Raising Private Money with Jay Conner

Economic Truths That Will Change Your Investment Strategy Forever with Nic DeAngelo

Jay Conner

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In a recent episode of Raising Private Money, Jay Conner welcomed Nic DeAngelo, founder and CEO of Saint Investment Group, for a deep dive into what it really takes to build wealth in today’s economic climate. With years of experience and a portfolio surpassing $200 million, Nic is a recognized figure in real estate known for his data-driven investment strategies. Their conversation unpacked critical perspectives on inflation, Wall Street, and the future of smart investing.

Navigating the Age of Inflation

Nic DeAngelo started by explaining an unsettling outlook: we are likely in the early stages of a long-term inflationary period. He pointed to America’s unprecedented government spending and ballooning national debt as major drivers. Both Republican and Democratic administrations, Nic noted, have participated in massive fiscal expansion, leading to a scenario where, for the first time in history, interest payments on the national debt could soon exceed even programs like Social Security. Combine that with an aging, risk-averse baby boomer population and ongoing money printing, and it's clear why inflationary pressures are here to stay.

This inflation isn’t just an abstract economic trend—it has tangible impacts on everyday Americans, eroding wage gains and increasing the cost of living. Nic emphasized that so far, neither political party has staged a serious intervention to address the root causes, and both raising taxes and cutting spending present tough, politically unpalatable options.

What Wall Street Is Getting Wrong

A central theme of the episode was Nic DeAngelo’s take on Wall Street’s current state. He argued that Wall Street is fundamentally broken for everyday investors. Where stock market diversification once gave Main Street a fair shot, the number of public companies has dropped by over 40% since the 1990s, and more promising companies are choosing to stay private, leaving public markets top-heavy and driven by a handful of major tech firms. This has skewed returns and made it harder for investors to rely on Wall Street for consistent growth.

Nic highlighted another concern: the market’s addiction to hype. With exuberance around artificial intelligence and other trends, prices have surged well above underlying value by most metrics. It's no longer a level playing field, and timing the market has become riskier than ever.

Why Real Estate Remains the Solution

Against this backdrop, Nic DeAngelo believes that real estate, and specifically private lending secured by real estate, stands out as a superior wealth-building tool. His conviction rests on classic economic fundamentals like supply and demand. The U.S. is short millions of single-family homes, and demand remains consistent, creating lasting pricing power and stability. While this shortage has made home buying more difficult for first-time buyers, it also means strong, long-term prospects for real estate investors.

What sets Nic apart is his approach to investing in the debt—lending against real estate rather than direct ownership. He maintains that this strategy delivers exposure to the asset class’s upside while avoiding many operational headaches. It also provides better returns than today’s traditional bonds, revitalizing the fixed-income portion of an investor’s portfolio at a time when stocks and bonds are moving in tandem, undermining the old 60/40 allocation model.

The Future: Opportunity Amidst Uncertainty

Looking ahead three to five years, Nic DeAngelo predicts that smart investors who position themselves correctly in private real estate debt and U.S. manufacturing will outperform those clinging to Wall Street’s conventional wisdom. He stressed that the largest investment groups have already moved significant resources away from stocks and bonds and into alternative assets, especially real estate.

He also addressed the role of technology, particularl