Real estate: Essential component of complete asset portfolio

15 May 2023 CW Team

One of the primary advantages of real estate investment is the potential for appreciation in value over time. Historically, real estate values have tended to increase over the long term, although there can be fluctuations in the short term.

Additionally, real estate can provide a stable source of income through rental payments, which can help balance out a portfolio that includes more volatile investments like stocks.

Another advantage of real estate is its potential for diversification. Real estate investments can be made in a variety of asset classes, such as residential, commercial, industrial, and retail properties, as well as in different geographic locations. This can help reduce the overall risk of a portfolio by spreading investments across different sectors and markets.

However, real estate investments also come with their own set of risks and challenges. Property values can be impacted by factors such as economic conditions, interest rates, and changes in zoning or land-use regulations. Additionally, property management can be time-consuming and require specialised knowledge and skills.

Overall, real estate can be an important component of a well-diversified investment portfolio, providing potential for appreciation, stable income, and diversification. However, it's essential to carefully consider the risks and challenges before making any investment decisions.

ABOUT THE AUTHOR:
Dharmesh Shah is CEO of Hero Realty, the real estate arm of Hero Enterprise. Hero Realty developed approximately 150 acres of residential townships in Haridwar along with 230 acres of industrial parks in Haridwar itself. Also developing around 6 million sq. ft. in Ludhiana, Mohali and Gurugram, under the brand name – Hero Homes.

Real estate can be an essential component of a complete asset portfolio, providing diversification, stability, and potential for long-term growth. Real estate investments can be made in various forms, including direct ownership of property, investment in real estate funds, and real estate investment trusts (REITs). One of the primary advantages of real estate investment is the potential for appreciation in value over time. Historically, real estate values have tended to increase over the long term, although there can be fluctuations in the short term. Additionally, real estate can provide a stable source of income through rental payments, which can help balance out a portfolio that includes more volatile investments like stocks. Another advantage of real estate is its potential for diversification. Real estate investments can be made in a variety of asset classes, such as residential, commercial, industrial, and retail properties, as well as in different geographic locations. This can help reduce the overall risk of a portfolio by spreading investments across different sectors and markets. However, real estate investments also come with their own set of risks and challenges. Property values can be impacted by factors such as economic conditions, interest rates, and changes in zoning or land-use regulations. Additionally, property management can be time-consuming and require specialised knowledge and skills. Overall, real estate can be an important component of a well-diversified investment portfolio, providing potential for appreciation, stable income, and diversification. However, it's essential to carefully consider the risks and challenges before making any investment decisions. ABOUT THE AUTHOR: Dharmesh Shah is CEO of Hero Realty, the real estate arm of Hero Enterprise. Hero Realty developed approximately 150 acres of residential townships in Haridwar along with 230 acres of industrial parks in Haridwar itself. Also developing around 6 million sq. ft. in Ludhiana, Mohali and Gurugram, under the brand name – Hero Homes.

Infrastructure Urban

29 Oct 2025

Designing Tomorrow: Amaravati’s Net Zero Landmark

Amaravati has achieved a defining landmark in India’s sustainable infrastructure journey with the inauguration of the APCRDA Project Office, the nation’s first government building to earn the IGBC Net Zero Energy Rating – Design Stage. Conceptualised by the Andhra Pradesh Capital Region Development Authority (APCRDA) and certified by the Indian Green Building Council (IGBC), the project exemplifies how governance, design and innovation can converge to deliver measurable environmental impact.A vision rooted in sustainabilitySet within a 4.3-acre site along the Seed Access Road in the Amar..

Real Estate

29 Oct 2025

Pidilite Elevates Construction with PPS

Pidilite Industries introduced Pidilite Professional Solutions (PPS) — a dedicated vertical for the construction and interiors ecosystem — at ACETECH Bengaluru 2025. Designed to empower architects, developers, contractors, and interior specialists, PPS delivers comprehensive support that extends far beyond products to ensure project excellence from concept to completion. Kavinder Singh, Joint Managing Director, Pidilite Industries, noted, “At Pidilite, we believe in enabling the construction fraternity to build boldly and sustainably. With Pidilite Professional Solutions (PPS),..

Infrastructure Transport

29 Oct 2025

Punjab, Centre Fast-Track Rajpura-Mohali Rail Line Development

The central government has fast-tracked the construction of the Rajpura-Mohali rail line to enhance connectivity in Punjab. This ambitious infrastructure project, aimed at improving transportation links between Rajpura and Mohali, has been identified as a key step in fostering regional economic growth. Union Minister for Railways, Ashwini Vaishnaw, announced the project’s acceleration during a recent assessment of the area. The rail line is expected to play a significant role in reducing travel time, promoting industrial growth, and boosting logistics efficiency in the region. The project,..