How to Invest in the "Core" of AI, Crypto, and Real Estate in 2026 with Dan Daly

20:21Dan Daly:Yeah, I know them well.

20:24Andrew:um okay so i'm gonna make a guess that bitcoin has um another trend that you see that's um that's powering right to kind of use the caterpillar analogy so what is what is bitcoin uh and what

20:43Dan Daly:is the theme behind that okay so the theme is there are a lot of people out there that are much smarter than me. And they run governments, they run nations, they run massive banks. When you see BlackRock that manages trillions of dollars buying Bitcoin, it's probably a good sign to buy some Bitcoin. When you see all of these world governments investing hundreds of billions of dollars in Bitcoin, it's probably a good investment, right? You're in good company. So it's no longer, you know, 2014 or 15 where your buddy's going, oh, dude, you got to see this new thing called Bitcoin. Because people told me about it then.

21:25Dan Daly:I was like, oh, it's a Ponzi scheme. Right. I was not a first wave person. I was a second wave person. Once the bigger investors that were a lot smarter than me, a lot more experienced, I mean, institutional level, started buying it. I said, all right, I'll dip my toe in. And they would buy more. I would buy more. They bought more. I bought more. None of them have sold it. Like zero have sold it, right? So it went up to a peak of about 125, 126, 127. It's back down to 77. You have to remember in 2022, it was at like 15, 16 ,000. Not a bad run from 16 to 77, whatever it's at today. When you see all of these institutions investing hundreds of billions of dollars, and they have not even unlocked 401ks or pension plans yet that can invest in it.

22:18Dan Daly:Once they do, and they will, it's trillions of dollars.

22:23Andrew:What are your thoughts on some of the other cryptocurrencies?

22:26Dan Daly:So I'll tell you what I like. Here's how I kind of look at crypto. I'm a foundational investor, so I want to invest what everybody needs. If you're a meme coin trader and you've got a portfolio of 30 of these things and you're sitting at the coffee shop just dumping in and out of them all day. You can make a lot of money if you know what you're doing, but you're all on the same highway, which is Ethereum for the most part. So I want to be on the highway that everybody's using, right? I want to be the toll booth collecting the tolls. You don't get the big upsides, but you also don't get the big downsides.

23:03Dan Daly:So it's risk versus reward. So what's the core of crypto, the core of crypto is the highway or the rails. It's Ethereum, Solana, XRP, Hyperliquid. Bitcoin is really a store of wealth. It's not a highway. And Aave, those are all of the, that's my entire crypto portfolio right there. But it's got a good chunk of change in it because I'm always dollar cost averaging on it because I believe in it.

23:32Andrew:What is it the highway for? Like whether you envision this highway.

23:36Dan Daly:Well, if you look at the government recently has tokenized and in order to tokenize, you need the highways. So everything is going on chain. So the entire stock market right now is just treasuries, which they've already unleashed hundreds of millions of dollars of treasuries that can be traded via tokenization. it is all going to be on chain the old financial system is the old financial system so what you're seeing is a complete reinvention of the entire financial system over the last 100 years basically or since 1929 right and they're paving all new highways all new rails instant transactions from bank to bank.

24:24Dan Daly:I sent a wire the other day for Chase. It took three days. I've been a Chase customer for 20 years and I sent a wire. It took three days after it being rejected twice. And then I needed to go into the bank because it was above a certain amount of money and they needed me to go into the bank. Like this is 2026, right? Like it's antiquated the current financial system. So it's changing very quickly.

24:52Andrew:Yeah. I am a owner of Visa and MasterCard, and it's interesting to hear how they are implementing some of these rails, highways, whatever you want to call it. And a lot of times we don't see it as consumers, but it is that plumbing that's getting an upgrade. So it's interesting to hear you say that.

25:12Dan Daly:That's a great, first of all, it's a great analogy of the plumbing, right? I use the highway one, but it's basically the same thing. And you look at Visa and MasterCard, how do they make their money? They make their money on charging us to use their product, their fees. And credit card debt is at one of the highest levels it's ever been in the United States. So if you want to buy something that's in a pretty good spot to make a lot of money off of fees from a lot of people, Visa and MasterCard are great buys. I like those.

