Zubair Ghias: 3 Fundamentals of Real Estate Investment

Real estate venture is lucrative when done effectively. The secret to getting those great returns lies in understanding the fundamentals of what makes a great real estate investment and focusing on investing only in the best real estates. In order to avoid common mistakes that many real estate investors make, here are three fundamentals things you ought to know about real estate investment.

1. Have a good plan with well-defined strategies
One of the main reasons why many investors lose money, whether in stocks, real estate, mutual funds or other investment vehicles is due to lack of planning. A good investment plan will help you get from where you are right now to your desired financial destination.

There are various niches and strategies you can use to accomplish your plan. A well-defined strategy of what you hope to achieve can help you decide where to look, and the types of properties that suits you best. It is also important to know that each of these strategies conveys its own rules for making profits.
2. Seek vital information

In order to succeed in real estate investment, you need to acquire vital information. Whether you are just starting or you are an experienced property investor, you have to continuously upgrade your knowledge. Make a lot of inquiries and attempt to figure out whether the property you are about to purchase is indeed worth the money.
3. Location matters most

The location of the property you want to buy is very important. The property should be in the right demographic area where employment and population are on the rise. The best real estate investment properties are ones with good locations.
Real estate investment is a long term wealth creation tool and not a get rich quick scheme.

Zubair Ghias has a bachelor’s degree in economics from the University of Chicago. He has a keen interest in residential and commercial real estate and currently runs a private equity firm.


Zubair Ghias: 5 Reasons Why Investors Make Wrong Investment Decisions

There are many reasons why investors make wrong investment decisions; these are mostly because of their actions and not necessarily because of the market. Most times, investors focus just only on investing money for gains and not on minimizing losses when an investment starts to fail.

Factors responsible for wrong investment decisions made by investors include:

1. Lack of adequate information to make smart investment decisions
Many times, investors make wrong decisions because they lack adequate knowledge to help them make good investment choices. Investors often fail to ask necessary questions, or seek professional advice in order to make smart investment decisions.

2. Lack of diversity of investment
Many investors put all their eggs in one basket. When you diversify your investment, it will help you to always make money no matter what the market brings, and you will not lose as much if a particular market fails.

3. Procrastination
Procrastination is a mistake that can easily be avoided. Sometimes, after getting all the necessary information, investors seek to wait for a right moment to invest. Although, it is good to exercise patience, but many times, investors wait for too long on the sidelines while the investment opportunity pass them by.

4. Emotion
It is difficult to make smart investment decisions when investors are emotional. Sometimes, investor’s affection for a particular investment or fear of being wrong hinders many investors from making smart investment decisions.

5. Lack of regular and proper monitoring of investment
Many investors fail to regularly monitor and review how their investments are doing. They sometimes do not realise it when their investment starts to underperform. Regular and proper monitoring of investment will help investors to know when to cut their losses.

Zubair Ghias graduated from the University of Chicago with a degree in Economics. He is the president of Acanthus Capital, LLC – A company that invests in and manages commercial and residential real estate, private equity investments, and aerospace and aviation industries.

5 Reasons Why Companies Merge or Acquire Other Companies

The terms merger and acquisition are sometimes used interchangeably, but they mean slightly different things. When one company takes over another company and establishes itself as the new owner, the purchase is called an acquisition, while a merger happens when two companies, sometimes about the same size, agrees to become a single new company, rather than remain separately owned and operated. Also, when a deal is made between two companies in friendly terms, it is often proclaimed as a merger.

Reasons why companies merge or acquire other companies include;

  1. Synergy: One of the main reasons why companies merge or acquire other companies is to create a synergy. Synergy is the concept that, the value of the combined companies will be greater than the joint value of the two individual companies. The success of a merger or acquisition deal is determined by the extent of the synergy achieved.
  2. Diversification: Sometimes, a company may acquire another company in an unrelated industry in order to diversify their investment or reduce the impact of that particular industry on their profitability. Also, two companies may merge to complement a product or service and to gain a competitive edge over other companies in the market.
  3. Survival: Sometimes, companies opt for a merger or acquisition deal in order to survive, especially during the period of global financial crisis.
  4. Economy of scale: Two companies with similar products or services can merge to reduce cost of production, and thereby maximize profit. Also, a company can buy one of its suppliers, as a means to decrease reliance and save on the margins that the suppliers are adding to its costs, or buy out a distributor so that it may ship its product at a lower price.
  5. Eliminate competition: Companies merge for the purpose of eliminating competition, and gaining a larger market share.

