In today's market, investors are looking beyond traditional stocks and bonds for portfolio diversification. Investment opportunities are growing rapidly, and platforms like Roots, Vaulted, and Vinovest are leading the way by offering distinct ways to build wealth. Whether you're interested in real estate, precious metals, or fine wines, each platform caters to specific investor needs and preferences.

If you’re looking for a low-fee, socially impactful way to invest in real estate, Roots stands out with its unique model that aligns renters and investors toward mutual success.

For those seeking a hedge against inflation through gold and silver, Vaulted provides an accessible way to own and trade precious metals.

If you’re a connoisseur or just have an interest in investing in fine wines or whiskeys, Vinovest offers a curated experience with significant long-term growth potential.

Let’s explore how Roots, Vaulted, and Vinovest compare across five key dimensions: investment type, minimums, fees, liquidity, and returns.

Investment Type

Roots

Roots offers a portfolio of residential rental properties made up of single-family homes and small multifamily units in the greater Atlanta area. What sets Roots apart is its unique "win-win" model, where good renters (those who pay rent on time and take care of the property) also become investors in the fund. This strategy has led to low vacancy, low turnover costs, and high returns for investors.

Vaulted

Vaulted operates as a marketplace for gold and silver, giving users the ability to buy, hold, or even have physical gold or silver delivered to their homes. It provides a simple and accessible way to diversify into precious metals, a favored investment during times of economic uncertainty.

Vinovest

Vinovest offers a unique opportunity to invest in fine wines and whiskeys. The platform divides its offerings into different tiers, allowing users to invest in rare, investment-grade wines or whiskeys. Investors can either choose a managed account where experts handle the buying and selling or take full control of their portfolio through a trading account.

Minimum Investments, Fees & Liquidity

Roots

Roots allows you to invest with a $100 minimum, making it highly accessible. With no assets under management fees, Roots has a low fee structure, with only a $5 transaction fee per investment and a $3 transaction fee on any recurring investments. Early withdrawals within the first year incur a 6% fee, but after one year, there are no fees for withdrawals. 

Roots provides quarterly distributions to investors, with the option to reinvest or cash out. Liquidity is available quarterly, allowing investors to withdraw up to $100,000.

Vaulted

Vaulted’s minimum investment is $10, making it incredibly easy for anyone to start investing in gold or silver. A 0.8% premium is applied to all gold purchases and sales, while silver purchases come with a 2.0% premium. There’s also an annual maintenance fee of 0.4% for gold and 0.6% for silver. 

Investors can liquidate at any time, however the funds will become available 60 days after a sale, though earlier withdrawals require extra documentation.

Vinovest

Vinovest requires a $1,000 minimum investment for wine, with additional tiers for larger investors. For whiskey, the minimum starts at $1,750. Managed wine accounts come with a storage and insurance fee ranging from 2.25% to 2.85%, depending on the investment tier. Trading accounts include a 2.5% buy-side fee, 1% sell-side fee, and 1.5% annual storage fee. 

Liquidity tends to be low, as wine and whiskey often appreciate over many years, and Vinovest suggests long-term holding for optimal returns.

Performance

Roots

Roots had an average annual return of 17.17% as of July 10, 2024, and has returned 51.5% since inception (July 1, 2021- July 10, 2024).

Vaulted

Since Vaulted deals with gold and silver, returns fluctuate based on market performance. Over the past three years, from July 1, 2021 to July 1, 2024, gold has increased by $613.90, an annual average return of 11.29%. In the same time period, silver increased by $3.71, returning an annual average of 4.84%. Given the historical role of precious metals as a hedge against inflation, Vaulted offers a steady, albeit slower, growth opportunity.

Vinovest

Vinovest does not provide specific returns due to the highly individualized nature of wine and whiskey portfolios. However, investors who buy early and hold for several years typically see significant appreciation as fine wines and whiskeys age and become rarer. Over the last 120 years, wine has given investors an 8.5% historical annual return.

However, it's crucial to note that past performance is not a guarantee of future results. There are always risks in investing, and it's essential to understand them before investing your money.

Ready To Get Started in Real Estate?

Invest With Roots

With a $100 minimum investment and a one-of-a-kind model that creates wealth for both investors and renters, Roots is perfect for those seeking positive social impact alongside strong returns. Start investing today with just 5 minutes of your time.

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Sources

• Vaulted - FAQ
• Vaulted - Transparency
• Moneywise -Vaulted review 2024
• Silver - Returns
• Gold - Returns
• Vinovest - Pricing
• Vinovest - Invest in Whiskey
• Vinovest - How it Works
• Vinovest - How Liquid is the Wine Market
• Vinovest - Can I Sell my Wines at Any Time
• Vint - Investing in Wine
• Roots - Performance
• Roots - Social Impact

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