PURENGLOBAL LTD Review Is Purenglobal.com A Safe Investment Company

PURENGLOBAL LTD Review: Is Purenglobal.com A Safe Investment Company?

Purenglobal Ltd is a private limited company situated at 35 Ballards Lane, Finchley, London N3 1XW. This 6 months-old company, incorporated on 2020-09-13 is run by 1 director.
Director George A., appointed on 13 September 2020.
The company is classified as “administration of financial markets” (SIC: 66110).

George A.

Position: Director

Appointed: 13 September 2020

Are the investments provided by companies like Fundrise a safe investment?

You will need to determine what you consider “safe.”

Fundrise operates very similar to a REIT or Real Estate Investment Trust. When you invest in Fundrise, they distribute your money to different investment buckets (East Coast, West Coast, Heartland, etc.) that represent actual properties they have invested in.

Some are structured as equity (partial ownership) in an apartment building, for example, while other investments are structured as debt (loaning money for someone to build, stabilize, or renovate an apartment building, for example). Investments are also distributed to other types of properties like single family rental homes, commercial property renovation, etc.

Ultimately, the performance at Fundrise will be dictated by the real estate market.

However, realize that investing in Fundrise is very different than you investing in a single rental home or your primary residence. Fundrise distributes your money across different investment properties in different areas of the United States.

So, in that aspect, Fundrise spreads your risk across different areas of the U.S. as well as different types of real estate (Rental Homes, Apartment Buildings, Commercial Buildings, etc.)

Fundrise also structures these in such a way that the performance of your portfolio isn’t ONLY tied to the sale price of real estate (which can fluctuate significantly). People still pay rent and/or loan payments even when real estate prices plummet. Rent may fluctuate, of course.

Many of these investments would be impossible to invest in as an individual investor without a significant amount of capital or being classified as an accredited investor.

However, do understand that the real estate market can correct and deals can go sideways. There is absolutely risk involved in investing in Fundrise, although I would argue that it’s much less risky than going out and trying to find real estate deals on your own (unless you are qualified to do so).

I invest in Fundrise myself as a way to diversify my investment portfolio from being totally tied to the stock market. If you’d like to sign up, I’ve provided a link below!

SAFE Investment Company (China)

What Is the SAFE Investment Company (China)?

The SAFE Investment Company is the Hong Kong branch of the Chinese sovereign wealth fund. SAFE stands for State Administration of Foreign Exchange. SAFE’s Hong Kong subsidiary opened in 1997 with $20 billion in capital. Today, the SAFE Investment Company is a private company; however, officials from the Chinese State Administration of Foreign Exchange (SAFE) department serve on its Board of Directors. The fund is set aside primarily as a foreign currency reserve.

Key Takeaways

• The SAFE Investment Company is China’s sovereign wealth fund’s Hong Kong operations.
• SAFE stands for State Administration of Foreign Exchange, and the fund is currently overseen by the Peoples Bank of China (PBoC).
• The Hong Kong subsidiary opened in 1997 and focuses on maintaining foreign currency reserves.

Understanding the SAFE Investment Company

As of January, 2020, China holds approximately $3.1 trillion in foreign currency reserves. The SAFE Investment Company is able to invest in a wide variety of instruments including foreign and domestic equities and fixed income securities. The chief objectives of the SAFE Investment Company are to gain investment returns, increase diversification of holdings and to reduce China’s exposure to fluctuations in the value of the U.S. dollar. Since 1997, all SAFE operations are undertaken by the Peoples Bank of China (PBoC).

According to Bloomberg, key executives of the SAFE Investment Company of Hong Kong include Mr. Gary Hung and Ms. Leona Yeung.

SAFE Investment Company (China) and Sovereign Wealth Funds

The majority of developed nations have sovereign wealth funds that they deploy in various ways to benefit the country’s economy and citizens. As with SAFE in Hong Kong, the funding for a sovereign wealth fund (SWF) comes from accumulated central bank reserves from budget and trade surpluses.

Some countries have created SWFs to diversify their revenue streams. For example, the United Arab Emirates (UAE) uses a portion of its SWF to invest in assets separate from oil, the main driver of their economy. This helps protect the country against any oil-related risk, such as the development of alternative energy technologies. According to February 2020 rankings, the top ten sovereign wealth funds by assets under management (AUM) in billions are as follows:

1. Norway’s Government Pension Fund ($1032.69)
2. China Investment Corporation ($900)
3. Abu Dhabi Investment Authority ($828)
4. Kuwait Investment Authority ($524)
5. Saudi Arabia’s SAMA Foreign Holdings ($494)
6. Hong Kong Monetary Authority Investment Portfolio ($456.6)
7. China’s SAFE Investment Company (est. $441)
8. Government of Singapore Investment Corporation ($390)
9. Qatar Investment Authority ($320)
10. China’s National Social Security Fund ($295)

In the United States, the Alaska Permanent Fund ticks in at $61.5 billion, and the Texas Permanent School Fund has $37.7 billion. Both have strong origins in oil and natural resources and were established in 1976 and 1854, respectively.