Zubair Ghias has a vast experience in merger and acquisition deals. He worked primarily on merger & acquisition deals while he was at JPMorgan. He graduated from the University of Chicago with a degree in Economics and currently runs a private equity firm.

Zubair Ghias: 5 Reasons Why Merger and Acquisition Deals Fail

Merger and acquisition has great benefits to offer if done right. However, research shows that about half of acquisition deals fail. Most large establishments have resources to patch things up, but the effect is far greater for a mid-market company.

Here are 5 reasons why merger and acquisition deals fail:

  1. Inadequate information about the company to be acquired: Sometimes, information provided by the target company is not complete or carefully vetted by the acquiring company. Also, significant risks and liabilities might not be presented by the target company, and there might be an unusual risk of litigation.
  2. Difference in company cultures: Often times, the acquiring company neglects the culture of the target company, and this may affect the smooth integration of the companies. Just because the two companies are similar does not mean that they possess the same culture. Chances of success can be cut short if the cultures of the acquiring and the target companies are different.
  3. Insufficient management capacity to take on the integration process: Most merger and acquisition deals fail because proper attention is not given by the management to the integration process. Also, a post-integration plan is most times not put in place prior to closing the deal.
  4. Flawed intentions: Sometimes, companies engage in merger and acquisition deals to boost their ego, rather than to use it as a business strategy. Lack of clear and concrete intentions can lead to failure of merger and acquisition deals.
  5. Paying too much for an acquisition deals: If the acquiring company fails to get a good deal structure or deal price, it will be difficult for the acquiring company to get a positive return on investments (ROI) after the acquisition.

Zubair Ghias is an economist. He has a vast experience in investment banking, and his areas of interest include real estate investment, fine art and antiques.

Zubair Ghias – The Simpler Things

Though Zubair Ghias is often known as a key player in the fast paced and highly competitive field of business financing and investing, he also likes to take it slow, and enjoy the simpler things in life every now and then. Mr. Ghias says it is important for a man to have a hobby, a way to unwind and replenish himself for the next business day to come. Mr. Ghias says it is similar to the importance of a rest day after exercising. Much like your body, your mind also needs time to rest after exertion. What helps a mind rest however, is up to the individual. Mr. Ghias himself likes to unwind by traveling. Mr. Ghias says he enjoys traveling because it is often very easy to forget how big the world really is, and that one even exists outside of your office. Zubair Ghias travels because he does not want to forget about the big world just outside his window.

Zubair Ghias believes that having a way to unwind after a long work day is the key to success both personally and professionally. Mr. Ghias himself chooses to unwind in a number of ways. As a lover of fine arts and antiques, Zubair Ghias often finds himself deep in the heart of a museum on one of his days off, exploring the Earth’s rich and wondrous past with a friend of family member. Mr. Ghias has a deep passion for art and history because they often depict the world with more truth than the world itself does. Mr. Ghias also enjoys art because it acts as a looking glass into another person’s perspective, and even their soul. Mr. Ghias says that art reminds us that though we live in one world, it is interpreted in billions of different ways.

Zubair Ghias – Goldman Sachs and Co.

Zubair Ghias has held a number of impactful and prominent positions in the financial industry, all of which has helped develop him into the person he is today. Few of these positions helped mold him into the professional he is now quite like Goldman Sachs and Co. Goldman Sachs and Co. is described by the official website for the company itself as, “The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.”. In addition, they also provide a broad range of investment banking services to a diverse group of corporations, financial institutions, investment funds and governments.

Zubair Ghias

Zubair Ghias

Zubair Ghias spent the summer of 1999 as an analyst for Goldman Sachs and Co. while he was finishing up with his degree at the University of Chicago. Mr. Ghias’s time with Goldman Sachs and Co. would be his first real world experience with a financial institution, and a defining point of his own personal and professional growth. At Goldman Sachs and Co. Zubair Ghias would be responsible for designing spreadsheets, updating databases, and even performed a procedural interview for the companies Event Management Committee regarding a Y2K Contingency Plan. It was Mr. Ghias’s preparatory experiences with Goldman Sachs and Co. that would help foster his career, turning him into the trusted adviser he is today. After Zubair Ghias’s time at Goldman Sachs and Co., he would become both an independent business owner and investor, as well as a professional outside consultant for many companies in the finance industry.