Cantor Fitzgerald Income Trust

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dekecarver
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Cantor Fitzgerald Income Trust

Post by dekecarver »

Hi all,
Recently a CFA suggested that I look into Cantor Fitzgerald Income Trust as a diversifying uncorrelated asset to equities vs an index REIT. I have no knowledge of this firm (starting to read up on) and was wondering if any of you have and if so, your experience.

Thanks
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unclescrooge
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Re: Cantor Fitzgerald Income Trust

Post by unclescrooge »

Seems like a private REIT.

There are a lot of such REITs. Some are good, many are bad. Nearly all are illiquid.

If I are looking for an uncorrelated asset class to equities, then the ability to sell so I can rebalance my portfolio is important to me.

In that case, private REITs would fail that test.

OTOH, if I was looking for income then I might potentially consider looking at these.
Last edited by unclescrooge on Fri Jan 14, 2022 8:33 pm, edited 1 time in total.
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David Jay
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Re: Cantor Fitzgerald Income Trust

Post by David Jay »

I don’t know anything about the trust, but a REIT mutual fund is an equity fund, so it will be closely correlated to equities. By comparison, anything with a significant allocation of fixed income will be less correlated to equities than an index REIT fund.
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Wiggums
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Re: Cantor Fitzgerald Income Trust

Post by Wiggums »

dekecarver wrote: Fri Jan 14, 2022 1:33 pm Hi all,
Recently a CFA suggested that I look into Cantor Fitzgerald Income Trust as a diversifying uncorrelated asset to equities vs an index REIT. I have no knowledge of this firm (starting to read up on) and was wondering if any of you have and if so, your experience.

Thanks
That fund gives off a lot of non qualified dividends, which is not ideal and a taxable account.
Investors need to be better informed about the costs they pay. “High fund fees can be hazardous to your wealth in the same way that high calories can be hazardous for your health.”
123
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Re: Cantor Fitzgerald Income Trust

Post by 123 »

Their online prospectus is almost 500 pages. There can be a lot of weasel words in 500 pages.
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Dave55
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Re: Cantor Fitzgerald Income Trust

Post by Dave55 »

Been in a fair share of Private REIT's when I was younger and less experienced, some went public some did not. Some did OK and others were lackluster. Cantor has been around a long time. I recall when I was entering (as a data entry clerk) OTC stock trades at Drexel Burnham on Board Street in NYC in the early 80's one of the traders remarked Cantor is a solid firm. Don't know about now. Private REIT's usually have high expenses and are illiquid as stated. Could work out fine, and might not. Since the Cantor Fitz REIT's NAV is priced internally and using what they call "fair value", that number may not reflect with precision the true market value of the underlining assets and that is another problem with private REIT's. Whether this private REIT is "uncorrelated" to Publicly traded REIT's or The S&P will not be known until it liquidates.

disclaimer: Many decades experience investing in Private REIT's, RE syndication's, and Private RE Funds. Also worked 2nd career as an acquisition manager for PE Commercial RE firms.

Dave
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BillWalters
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Re: Cantor Fitzgerald Income Trust

Post by BillWalters »

I mean, as private REITs go it’s probably one of the better ones, but I would need a very compelling reason to ever consider investing in a private REIT.
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Re: Cantor Fitzgerald Income Trust

Post by Sandtrap »

Dave55 wrote: Fri Jan 14, 2022 2:02 pm Been in a fair share of Private REIT's when I was younger and less experienced, some went public some did not. Some did OK and others were lackluster. Cantor has been around a long time. I recall when I was entering (as a data entry clerk) OTC stock trades at Drexel Burnham on Board Street in NYC in the early 80's one of the traders remarked Cantor is a solid firm. Don't know about now. Private REIT's usually have high expenses and are illiquid as stated. Could work out fine, and might not. Since the Cantor Fitz REIT's NAV is priced internally and using what they call "fair value", that number may not reflect with precision the true market value of the underlining assets and that is another problem with private REIT's. Whether this private REIT is "uncorrelated" to Publicly traded REIT's or The S&P will not be known until it liquidates.

disclaimer: Many decades experience investing in Private REIT's, RE syndication's, and Private RE Funds. Also worked 2nd career as an acquisition manager for PE Commercial RE firms.

Dave
These credentials and experience dwarf multiple PhD's and Letters after one's name.

OP:
Certainly perhaps far more qualified than the CFA's advice if he/she has not walked the talk (done it themselves).

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dekecarver
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Re: Cantor Fitzgerald Income Trust

Post by dekecarver »

Thanks for all replies, very helpful and appreciated.
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Re: Cantor Fitzgerald Income Trust

Post by abuss368 »

Dave55 wrote: Fri Jan 14, 2022 2:02 pm Been in a fair share of Private REIT's when I was younger and less experienced, some went public some did not. Some did OK and others were lackluster. Cantor has been around a long time. I recall when I was entering (as a data entry clerk) OTC stock trades at Drexel Burnham on Board Street in NYC in the early 80's one of the traders remarked Cantor is a solid firm. Don't know about now. Private REIT's usually have high expenses and are illiquid as stated. Could work out fine, and might not. Since the Cantor Fitz REIT's NAV is priced internally and using what they call "fair value", that number may not reflect with precision the true market value of the underlining assets and that is another problem with private REIT's. Whether this private REIT is "uncorrelated" to Publicly traded REIT's or The S&P will not be known until it liquidates.

disclaimer: Many decades experience investing in Private REIT's, RE syndication's, and Private RE Funds. Also worked 2nd career as an acquisition manager for PE Commercial RE firms.

