They know that it is a high earning field, with
typically more cash flow than some other careers.
Not exact matches
Corporate venture - capital firms that benefit from high
cash flows might be willing to spread out their investments over a few similar companies and take a back seat in terms of driving their growth, while a venture - capital firm is
typically motivated to take a
more focused and hands - on approach for its portfolio companies.
They can offer good
cash flow opportunities and diversification if you're heavily invested in financial products, but also
typically take a lot
more work.
Insurance companies
typically have
more ways to lose money than banks, and potential
cash flow mismatches in the longer liability structure require
more capital to fund potential losses.
Appreciation is nothing
more than a potential
cash flow payment
typically coming at the end of the stream so let's not get too hung up on essentially meaningless semantics.
The
cash flows for apartments and industrial properties are
typically more stable than those for office or retail, so we would expect this ordering.