Investment Strategy: Round 3 – Litigation Finance For the third iteration of my credit card arbitrage strategy, I pivoted to litigation finance through YieldStreet, targeting long-term, high-yield investment opportunities in legal funding portfolios. This approach aimed to capitalize on the consistent returns offered by litigation financing while maintaining the arbitrage advantage of low-cost credit. The […]
Investment Strategy: Round 2 – Real Estate Crowdfunding Building on the success of my first experiment, which generated $17,951 in net profit from $219,497 in balance transfers, I launched a second round targeting higher returns through real estate crowdfunding. This strategy focused on real estate crowdfunding platforms for short-term, high-yield investment opportunities. I selected Groundfloor […]
Investment Strategy Overview My initial investment strategy involved leveraging credit card balance transfers to fund investments in Lending Club. After deploying over $100,000 across multiple investments over a year, I identified several critical limitations that made this platform suboptimal for my strategy: Cash Drag: Significant delays between funding and loan allocation Tax Inefficiency: Unfavorable tax […]
According to Investopedia: Borrowing money at a low interest rate from a credit card then investing that money at a higher interest rate to try to make a profit. The lowest risk and most common type of credit card arbitrage entails taking advantage of a 0% introductory APR balance transfer offer to borrow thousands of […]