25:41Andrew:Any other stocks that you're really excited about before we jump into the real estate? I'm excited to hear about your real estate ventures, but any other stocks that pop to mind?

25:52Dan Daly:No, no, is the short answer. You know, I've got the nuclear stuff. I've got some financial stuff. I've got some crypto stuff and that's, you know, that's about a 33, 33, 33 percentage of my portfolio.

26:07Andrew:Nice. So let's talk about your real estate. How did you get into that? What was the light bulb moment there?

26:18Dan Daly:So I've always been investing for years into the stock market. But I always had a majority of my money under the mattress. You know, that was kind of mentality from when I grew up is put it under the mattress, keep it safe for a rainy day. And I did that for a long time, way too long, actually. because it's not really a great idea to have all of your money sitting under the mattress, losing basically 7 % per year with inflation. I never even understood that concept, right? Which is, what do you mean I'm losing 7 %? Well, it's not worth the same anymore. And a simple analogy is where my dad says, oh, I remember when a candy bar used to cost me a nickel.

26:58Dan Daly:All right, if you save that nickel, what's it worth today? Like almost zero. So everything gets more expensive and your money becomes worth less. That's inflation. And you need to outpace it just to break even. So if inflation's at 7%, you need to make 7 % just to have your dollar in 2027 be worth the same than it was in 2026. So I had a light bulb moment back in about 2022. 22. And I said, you know, I've got all this money. And it was a lot for me, right? It wasn't a massive amount of money. But for me, I had done a pretty good job of saving my money. And I read Rich Dad, Poor Dad by Robert Kiyosaki.

27:42Dan Daly:And let me tell you, I've read the book 10 times. And even better than the book is the board game. If I could tell you to go out and spend 50 bucks on the board game, it will show you everything you need to know about investing in two hours. So, you know, grab a friend, play with two hours, and you'll see that taking your money and creating an asset out of it rather than a liability. Those are the two big things. What's a liability and what's an asset? So I understood the concept of taking your money and using it to trade it in for hard assets, and that was real estate. So there's the old theory of buying a house and living in it for the rest of your life.

28:27Dan Daly:And I did that for a long time because that's what I understood was kind of the smart thing to do, which I completely disagree with now. Now I'm a fan of buying a house and renting it to somebody else and letting them pay for it. And we can unpack that and talk about why a little bit. So I wound up renting out my property, let somebody else pay for my mortgage. So now I own a house that cost me zero because they're paying the same amount as my mortgage. And I had done a good job of paying it off. So I had about 50 % of it in equity. So let's just say the house was worth a million bucks and I had 500 ,000 of it paid off.

29:06Dan Daly:So I had 500 ,000 in equity or leverage available to me. From Kiyosaki's book, again, I took that from the bank. They said, no problem, Dan, you have this equity. We're happy to write you a check. Wrote me a check tax-free, right? Your equity in your house is tax-free. So when you take that from your house, it's tax-free because you've been paying tax on the house the entire time you owned it. So you don't get taxed on it twice. So that was a head scratcher for me. Oh my God, the bank just wrote me a check for 500 ,000 tax-free. I took that and bought three properties with it. And all of those properties have tenants and all of those properties are fully occupied and they are paid down by the tenant.

29:54Dan Daly:The tenant pays my mortgage and I make a couple of bucks on top of that every month. So all of a sudden now I've got this portfolio that all came from one house, taking a little bit of equity tax-free, using that leverage to buy other properties that are cash flowing. And that's that kind of mailbox money that they talk about, which I didn't get until 2022. So that's a, I think it's a big thing for your listeners to understand too. My dad was not in real estate. I was never in real estate. So from 2022 to 2026, I started buying properties, all of them in Europe, none of them in the United States.

30:29Dan Daly:We could talk about that a little bit too, if you want. They're all short-term rentals, all cash flowing, all booked 98 % of the time, and it's mailbox money. And that is a powerful lever when you can take your money and use it for something that is going to make you more money, as opposed to just putting it under the mattress.

30:51Andrew:98%, that sounds really high.

30:53Dan Daly:Well, because I bought in really good places. So I buy in high tourism visited areas. So if we look at Portugal, their top two cities are Lisbon and Porto. So Porto was less expensive. So I bought three properties in Porto in 2022, all one bedroom apartments that compete with hotels. So in Europe, they don't just build all these high rise hotels. They hardly build any hotels. So as tourism demand increases, they need a place to stay. So short-term rentals actually are more popular than traditional hotels are. So I bought the properties in historic city center towns right in the middle of the most popular visited places that are not seasonal.

