JUST IN: AltExchange Wins Wealthmanagement.com’s 2024 Wealthies Awards

[InvestmentNews] Demand for Alternative Investments Points to Major Portfolio Reallocations

Changing regulations are combining with technology to potentially push $10 trillion into alt strategies by 2030.

[Originally published to InvestmentNews by Jeff Benjamin]

Like moths to a flame, financial advisers are increasingly drawn to alternative investment strategies as a means of navigating an economic environment that appears fraught with potential pitfalls.

The findings from a new study by CAIS and Mercer show that nearly 90% of advisers surveyed plan to increase allocations to alternatives over the next two years.

The traditional portfolio model of 60% stocks and 40% bonds has come under increasing scrutiny during the market and economic unrest of the past two years, and it’s not surprising to see advisers and investors diversify into alternatives. But the current swing could represent a kind of seismic shift in portfolio allocation strategies.

Zak Boca, founder and CEO of AltExchange, said the current appetite for alternatives is an extension of a trend that began taking off after the 2008 financial crisis…

“In times like these, investors want access to alternatives because they want to get out of the volatile markets,” he said.

Boca credits the increased access to alts to platforms and technology.

To read the full article, please visit InvestmentNews.