Why don't smaller investors follow what the ultra-rich are doing?

[Andrew Hogan]

There's a lot of uncertainty floating through the air recently.

When you speak to hundreds of investors each month you begin to notice trends.

With the recent down-turn in the stock market, speaking with investors recently has given me deja vu with similar conversations in 2020.

I'm seeing the most wealthy investors allocate much more heavily into tangible, cash flowing, inflation-hedged illiquid assets like our multifamily communities.

At the same time I'm seeing many smaller "retail" investors be more skittish. They want to wait for the stock market to go back up before investing away from the equities. 

Why do you think that is?

Doesn't it make more sense to cut losses and reallocate before stocks take a worse hit?