31:42Dan Daly:So that's another big one. Do you want to buy in the beach area? Well, it's beautiful. It looks good, very romantic, but at the same time, you know, five months out of the year, it will be occupied zero percent of the time almost. So when you buy in a city, people understand that in the winter, it's going to be cold and it may snow, but they want to go see it decorated for Christmas. In the fall, it's going to be a change of season, right? In the spring, it might be a little rainy, but they're there for the historical element. They're there for the culture, for the experience, and the weather is secondary.

32:16Dan Daly:So location, location, location, the old real estate, you know, adage.

32:21Andrew:Yeah. I have heard that one before. So what made you think to buy internationally? And was it scary to, did you have to borrow money from a bank in Europe? Like, was that scary? How did that look?

32:36Dan Daly:Yeah. So I'll tell you what got me over there first. First, I started figuring out, okay, real estate, what do I even want to invest in? Do I want to invest in single family rentals? Do I want to, here in the United States, commercial, residential? I didn't even know, right? I was just learning, listening to podcasts like yours, reading books. And I crossed everything off my list except for multifamily. Multifamily appealed to me because it's one building, one location, multiple units in one location, a bit easier to manage, in theory anyway. Um, so I couldn't afford to invest in the primary cities like New York, Miami, Los Angeles, way overpriced for my budget anyway.

33:17Dan Daly:So I started looking at secondary cities like Columbus, Ohio, um, maybe just outside of Raleigh, North Carolina, right? the secondary cities just outside Nashville, Tennessee, where people are going to, people want to be, but the cost is less. And I'd find something that I really liked that was in my budget. I'd send in a lead to the broker and I wouldn't hear back for two weeks. And I, you know, send all these emails. I'm going through all day long, sitting on, you know, Crexie and all of the platforms that have all of these listings. And the brokers would finally get back to me and say, sorry, it took me two weeks to get back to you.

33:55Dan Daly:We had over 300 leads on that property and it was sold a week ago. So I was just wasting my time. I realized, you know, after about three months of pounding my head against the wall, it was the same story over and over. Everybody was competing for the same thing. So I came across a podcast called Lifestyle Investing. And it was kind of matched to my theory, which is invest in things you're passionate about and you like, and you'll enjoy investing in them more. So my five-year plan, where would I want to be? Ideally, I want to be retired. I want to be in Europe. And I might have a bunch of houses where I can travel from place to place during my retirement.

34:30And when I'm not living there, short-term rental and have somebody

34:33Dan Daly:else pay for them. Okay. So that took me over to Europe. Then I started looking at Lisbon and Spain, two expensive secondary cities, narrowing it down little by little to my funnel till I finally landed on it. And then I realized, okay, here's my target zone. I'd send an elite to a broker and in 20 minutes, my phone would ring. So all of a sudden I'm not competing with 300 people for the same property in the same place. So it gives me an advantage. A lot of people were saying real estate in Europe, how are you going to do that? You live in Los Angeles, that's impossible. I love when people say that because it just means less competition for me, because it's no different than me buying a unit in Columbus, Ohio.

35:17Dan Daly:I'm not there, right? There really isn't any difference. I still have to find a bank to be a partner, which I did in Portugal remotely. Nova Banco, they've been great. They're a great partner. 20-year mortgage, get this, 3.8 % for 20 years. It's 6.8 % in the US. So there's zero comparison. When you do the difference between 3.8 and 6.8 over 20 years. It's hundreds of thousands of dollars you save. So the banks were lending. They still are. 50 % versus the US, which is 10 to 15%, maybe sometimes 20%. So you had to come up with half. But the price point is way less. I mean, I was buying five-star, fully renovated, completely refurbished properties for$300 ,000.

36:10Wow.

36:11Dan Daly:So price per square foot is much less there. You can't buy anything in the United States that will make you money for$300 ,000. It's impossible, right? But there I go in Europe. So instead of buying one place here for a million bucks, I bought three of them there for$300 ,000 each. They have all doubled in the last three years because that city is just experiencing so much growth. I'm locked in at 3.8%. And as demand for tourism increases, so do the dials for pricing, right? So it's dynamic pricing. So it just increases the pricing as demand increases. And if you buy in the right place, demand will always increase.

