Alternative investments and why agents should take note
A good number of agents and IFAs are beginning to get involved in Alternative Investments as buyers seek lower risk, more secure, lower entry level investments and sales partners can earn good and quick commissions with emotion free product.
What are alternative investments?
Basically, alternative investments are assets that are not equity, cash, property or fixed income products. Alternatives are largely uncorrelated with these more commonly held investments, so they can be used to provide diversification
This can include hedge funds, venture capital, private equity, commodities, forex, farmland, jewelry, fine art and other hard assets.
Why the interest in alternative investments?
Actually, alternative investments are nothing new and institutional investors and high net worth individuals have long had access to alternative markets. In fact a recent report by Cap Gemini and Ernst and Young estimates that the rich put 10% of their wealth into alternatives.