Why the Smartest Investors Are Moving Away From Public Markets
For decades, the public markets have been the default for everyday investors. Mutual funds, REITs, and index-tracking ETFs have promised easy access and passive growth. But there's a quiet shift happening among the world’s most sophisticated investors.
Take the Yale Endowment. Over 75% of its portfolio is now in non-public assets: real estate, private equity, venture capital, and hedge funds. Why? Because these assets provide better risk-adjusted returns, protection from market volatility, and access to real, tangible cash flow.
If institutional investors are moving in this direction, the obvious question becomes: Can individual investors do the same?
Yes. And here's how.
Public Markets vs. Private Investments: A Clear Comparison
FactorPublic MarketsPrivate InvestmentsLiquidityHigh (daily tradable)Low (longer holding periods)VolatilityHigh (news-driven price swings)Low (stable, based on fundamentals)AccessOpen to allHistorically limited, now more accessibleReturn PotentialModerate, capped by public valuationsOften higher, especially over longer time horizonsTransparencyPublicly disclosed, but complexDirect relationship with sponsor/operatorTax EfficiencyOften inefficientCan be structured for better tax outcomes
The Institutional Mindset: Building a Capital Framework
One key difference between institutions and individuals is how they think about capital. Institutions build portfolios designed to endure for decades, not quarters. They construct a Capital Framework—a blueprint that balances income, growth, liquidity, and risk in service of long-term goals.
At Infinity⁹, we bring this mindset to private investors. The question isn't “How much should I put into the stock market?” but rather:
“What percentage of my capital should be allocated toward income-producing, less volatile assets that compound steadily over time?”
There are no bad markets, just bad strategies. In times of uncertainty, institutions pivot—not panic. They double down on real assets and long-duration opportunities. Individual investors can do the same.
What Are Private Deals, Really?
“Private investment” can sound vague, even intimidating. But it’s simple: private deals are opportunities not traded on public exchanges. This includes:
- Private Real Estate: Multifamily apartments, industrial parks, medical offices, etc. Typically held through syndications or funds.
- Private Credit: Lending directly to businesses or real estate operators, often secured by collateral.
- Private Equity: Investing in private companies before they go public—or instead of ever going public.
The key feature? You’re investing directly into a real-world asset or business, not just buying a ticker symbol.
Why Private Real Estate Is a Starting Point
Among all private alternatives, real estate remains the most accessible for new investors. It’s tangible. It produces income. And it doesn’t care about stock market headlines.
Institutional-quality real estate—such as stabilized multifamily developments in fast-growing U.S. metros—offers:
- Predictable cash flow from rental income
- Appreciation potential over multi-year holds
- Tax advantages via depreciation
- Inflation hedging due to rising rents and asset values
At Infinity⁹, we focus on building portfolios of such assets for investors who want both stability and performance—without the daily drama of Wall Street.
Dispelling the Myth: “Private Investments Are Only for the Ultra-Wealthy”
Not anymore. Historically, private investments required seven-figure minimums and exclusive access. But that’s changed. New regulatory structures and platforms have opened the door for accredited investors with as little as $25,000 to participate in institutional-grade deals.
What matters now is not net worth, but education and alignment. At Infinity⁹, we prioritize clarity, transparency, and strategic alignment in every deal we present. Because your money doesn’t need a visa. It needs direction.
How to Begin Investing Like an Institution
Here’s how to transition from a public-only investor to a more sophisticated, private-market participant:
1. Reframe Your Goals
Instead of chasing market highs, define what you actually want from your capital: income? preservation? long-term growth? Your answers shape your capital framework.
2. Learn the Basics
Understand key terms: preferred return, IRR, cap rate, cash-on-cash return. This isn’t rocket science—it’s just a different language.
3. Evaluate Sponsors Carefully
The success of private deals often comes down to the operator. Look for experience, transparency, track record, and alignment of interests.
4. Diversify Intelligently
Start with a single deal or fund. Then build across asset types (e.g., multifamily + private credit), geographies, and holding periods.
5. Commit to the Long Game
Private investments are not for flipping. They’re for compounding. Institutions think in decades. The smartest individuals are starting to do the same.
What Makes Infinity⁹ Different
At Infinity⁹, we don’t just offer deals. We help our investors build a strategy. Whether you’re investing $50,000 or $5 million, our goal is the same: to help you adopt an institutional mindset that matches your ambitions.
We focus on U.S.-based, institutional-quality real estate with a strategic, Latin American-aware approach. Many of our investors live abroad, earn in different currencies, and seek stability in dollar-based assets. That’s where we come in.
Final Thoughts
Investing like an institution doesn’t mean copying them trade-for-trade. It means learning to think like them: long-term, diversified, intentional. The future of wealth-building isn’t in riding stock market rollercoasters. It’s in owning real assets that work while you sleep.
You don’t need a family office or a trust fund. You just need the right partners, the right strategy, and the willingness to think bigger.
