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I want to share a statistic with you that made me pause.

90% of individual investors will lose 90% of their capital within their first 90 days in the market.

This isn’t some internet rumor.

This is documented academic research from the University of California, and the attrition rate is absolutely staggering.

When the dust settles, less than 10% of these investors come out profitable.

And where do you think the vast majority of those lost profits go?

Straight into the pockets of the elusive 0.1%.

I just released a new video breaking down exactly why this wealth transfer happens so consistently, and more importantly, how you can flip the script and start investing like the 0.1%.

Because after years of watching capital move, both at groups I’ve advised and in my own portfolio, I have noticed two silent killers that consistently wipe out the middle class.

Killer Number One: Emotional Recency Bias.

We are biologically hardwired to believe that whatever happened ten minutes ago is going to happen for the next ten years.

When the charts flash green, people feel like a genius and buy at the absolute peak.

When the screen turns blood red, panic sets in, and they sell at the bottom just to make the hurting stop.

They essentially donate their capital to the 0.1% who were waiting patiently to buy those same shares at a steep discount.

Killer Number Two: Over-Leverage and Forced Liquidation.

People get greedy and use margin to try and skip the line to wealth.

It leaves zero room for error.

When the market takes a small breath, which is perfectly normal, their broker triggers a margin call and executes them at the worst possible moment.

So, how do the 0.1% do it differently?

Think about Ray Dalio moving to gold and bonds right before the 2008 crash while his peers called him a doomer.

Think about Michael Burry betting against the American housing market and holding his position for years while the world called him insane.

Think about Mark Cuban using a collar hedge to protect his downside right before the dot com bubble burst.

The common thread between these legends is not luck.

It is unwavering equanimity.

They don’t let the emotional part of the brain make the call.

They choose assets with built in defenses.

They choose yield over hype.

They choose infrastructure over speculation.

They focus entirely on the necessity-based infrastructure that the world simply cannot function without.

These are the exact same filters that I use to evaluate real estate opportunities that crosses my desk.

While the rest of the world gets distracted by the headlines of the week, the 0.1% are looking at the cash flow of the century.

Like Ray Dalio once said, “Patient investors have developed the stamina to sit through the red days so they can see the decades of green.”

Patient investors have developed the stamina to sit through the red days so they can see the decades of green.

-Ray Dalio, former CEO of Bridgewater Associate

I dive deep into this entire framework in my latest video.

If you’d like to review a sound offering of an operator I admire, I’d love to introduce you.

Wishing you success this week,

Andrew LeBaron

P.S. I’m active on LinkedIn. Let’s connect.

P.S.S. I’m new to YouTube. Check it out below, I’d appreciate your feedback.

THIS WEEK’S HIGHLIGHTS

  • Institutional Capital Pivots to Niche Assets: Following another quarter of plateaued returns in traditional Class A multifamily, large private equity groups are officially increasing their allocations toward alternative residential assets. We are seeing record capital flow into Build to Rent and Purpose Built Student Housing as institutions chase better yield.
    Source: National Association of Realtors (NAR) Commercial Real Estate Trends

  • The 2026 Enrollment Reality Check: Early admission data for the Fall 2026 academic year shows Tier 1 and Tier 2 universities gaining even more market share. This is rapidly exacerbating the localized housing shortages near Power 4 campuses, completely defying the national enrollment cliff narrative that the media keeps pushing.
    Source: National Student Clearinghouse Research Center

  • Rates Stabilize, Unlocking Sideline Capital: With the 10 Year Treasury finally finding a predictable range this month, we are seeing a massive wave of dry powder being deployed. Capital that was sitting on the sidelines in late 2025 is now actively hunting for off-market real estate transactions with proven operators.
    Source: Board of Governors of the Federal Reserve System

MULTI-SECTOR REAL ESTATE DASHBOARD

Click to view interactive version on site.

WHAT I POSTED ON LINKEDIN THIS WEEK

A POST I FOUND INSPIRING

FREE LINKEDIN SCRIPTS TO START INVESTOR DIALOGUES

10M Blueprint Outreach Scripts for LinkedIn.pdf

10M Blueprint Outreach Scripts for LinkedIn.pdf

9.22 MBPDF File

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This message, including any hypothetical scenarios described, is provided for informational and illustrative purposes only and does not constitute professional advice. These scenarios are hypothetical and are not indicative of any specific outcome or past performance. Results will vary based on individual efforts and external factors. We make no promises or guarantees regarding your success or income level.

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