36:49Dan Daly:There are certain areas that are just always going to be high draws for tourists worldwide. So that's what got me over there. Yeah. And that's everything I did remotely. Found accountants, lawyers, property managers, real estate brokers. You know, we had some turkeys in the beginning like you do in any business, right? You find some, you think they're a great fit. Turns out they're not. It's okay. Move on and find somebody else. And now we have a solid team that we've been working but for the last four years and it all manages itself at this point. Whatnot is quickly becoming the next big thing for you to pay attention to.

37:30Dan Daly:And its success isn't even slowing down over time, but it's compounding faster and faster. More and more people on this platform are making millions of dollars. And this goes from anyone small or large solo sellers or large businesses. We're all familiar with the old way of selling things. You list things one by one and you hope that the right person stumbles into the right product at the right time. WhatNot is a completely new way for this process. You sell directly to your buyers. You're able to chat live with them and answer their questions so that you make faster sales and the buyers are able to make more confident purchases.

38:02Dan Daly:WhatNot is the largest platform of its kind. It's dedicated to this live shopping experience, and it's got hundreds of categories, everything from electronics to luxury fashion to even food. WhatNot helps build real businesses in real time through live auctions with real-time chats to make sales happen. And for a limited time, WhatNot will match your first$150 sold in the first month. Visit whatnot.com slash sell to start selling. That's W-H-A-T-N-O-T dot com slash sell. Whatnot.com slash sell.

38:36Andrew:Reggie, I just sold my car online. Let's go, Grandpa. Wait, you did? Yep, on Carvana. Just put in the license plate, answered a few questions, got an offer in minutes. Easier than setting up that new digital picture, friend.

38:48Dan Daly:You don't say.

38:50Andrew:Yeah, they're even picking it up tomorrow. Talk about fast.

38:53Dan Daly:Wow, way to go. So, about that picture frame. Ah, forget about it. Until Carvana makes one, I'm not interested. Car selling made easy on Carvana. Pick up these, man, fly.

39:07Andrew:I am your stereotypical, like, super American, like, stay in the United States vast majority of my time. what is like what is the like there for government taxes things like that how is it different from here and how does that affect real estate investment over there the short answer is it

39:26Dan Daly:doesn't so portugal is reciprocal with the united states so you pay it once whatever tax i pay in portugal when i file my taxes here in the united states i show them that i paid this tax in portugal so there is no double taxation okay do they have property taxes there they do so So I will tell you my apartment property taxes are about$300 a year. How's that?

39:49Andrew:A year.

39:50Dan Daly:Not a week or a month, a year.

39:52Andrew:Yeah.

39:53Dan Daly:Insurance, property insurance is also very expensive here, right? There I pay about 150 euros a year for property insurance.

40:05Andrew:That's cool.

40:06Dan Daly:Big difference. Yeah, it sounds like. These are five-star like Ritz-Carlton level apartment buildings and apartments that you You come outside and you open the front door and you get a cup of coffee and you are in the middle of it, you know?

40:19Andrew:Right. Did you check out some of the other countries in that area?

40:24Dan Daly:I did. Yeah, I did. Spain. I looked at Spain. Spain was very tough because of their short-term rental regulations. You know, that's something that changes. So you have to be able to navigate through that. But it changes here in the United States also. Every city is always changing those, right? So again, it's the same problem or the same challenge that you would have here in the United States. You have over there, but with a lower price point, with a bigger demand and a better return on your investment. So it was a no-brainer. We looked at Spain, looked at Italy and France. The tricky parts about Italy and France, for the most part, they're very seasonal and there's a big language barrier there.

41:08Dan Daly:Portugal you can talk to nine out of ten people in the entire country and English is spoken predominantly which is another big selling point for Portugal that's that's cool um and it sounds

41:22Andrew:like a place I should go travel because it sounds you're making a good sales pitch for a vacation there uh you gotta get out there the great thing is you know if my family comes out

41:33Dan Daly:from the East coast to visit me in California, it's a six hour flight from Raleigh, North Carolina to Portugal. It's a six hour flight. So, you know, and you get to go back and experience all of that history, all of that culture, the stuff that you only see in movies, the stuff that you only see in pictures and postcards, like you, you get to live it for a brief moment in time. And once that bites you, that's it. That's when you start going back every year.

