ALTERNATIVE WEALTH
Investment Overview
WHAT IS ALTERNATIVE WEALTH MANAGEMENT?
Alternative wealth investments were once considered an exclusive class of investments, but the increase in the number and variety of these investments has turned them into powerful tools to help investors diversify their holdings, reduce volatility, and generate significant returns.
ALTERNATIVE VS. TRADITIONAL INVESTMENTS
ALTERNATIVE INVESTMENTS
Seeking to exploit market inefficiencies by concentrating on non-traditional assets and strategies. Alternatives are often characterised by:
· A frequent focus on market inefficiencies
· Low correlation to indices and benchmarks
· Returns primarily driven by alpha and manager skill
· Assets in private and public markets
· Potential Illiquidity (Private Placement)
· Active shareholders or market participants
TRADITIONAL INVESTMENTS
Traditional investments typically make use of public stocks and bonds, and are often characterized by:
· High liquidity profile
· High correlation to indices and benchmarks
· Returns primarily driven by underlying market beta
· Assets in public markets
· Passive shareholders or market participants