Alternative investments provide diversification beyond traditional stocks, bonds, and cash. They include asset types like private equity, private credit, infrastructure, real assets, and liquid alternatives. These options can add value to your portfolio through reduced market correlation and potential for higher returns.
Alternatives often have low correlation with traditional assets, helping reduce market volatility.
Certain assets like real estate and infrastructure exhibit less price fluctuation.
Investments such as private equity can yield significant returns, particularly in high-growth sectors.
Real estate and private credit alternatives can generate consistent income through rents, dividends, or interest.
Liquidity refers to how easily an investment can be converted to cash.
Alternative investments are generally classified into two categories:
These are more flexible and traded publicly, combining alternative strategies with liquidity.
Examples include:
Major Companies:
These are more flexible and traded publicly, combining alternative strategies with liquidity.
Examples include:
Major Companies:
Hedge funds are pooled investment vehicles that employ a variety of strategies, involving short selling and the use of leverage and derivative instruments, to achieve high returns. Compared to traditional mutual funds, hedge funds can invest in a broader range of assets, including stocks, derivatives, commodities, currencies, and real estate. Hedge funds are usually limited to accredited investors, and require a high minimum investment or net worth.
Major Liquid Alts Asset Management Companies Approval:
Fidelity Canada is part of a broader group of companies, collectively known as “Fidelity Investments”, one of the world’s largest providers of financial services. At Fidelity Canada, they’ve been committed to helping Canadian investors build better financial futures for over 35 years. They offer individuals and institutions a range of trusted investment portfolios and services. As to hedge fund products, they are offering Canadian Long/Short Alternative and many others.
Picton Mahoney Asset Management is an investment management firm that specializes in alternative investments and portfolio construction. Their investment teams use disciplined, consistent and repeatable investment processes to create products that help investors tap into the power of alternative strategies. Picton Mahoney has launched multiple hedge fund products through the past two decades, including Picton Mahoney Fortified 130/30 Hedge Fund, Picton Mahoney Income Opportunities Fund, Picton Mahoney Long Short Equity Fund, and many others.
Private credit refers to non-bank lending provided to companies, typically in the form of loans or debt instruments that are not publicly traded. Most of private credit lending is in the form of floating-rate investments, which change as rates change, providing real-time interest rate mitigation unlike some types of traditional investments (e.g. fixed-rate bonds). Private credit has become one of the fastest-growing segments of the financial system in recent years, as investors have increasingly added it to their portfolios as a potentially higher-yielding alternative compared to traditional fixed-income strategies.
Major Illiquid Alts Asset Management Companies Approval:
Blue Owl Capital Inc. is an American leading alternative investment asset management company. Their investment capabilities span the alternative credit markets, with their Credit platform sitting at the forefront of the private credit market, allowing Blue Owl to harness the power of their collective insights and provide innovative capital structure solutions for clients.
Oaktree Capital Management is a leader among global investment managers specializing in alternative investments. Their private credit strategies seek to achieve attractive, risk-adjusted absolute returns by originating or participating in the syndication of performing debt issued by North American and European companies. Benefiting from Oaktree’s global sourcing power in both the credit and private equity fields, their investment teams pursue a fundamental, value-driven, opportunistic approach that leverages strong relationships with private equity sponsors, senior advisors and potential borrowers around the globe.
Private equity refers to investment funds that acquire private companies or take public companies private, aiming to enhance their value over time before eventually selling them for a profit. These investments are typically made by private equity firms, which raise capital to fund their acquisitions. Investing in private equity provides investors with access to opportunities that are not available in traditional stock markets. This includes investments in early-stage companies, startups, or companies undergoing transformations. These opportunities can offer significant upside potential that is not typically found in publicly traded companies, and may lead to substantial growth in portfolio value.
Major Liquid Alts Asset Management Companies Approval:
HarbourVest Partners is a private equity fund of funds and one of the largest private equity investment managers globally. Their team has been investing in the private markets for over 40 years, gaining invaluable expertise and developing long-term relationships with sought-after partners.
HarbourVest believes that private equity can create high-quality investment opportunities for any investors. These opportunities can be further enhanced by their open-ended private equity vehicle – HarbourVest Global Private Solution SICAV S.A. (HGPS). Combined with HarbourVest’s integral market risk mitigation capabilities and long-standing track record of return generation and deal flow, they believe they can create stronger portfolio returns for the valued clients.
Hamilton Lane is one of the largest private markets investment management firms globally, providing innovative solutions to institutional and private wealth investors around the world. The firm builds proprietary tools (Cobalt LP™) and partners with disruptive technology providers to help investors make informed, data-driven decisions at each step of the investment process and to drive digital transformation within the industry. As to private equity products, Hamilton Lane Global Private Asset Fund is one of which they are offering.
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