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10 Questions For Your Private Banker - 09/05
09/01/2005

Private equity real estate firms are becoming more popular as investors seek asset classes that are not strongly correlated with the equities markets and ones in which competition for assets is less cutthroat. PERE firms seek to renovate properties or structure transactions in such a way to obtain 20-plus percent returns, rather than more typical 10 to 20 percent returns available from normal real estate vehicles. Should I consider this asset class?

The “No” votes on the EU constitution have spurred a great deal of private investor interest in principal-protected currency basket products, which help diversify currency exposures and profit from the euro’s (and the dollar’s) tribulations. Would this type of investment be useful to me in light of my own exposures to the euro and the dollar?

Strong demand from Chinese manufacturers pushed the price of copper to a record high of $3,340 per ton in June. Supply constraints may support this price level for some time. Should I have some exposure to copper, directly, or to copper mining companies in my portfolio?

BLIPS, FLIPs and OPIS were abusive tax shelters peddled to affluent clients by KPMG in the 1990s, according to the Justice Department. As the accounting giant negotiates frantically to avoid a firm-ending Andersonian indictment, its clients are scouring their old returns for evidence of offending transactions. Do I have any?

, after a U.S. short-seller won the right to sue a speech recognition software developer that issued upbeat financial statements that masked a deteriorating business picture. What does this mean for my business? For the firms in which I invest?
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