a decline in purchasing power. SCPI is an ideal investment to create an additional source of income that makes up for this gap. In fact, SCPIs offer regular, monthly or quarterly returns that are proportional to the investment.
The main advantage of SCPI performance, unlike rental property, is the absence of management. In fact, at a certain age, savers no longer want to deal with managing an apartment or a renter. The majority of retirees who buy SCPI shares do so with the fruits of selling real estate.
They thus become the owners of a diversified real estate portfolio and delegate all management to the management company, which has years of experience. Investors are regularly informed of the acquisitions that have been made.
Thus, in a few years, SPIs have become the preferred investment for retirees, in fact, compared to euro insurance funds and various bank books, parity of performance (SCPI) offers a much higher annual return, which one can expect from the investment. 6% net return.
Why invest in SCPI at retirement?
Diversification of life savings
When their careers are over, the savings of young retirees are partially built up and major life projects have already been realized.
Then the next problem arises, how do you preserve your capital while generating additional income?
The sustainable intensification of crop production makes it possible to become a property owner through the acquisition of shares, thereby diversifying a particular heritage on a large scale.
Indeed, the creation of a multi-level portfolio of sustainable intensification of crop production allows pensioners to diversify their assets through a strong pooling of risks, which is ensured by the volume of real estate complexes already created in different geographical areas and the number of tenants whose activities differ.
Investing in SCPI also helps diversify sources of income for retirees. Most of the income that families receive is income from professional activity, the famous salaries and wages on the tax return, and is subject to income tax. Income from sustainable intensification of crop production is treated as property income for tax purposes, moreover, some of these indicators and various ways of obtaining them allow savers to benefit from concessional taxes.
Why buy SCPI shares at retirement?
Your legacy grows
Some investments allow investors to get bonuses but few offer to revalue the invested capital regardless of income: this is one of the benefits of parity in production (SCPI) for retirement!
Indicators of sustainable intensification of crop productivity allow savers to become owners of many assets, thereby benefiting from their revaluation. This revaluation is possible particularly through the capital gains made by the management companies but also by linking rents to inflation. In fact, real estate is today the only investment associated with inflation.
The value of the real estate holdings held by SPCs increases over time. Over the past 15 years, we have observed an average SCPI stock price revaluation of 1.5% annually, all SCPI indicators combined.
This feature is another advantage of SCPI investment, and it can be considered as a bonus in the context of SCPI investment, in fact, investors see their assets grow over time, without any management in the context of strong inflation.
Why Create a Multiple SCPI Portfolio?
Today there are hundreds of high-performance SCPIs, and building a diversified SCPI portfolio is not easy. Here is an example of a selection of SCPI, consistent and an interesting additional source of income, for an investment of €100,000:
- SCPI Vendome regions SCPI Vendôme Régions is a diversified French company managed by the management company Norma Capital, investing in the French regions, it allows a good diversification of the assets of its partners and envisages a return higher than 5.5%. In addition, SCPI is committed from a sustainable development point of view as it bears the SRI (Socially Responsible Investment) label.
- SCPI Savedi Europe Invest is a European diversified crop production company under the IRS brand, invested in Germany and Ireland in particular, the management company Sofidy benefits from the global presence of the teams of the Tikehau Capital Group of which it is a subsidiary.
- SCPI Health Pierval is a SCPI company specializing in the field of health, this is experiencing strong growth due to the aging population, invested in France and Europe, partners benefit from European influence and long-term vision since the leases signed by the management company La Française has a term of more than 16 years.
- SCPI Activemomanaged by the management company Alderan, specializing in the logistics sector, which has been very dynamic in recent years with the development of e-commerce and the change in consumption patterns, SCPI Logistics has had a very good start and paid its partners in 2021 a return of more than 6%.
- SCPI GMA Basics It is managed by the management company Greenman Arth, a French subsidiary of the Irish group Greenman, which is a major player in the German food trade with over €1 billion in assets under management. SCPI wishes to invest in assets primarily intended for mass distribution in France and Germany and aims to achieve a target of 6% return for the first year.
Several online platforms exist to support savers in building their multiple SCPI portfolio. La Centrale des SCPI (the first online distributor of SCPI) www.centraledesscpi.com provides its customers with a 100% secure digital signature process that sets it apart from its competitors.
Highly responsive consultants can be reached from SCPI Central at 01.44.56.00.23 To conduct a free personal study and provide the best advice to investors according to their situation.
Retirement is an important topic, in fact, anticipating and compensating for a certain reduction in purchasing power is essential for retirees. Thus, implementing the investment strategy by selecting a diversified portfolio of SCPI is the solution.
With a simple subscription, everyone can access the Performance and Focus Indicators (SCPI). The investment in particular allows the heritage to be strongly diversified from investing a few thousand euros and obtaining additional income, and is thus the ideal investment for retirees.
Investment in sustainable intensification of crop production is not guaranteed, both from the point of view of the profits received and from the point of view of capital preservation. Sustainable intensification of productivity depends on fluctuations in real estate markets.
Before making any decision to purchase SCPI stock, seek professional advice to ensure that this investment matches your asset profile.
Finally, like any real estate investment, bear in mind the fact that SCPI is a long-term investment whose holding period cannot be less than eight years.