41:57Andrew:Nice. When you say short-term rentals, is that like Airbnb or what does that mean? Yeah.

42:03Dan Daly:Airbnb.

42:04Andrew:Okay, cool. So what are you doing now? Are you looking to buy more properties in Portugal? What's on the plan here?

42:16Dan Daly:Yeah. So the next plan, as you can see, I dipped my toe in with Caterpillar back in the day. And then with real estate, I dipped my toe in with buying a one bedroom apartment, short-term rental Airbnb units. And over the last three or four years, I've really grown that. And I want to do bigger projects now. And in order to do bigger projects, you need more money. So starting real estate in 2022, developing that small portfolio of properties is now transitioned to we're launching a private equity fund, which will raise$25 million. And it will be based on hospitality and tourism investing, specifically in Portugal, about 60 % of the portfolio will be in Portugal.

42:58Dan Daly:The other 40 % will be international. So it's a nice balance for the portfolio. Hospitality and tourism businesses, and it's eligible for the Portugal Golden Visa. So Portugal Golden Visa, just quickly, you invest 500 ,000 euro into an improved fund that the government regulates. And in five years, you get permanent residency for yourself and your entire family with one application. So you invest your money in the fund, you get an annual yield from the fund, you get your exit after the five years, and then you have permanent residency. So you can come and go throughout all of Europe. You can live and work in Portugal.

43:36Dan Daly:You can travel visa-free to any of the 29 changing countries throughout Europe. So it just unlocks options, right? And investing to me was always about creating options that the hedge fund guys and the private equity guys had, and they all have dual citizenship and multiple passports. And it sounds very James Bond-y and impossible. And how do you do it? No, it's not that hard. And there's a very good reason why they all do it. They're smart, and it gives them options.

44:06Andrew:Can you break that down? We don't talk about private equity much. So what can someone expect if they go into it? And then you mentioned a five-year exit. What does that mean? Yeah.

44:17Dan Daly:So private equity is basically private companies that will go in, buy a smaller company that we see as being run inefficiently or not managed properly. So I'll give you an example, hotel and tourism. We'll find a boutique hotel. Maybe it's, we call them boutique hotels in Portugal. They're multifamily properties, right? So it's an apartment building with 20 independent Airbnb units inside of it. They've been run for the last year or so by general contractors that went in and wanted to fix and flip it, priced it too aggressively for sale, sat on the market too long. So then they just licensed it for short-term rental to try and get some cashflow going to recoup some of their money.

45:00Dan Daly:But they're not in the hospitality business. That is not their area of expertise. And the other side are husband and wife, smaller mom and pop owners, right, that went in, thought it was a great dream. We're going to own a hotel. well, we're going to have these 10 units and it's going to be amazing. And they did a great job refurbishing the building, going through all the permitting. But now they're drowning in stress and money because they don't know how to run a hospitality business. That's the core, right? You better learn how to run a business if you're going to start one, specifically hospitality, because it's all about the customer experience.

45:33Dan Daly:So we identify those businesses that are undermanaged, underperforming in city center locations where we think there's upside just by implementing better management. And that's exactly what we're finding. So the fund will buy, let's say 10 of these boutique hotels. Okay. You as the investor, Andrew would invest 500 ,000 euro into the business that runs those properties. So you're investing in the hospitality and tourism business that runs those properties. Every year you'll get a check for whatever it is, let's say 7%, which is what we're performing it out to be. And then at the end, we're going to sell those properties and that business, and you'll get a return on your exit.

