Alternative asset classes are becoming more prevalent in investment portfolios, according to new research undertaken by TIME Investments.
The company questioned 200 UK wealth managers, financial advisers, discretionary fund managers, fund selectors and investment analysts, and found the majority (96%) of respondents said that their clients have an allocation to alternative investments, which include asset classes such as private equity, private credit, hedge funds, infrastructure and real estate.
Furthermore, 97% believe that the current challenging economic climate favours investments in alternatives such as real assets, and the majority of respondents (78%) said that they expect their allocation to alternatives to increase over the next 12 months.
Henny Dovland, business development director at TIME Investments, said: “Our research shows that wealth managers, advisers and investment professionals are already allocating significant proportions of client portfolios to alternative investments, with targets set to increase. This is largely driven by the prevailing economic conditions and more conventional asset classes such as equities proving highly volatile. Alternatives provide diversification and attractive yields as investors seek to weather the storm.”
