What are good alternative investments?
List of Alternative Investments: The Top Seven
- Physical Real Estate. The most common alternative investment is investing in physical properties.
- Real Estate Crowdfunding.
- Fine Art.
- Peer-to-Peer Lending.
- Your Own Online Business.
- Commodities.
- Cryptocurrency.
What is interesting about alternative investments?
Alternative investments typically have a low correlation to more traditional asset classes, as discussed. Alternative assets therefore provide an opportunity for portfolio diversification, reducing overall risk exposure across investments. Many alternative assets also provide a hedge against inflation.
Why are alternative investments popular?
The Attraction of Alternative Investment Strategies As their returns tend to have a lower correlation to the standard asset classes, they are increasingly being used to both help offset market volatility and generate higher returns during periods of low yields.
What are alternative assets?
Alternative assets typically refer to investments that fall outside of the traditional asset classes commonly accessed by most investors, such as stocks, bonds, or cash investments.
What types of alternatives are there?
7 Types of Alternative Investments
- Private Equity. Private equity is a broad category that refers to capital investment made into private companies, or those not listed on a public exchange, such as the New York Stock Exchange.
- Private Debt.
- Hedge Funds.
- Real Estate.
- Commodities.
- Collectibles.
- Structured Products.
What are stock alternatives?
9 Alternatives to Investing in the Stock Market
- Real Estate.
- Your Own Home.
- Peer-to-Peer Lending.
- Gold, Silver and Other Commodities.
- Cryptocurrency.
- Art, Antiques, and Rare Memorabilia.
- Sports Cards.
- Invest in a Private Business.