Alternative Investments
Benefits of investing in alternatives
Because alternatives tend to behave differently than typical equity and bond investments, adding them to a portfolio may help to lower volatility, provide broader diversification, and enhance returns.
Benefits of investing in alternatives
Because alternatives tend to behave differently than typical equity and bond investments, adding them to a portfolio may help to lower volatility, provide broader diversification, and enhance returns.
Lower volatility
Alternatives rely less on broad market trends and more on the strength of each specific investment; hence, adding alternatives can potentially reduce the overall risk of a portfolio.
Broader diversification
With low correlation to traditional asset classes, alternatives can be a beneficial way to diversify your portfolio.
Enhance returns
Alternatives can improve the risk and return profile of a portfolio and enhance total return through access to a broader universe of investments and strategies.
One of the biggest differences with Alternatives vs traditional asset classes is liquidity. Traditional investments, such as stocks and bonds, are generally easy to buy and sell on the open market.
Alternative investments, however, tend to be illiquid. Real estate, private equity investments, and collectibles can take time to sell, which may not align with all investors’ needs.
Examples of alternative investments commonly used at TCG
- Private Debt Funds
- Private and Public Real Estate Funds
- Personal & Private Real Estate Holdings
- Private Equity Funds
- Digital Alternative Asset Funds or Cryptocurrencies
- Venture Capital
- Precious Metals
- Collectibles
