alternative investments virtual webinar Towerpoint Wealth
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Virtual Webinar on alternative investments 09.23.3022

For virtually all investors, 2022 has been a challenging and frustrating year. Persistently high inflation has resulted in an environment of quickly rising interest rates, leading to a “double-whammy” of twin selloffs across both stocks and bonds. After increasing more than 31% in 2019, 18% in 2020, and 28% last year, the S&P 500, an often-cited proxy for the stock market, has declined more than 20% year-to-date in 2022 (as of 9.23.2022). And to make matters worse, the bond market, as measured by the Bloomberg U.S. Aggregate Bond Index, has suffered through declines not experienced in more than 50 years. Put differently, investing in conventional stock and bond asset classes has not worked very well so far in 2022.

Not surprisingly, these declines have led to an increase in demand for “supplemental” investment opportunities outside of these traditional areas, and have led more and more people to inquire about alternative investments.

Put simply, an alternative investment is any financial asset that does not classify as a traditional stock, bond, or cash. While they can vary widely in their accessibility and structure, alternatives can provide an opportunity to 1.) boost returns, 2.) generate income, 3.) provide potential tax benefits, and 4.) reduce risk in a portfolio. Institutions like pension funds and endowments have been utilizing them for years, and today, more and more individual investors are questioning why they have no alternative investments, and whether they should change their plan to include them. Watch this video to learn answers to the following questions:

  • What are alternative investments?
  • Is it important to have exposure to “alts” in your current portfolio?
  • Is it bad if you do not own any alternatives?
  • I heard alternative investments can be expensive – is that true? Does it matter?
  • What are the risks and benefits of adding alts to your investment strategy?

If you would like to learn more, click the thumbnail below to watch our recently-produced webinar about alternative investments.