What are alternative investments?

Alternative investments generally refer to investments that serve as alternatives to traditional asset classes like stocks, bonds, or cash. They could include investments such as private equity, private credit, hedge funds, and private real estate. Alternative investments are often referred to as a non-correlated asset class since their performance does not typically move with stock or bond markets.

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What to consider with alternative investments

Can help diversify your portfolio

Alternative investments typically aren’t tied to traditional fixed income and equity asset classes which lets you gain exposure to markets and investment strategies beyond traditional ones.

Lower volatility versus open markets

While highly speculative, alternative investments can be less susceptible to market swings than traditional fixed income and equity investment options.

Potentially give you higher returns

Although alternative investments could involve substantial risks over traditional fixed income and equity investments, they can have the potential for higher returns over the long-term than traditional investments.

Alternative investments are not suitable for all investors. They may only be offered to investors who meet specific suitability and best interest requirements, including minimum assets and net-worth standards.

Questions about alternative investments? We've got answers.

Our financial advisors can help with alternative investments

Alternative investments are different than traditional assets. They’re complex and generally carry greater risk, have higher investment minimums, higher fees and expenses, and are illiquid. Because of these unique attributes, it's important for you to work with an experienced financial advisor who understands alternative investments and who can evaluate how a particular alternative investment and its features fit your individual needs and objectives.

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Ready to explore alternative investment?

Our financial advisors can help determine if you're qualified and whether alternative investments are the right fit for your investment strategies and goals.

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