For most investors, their primary objective is to get a return on
investment with the least amount of risk and stress involved. Over the
last ten years, the repeated uncertainty in economic markets has led to
lower returns across many asset classes. Traditional equity investments,
such as bank deposits and bonds, have fallen to record lows, prompting
investors to use alternative investing strategies like crowd-fund
investing, commodities, private equity, collectibles, etc.; to build
their portfolio and personal wealth.
Alternative investments such
as crowd-fund investing can be a significant source of liquidity for
small cap investments. In places like Australia and many parts of
Europe, including Austria, Germany, the Netherlands, Switzerland and the
United Kingdom, crowd-fund investing has been incredibly successful.
The models applied to this investment strategy range from equity to
quasi-equity and subordinated loans, sometimes accompanied by the
addition of equity. In most instances, these types of investments
provide an ongoing cash incentive to investors, while also providing a
longer term potential. Not to be forgotten, there are many other forms
of alternative investments, such as hard assets; that have proven to
deliver consistently better returns in today's uncertain economy. Among
the many benefits of hard assets,
these investments have an intrinsic value and (in most instances) offer
investors a low-risk investment, with long-term capital growth.
Despite
the higher than normal volatility, especially for shares exposed to
growth markets, there are alternative investments that are producing
steady returns for investors; quarter after quarter. Moreover, for
investors with an income requirement, who are content to allow market
cycles to pass but prefer lower volatility, income producing assets
are one of the best available options; particularly in today's risky
global markets. Time and again, these alternative investments have
proven that they can provide investors with less risk and more returns
over the long-run.
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