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Liquid alts will only become more in demand if the positive relationship between bonds and equities remains sticky, Harrex explained. Investors will need another diversifier, and the liquidity will only make them more attractive.
Bonds and equities are suddenly firm friends, but this is far from the first time they’ve positively correlated. And it’s not the only reason liquid alternative investments are being brought into focus as a non-correlated diversifier, managers believe.