46:18Dan Daly:So it's like three investments in one wrapper, right? You get the golden visa for you and your entire family. The entire family, I have to tell you, is your spouse, your children, dependents, and elderly dependents. Everybody under one application, which is great. Then you're getting your check for your annual return and then at exit you're getting an additional check you know depending on how much the exit price is for so that's why golden visa has been in the news so much over the last couple years and why it's so popular is are people coming into the the fund

46:52Andrew:whenever they want or is there like a certain period where people can come in and then a certain period when people come out like how does that work that's a great question so it's two years

47:02Dan Daly:subscription. So we'll open subscription. We're launching this on about March 15th, we should launch. And it will be open for 24 months. After that, subscription is closed. We'll probably sell out the first year anyway. But if you come in on January 1st, you have to stay for five years. That's a rule by the Portuguese government. It's not our rule if you want to be eligible for gold and visa. Another investor may come in on December 31st. So he's a year behind you. so his five years is six years for you right because we're gonna it's one exit for everybody so the earlier you get in the better because sometimes it sells out but at the same time the earlier you get in the longer you may have to wait for exit so the exits all at the same time the exits are all at the same time yes okay and then is are they basically going to sell that

47:54Andrew:company to somebody else. And then that's where the money comes from.

47:58Dan Daly:So you are a private equity

48:00Andrew:guy and you understand it very well.

48:02Dan Daly:Yeah. But it's that simple, right? It's not a difficult concept. So the idea is you look at these hotel groups like Marriott, let's just use them as an example. If they wanted to build a 30 story high rise in the center of a historic city like Porto in Portugal, they're never going to be allowed to do it, right? They're not going to get the permits. The city doesn't want to change the face of the landscape and the look and feel of the city. So they're not allowing those big hotel chains to build new. So the only thing they can do is kind of gobble up a nice portfolio of properties that are already cash flowing, already being managed well, and already under one umbrella.

48:44So it gives them the opportunity to buy what they don't have the time or resources to do now.

48:53Dan Daly:Marriott is not going to go in and boots on the ground, find these little small boutique hotel apartments, manage them, get them cash flowing. But all of a sudden, when you have a portfolio that's managing 15 of them worth$50 million after five or six years, then all of a sudden it's a very attractive buy for them. So that is the, that's the plan.

49:16Andrew:Yeah, makes sense. What is the name of the fund and how can people learn more about it?

49:22Dan Daly:Yeah, so it's the Portugal Golden Visa Hospitality and Tourism Fund. Our website's the best place to learn about it. It's globalipllc.com. And I'm sure you'll have a little blurb here on the podcast. And you can email us and we'll get back to you in 20 minutes and give you some more information on it.

49:42Andrew:That's awesome. And Dan, are you elsewhere online where people can just reach out to you personally?

49:48Dan Daly:LinkedIn is the best place to find me. If you just search for Daniel Daly, Global Investment Partnership, you'll see me pop on. I've been on a bunch of podcasts like this. So it's a good rabbit hole for people to go down to find different things that talk about investing in real estate and shoot me a message or an email or connect with me. And I'm happy to get back to you.

50:11Andrew:Awesome. uh last question somebody is day one as an investor what is your parting thoughts to somebody who's just digging into this do a lot of research before you make any decisions

50:25Dan Daly:right you don't have to jump in fast because the market is is the market it will outpace all of us so start slow do a lot of research make good slow decisions that you feel comfortable with and that will get you through the times when it gets wavy. And then you can say, you know, I put in months researching this. I still feel good about it. Earnings came out yesterday. They improved year over year, but the stock still went down. What is that about, right? Fundamentally, it doesn't make any sense. So rely on your research to say, it's just the nervous Nellie's taking a little profit off the table, maybe.

51:03Dan Daly:Stick it out. I still feel good about my thesis because I spent a lot of time. So take your time and do a lot of research.

51:10Andrew:I love that. That's a great way to lead it out. And I might have to steal the whole wavy thing. It's yours. Take it because I'm going to steal your plumbing thing. Okay. Sounds good. I don't think that was mine. I think that was somebody we've had on the show before.

51:23Dan Daly:Oh, that's right. None of this is ours, right? We're all stealing from each other.

51:27Andrew:Yeah, 100%. Well, thank you, Dan, for your time. This was a ton of fun. Thanks for sharing, being transparent about your portfolio. Go check out Dan's resources. We will have links in the show notes. Go out there and invest with a margin of safety, emphasis on the safety. Have a great week and we will talk to you next time. Peace. We hope you enjoyed this content. Seven Steps to Understanding the Stock Market shows you precisely how to break down the numbers in an engaging and readable way with real life examples. Get access today at stockmarketpdf.com. Until next time, have a prosperous day.

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