Dave
Dave -

Was that the “Wolf of Wall Street” firm? Did you work for Jordan Belfort?

Best.
Tony
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Re: Cantor Fitzgerald Income Trust

Post by abuss368 »

Dave55 wrote: Fri Jan 14, 2022 2:02 pm Been in a fair share of Private REIT's when I was younger and less experienced, some went public some did not. Some did OK and others were lackluster. Cantor has been around a long time. I recall when I was entering (as a data entry clerk) OTC stock trades at Drexel Burnham on Board Street in NYC in the early 80's one of the traders remarked Cantor is a solid firm. Don't know about now. Private REIT's usually have high expenses and are illiquid as stated. Could work out fine, and might not. Since the Cantor Fitz REIT's NAV is priced internally and using what they call "fair value", that number may not reflect with precision the true market value of the underlining assets and that is another problem with private REIT's. Whether this private REIT is "uncorrelated" to Publicly traded REIT's or The S&P will not be known until it liquidates.

disclaimer: Many decades experience investing in Private REIT's, RE syndication's, and Private RE Funds. Also worked 2nd career as an acquisition manager for PE Commercial RE firms.

Dave
Hi Dave -

Awesome knowledge and wisdom share. I have a client you holds a private REIT in healthcare. Exactly as you describe. The “fair value” took a hit during the pandemic and was adjusted down. Ultimately “market value” may be much different. The private has not removed to date.

Tony
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Re: Cantor Fitzgerald Income Trust

Post by abuss368 »

dekecarver wrote: Fri Jan 14, 2022 1:33 pm Hi all,
Recently a CFA suggested that I look into Cantor Fitzgerald Income Trust as a diversifying uncorrelated asset to equities vs an index REIT. I have no knowledge of this firm (starting to read up on) and was wondering if any of you have and if so, your experience.

Thanks
Does your CFA “eat his own cooking” and invest his personal assets in this private REIT?

Best.
Tony
John C. Bogle: “Simplicity is the master key to financial success."
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Re: Cantor Fitzgerald Income Trust

Post by beyou »

Cantor Fitzgerald was the firm that was almost destroyed entirely on 9/11. Most of the company was on the floors hit directly by one of the planes.

They had been one of the top bond trading firms in the industry before that point. Many in the industry helped them out to survive after 9/11, giving them office space and labor to replace key staff that perished (2/3 of staff).

Whether you should invest in a private REIT from ANYONE, is an equally good question. Their asset management is a newer part of the business, about a decade old now.
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Re: Cantor Fitzgerald Income Trust

Post by abuss368 »

beyou wrote: Sat Jan 15, 2022 1:15 am Cantor Fitzgerald was the firm that was almost destroyed entirely on 9/11. Most of the company was on the floors hit directly by one of the planes.

They had been one of the top bond trading firms in the industry before that point. Many in the industry helped them out to survive after 9/11, giving them office space and labor to replace key staff that perished (2/3 of staff).

Whether you should invest in a private REIT from ANYONE, is an equally good question. Their asset management is a newer part of the business, about a decade old now.
I watched a 9/11 documentary with Cantor. I recall seeing the CEO on Larry King years back. Can picture his face but forgetting the name. He broke down in tears. That form was almost wiped out. The stories amazing.

Incredible.
Tony
John C. Bogle: “Simplicity is the master key to financial success."
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beyou
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Re: Cantor Fitzgerald Income Trust

Post by beyou »

abuss368 wrote: Sat Jan 15, 2022 9:47 am
beyou wrote: Sat Jan 15, 2022 1:15 am Cantor Fitzgerald was the firm that was almost destroyed entirely on 9/11. Most of the company was on the floors hit directly by one of the planes.

They had been one of the top bond trading firms in the industry before that point. Many in the industry helped them out to survive after 9/11, giving them office space and labor to replace key staff that perished (2/3 of staff).

Whether you should invest in a private REIT from ANYONE, is an equally good question. Their asset management is a newer part of the business, about a decade old now.
I watched a 9/11 documentary with Cantor. I recall seeing the CEO on Larry King years back. Can picture his face but forgetting the name. He broke down in tears. That form was almost wiped out. The stories amazing.

Incredible.
Tony
His name was Howard Lutnick.
And part of the tears were due to fact his brother was among the employees they lost that day.

I grew up in the same area and some of my family knew them as neighbors. Sad story.
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Re: Cantor Fitzgerald Income Trust

Post by abuss368 »

beyou wrote: Sat Jan 15, 2022 4:35 pm
abuss368 wrote: Sat Jan 15, 2022 9:47 am
beyou wrote: Sat Jan 15, 2022 1:15 am Cantor Fitzgerald was the firm that was almost destroyed entirely on 9/11. Most of the company was on the floors hit directly by one of the planes.

They had been one of the top bond trading firms in the industry before that point. Many in the industry helped them out to survive after 9/11, giving them office space and labor to replace key staff that perished (2/3 of staff).

Whether you should invest in a private REIT from ANYONE, is an equally good question. Their asset management is a newer part of the business, about a decade old now.
I watched a 9/11 documentary with Cantor. I recall seeing the CEO on Larry King years back. Can picture his face but forgetting the name. He broke down in tears. That form was almost wiped out. The stories amazing.

Incredible.
Tony
His name was Howard Lutnick.
And part of the tears were due to fact his brother was among the employees they lost that day.

I grew up in the same area and some of my family knew them as neighbors. Sad story.
That is it. I did forget that his brother passed. God bless all the families.

Thanks.
Tony
John C. Bogle: “Simplicity is the master key to financial success."
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