When it comes to diversifying a portfolio, it can be hard to find new, underutilized asset classes, as any investor will tell you. But perhaps you aren’t thinking far enough outside the box. Tom Barrack, founder and CEO of investment firm Colony Capital, talked deep diversification with Bloomberg Television. Among his assets? The Neverland Ranch, sports teams and the Miramax film library. See video after the jump.
“The world today is efficient; knowledge is homogenous,” Barrack said. “So, if you’re in the business of trying to find extraordinary gains, you have to find some inefficiency.”
By creating new experiences in traditional real estate assets, he said, he is able to create “attributable value.”
“Sports teams are just another facet of the shopping center,” said Barrack, whose company currently manages $50 billion in assets. [Bloomberg News] –Guelda Voien
