Diving into alternative investments can be a daunting prospect, but a rewarding one for advisers looking to supplement their growth sleeve and add fresh diversifiers. A panel discussed some tips for those starting out on their alts journey.
Advisers may be holding back from private equity investment because they have an exaggerated view on the liquidity risks involved, but providers offer more liquidity now than ever, and smart advisers are capitalising on this.
You don’t need the world to end to start investing in stressed and distressed debt, according to RBC BlueBay, but it helps. And what looks to be a multi-year uptick in defaults is creating plenty of opportunities.
Lack of liquidity and transparency have long been sticking points in retail uptake of private equity, but the industry is changing its ways even as an education challenge remains.
An elevated market is a good thing, but investors that take a valuation mindset into asset allocation need to be wary of what that means for prices. “Chasing momentum” is a real danger, says Australian Ethical’s Mark Williams.
For investors thinking holistically about future wealth, adding B Corp accreditation to the provision of investment and education bonds makes a compelling offer.
There are far simpler avenues to overseas diversification for your SMSF than property, but if you are going to take this complex, and somewhat risky route, you better do your homework.
Berkshire Hathaway is built to last, and probably will, with low debt levels and a vast waterfall of earnings that both insulate it against market mania and give it the capacity to act decisively during it. But when your market cap is nearly a trillion US dollars, there’s few deals that can truly move the needle.
It’s not always about finding companies that have the biggest market share or the ones that dominate the headlines. For true value investors, the key is to select companies whose forward value is fundamentally underappreciated.
Key to the ongoing survival of Foresters, the CEO explained, has been the ability to continually reinvent its product offering over generations while retaining its core ethos of being a member-owned friendly society.
