This is What Advisers Look For in Alternative Investments
Moreover, a recent (2013) analysis conducted by Franklin Square Capital Partners revealed that advisers prefer alternative-investment providers with a high level of integrity and transparency, with 92% ranking that factor as one of the top three most important criteria considered, when selecting a provider. In addition, more than 90% also said strong, consistent performance that offered steady investment returns was another essential characteristic. Another essential factor advisers look for in the alternative asset class is competitive pricing, and a product's correlation to other asset classes. Additionally, the survey revealed thirty-eight percent of the advisers said that they would choose a provider based on the liquidity of the product. These factors advisers consider when investing into alternatives are typically characteristics that investors are seeking due to the volatility and tough conditions of the financial markets.
Historically, the most profitable alternative investments have been an investment secret of high-net worth and institutional investors, but nowadays they are far more available to an eager international investment community. Alternative investments range from private equity to hedge funds to commodities to antiques and can complement a variety of investing strategies. The most important aspect to recognize, is that alternative investments are designed to complement a well-founded portfolio, rather than to serve as the focal point.
Posted by Michael Young
Labels: investment research
An entrepreneur at a young age, I began my first business when I was 9. I would sneak on to the private golf club course and search for lost golf balls in the woods and water. Some days I would find a hundred or more. After taking them back home and washing them thoroughly, I would return to the golf course and sell the balls I had found, a dozen at a time.
The point I am getting at is that I have always found unconventional ways to earn and save money.