MEXICO CITY, (July 20, 2021) .- If you are interested in increasing your wealth because you are convinced that this is not only a privilege of the rich but a decision that you also have the right to make and exercise for your personal well-being, you are in the right place. We invite you to read till the end.
A FIBRA (real estate and infrastructure trusts) is a securities instrument that replicates the rental real estate business allowing investors to participate in the real estate market. This investment instrument focuses on different segments of the real estate sector such as offices, industrial, hotels, commercial, and storage.
To be able to buy any instrument in the stock market, you must first make a scale with a financial intermediary. In Mexico we have 35 brokerage houses, 49 banks and more than 600 investment funds, some of them specialize in FIBRAS.
“Through the network, you can access several: Citibanamex, BBVA, Finamex, GBM, Punto Casa de Bolsa, among many others. You can find all of them on the internet, you just have to enter and look for the option to ‘open a contract’. You will need to identify the minimum amount necessary to open that contract, today it can be opened with only $1,000 pesos. They will ask you for identification, a key account number of a debit card, a proof of address, and that you fill out a form (where you will indicate your data and beneficiaries). Today’s technology allows you to receive a response in a matter of minutes, you can deposit to your account and start investing ”, says the director of the Escuela Bolsa Mexicana.
IMPORTANT POINT: As a new investor, you can instruct the platform to buy, and, automatically, the amount will be taken from your debit account. That money you invest will go to your own investment account, not to an account in the name of your financial intermediary. Your money will always be yours.
It may also happen that your financial intermediary provides you with a more traditional service and you have to call them by phone to indicate the FIBER and the amount you want to invest.
What options can you choose from?
There is Fibra Uno, which is one of the most important in the market, with more than 650 real estate properties in the country and whose price is approximately $ 24.34 pesos per title.
Let’s say that if you deposit $ 24.34 pesos per title, you would become the owner of 650 assets in the country in a proportional way, that is, you would only be buying a small part, but isn’t it cool to discover that you don’t need millions to become a real estate investor? This is a good start, in the end, you will decide how far you want to go, how much capital you want to invest.
There is also Fibra Danhos, which has about 15 real estate properties and whose price per title is around $ 23.71 pesos.
Or how about investing in the fiber of the Federal Electricity Commission that is worth approximately $ 29.02 pesos by title?
You can choose between 16 fibers that exist on the market today.
A practical case
Suppose you have $ 10,000 pesos saved and you are going to be encouraged to invest in a FIBER.
If you decided to invest in Fibra Uno, whose price per title is approximately $ 24.34 pesos, you could buy 410 titles (which would cost you $ 9,979.40 pesos and you would have a remainder of $ 20.6 pesos). You decide if you complete to buy one more title or keep the remainder.
The recommendation is to have a specific evaluation period (and avoid doing it every day, as this can become addictive) and, each time you receive your statement, do an analysis of how the FIBRA has behaved, but be very calm because your investment objectives are not short-term. The longer you delay withdrawing your resources from the stock market, the more time you will have to bear the losses that an equity instrument can offer you.
Many investors who have experience in this type of investment see it as a good business that generates income periodically and they are aware that their investments will be profitable in 5, 10, or 15 years, so they could withstand future crises with the assurance that certain handicaps will recover over time and with greater force.
And what level of returns can a FIBER give me?
The director of the Mexican Stock Exchange School indicates that Fibra Uno in the first quarter of 2021 compared to the first quarter of 2020 gained 8.7%, which could seem very good, although said FIBRA is used to offering returns above 20% or 25 % per year, something that definitely did not happen given the context of the COVID-19 pandemic.
Likewise, he warns that Fibra Macquarie, which specializes in industrial real estate, had a 15.5% contraction because a good part of its activities were not considered as “essential” in the initial months of the pandemic.
Does that mean that it is a bad idea to invest in FIBERS?
“On the contrary, it is a great opportunity because having a Macquarie Fiber —which has dropped 15.5% in one year and is now worth $ 23.79 pesos per title— which can represent something good for the future, when the economy returns to full activity, and this will allow businesses to recover what they lost last year plus the additional points that this reactivation will bring ”, Gerardo Aparicio emphasizes.
“Now, if, as we said, you bought 410 titles (for $ 9,979.40 pesos) at a 10% annual share, after three years those titles could cost $ 30 pesos. At that time they would be generating $ 2,300 pesos only in capital gains. When comparing the same investment in CETES, we see that a FIBER can triple the yield ”, concluded the director of the Escuela Bolsa Mexicana.