Sheaff Brock is a registered investment advisory firm located in Indianapolis, Indiana. While offering a variety of traditional investment portfolio options, Sheaff Brock also offers alternative portfolios.
While the major US equity markets continued their strong performance into the first quarter of 2017, there are indications that alternative investment asset classes are growing in popularity. In fact, according to Preqin’s Investor Outlook: Alternative Assets, H1 2017, the hedge funds and the private capital market are the largest they have ever been at a combined $7.7 trillion assets under management.
Investment in alternative assets grew by more than $300 billion in 2016, with Preqin attributing this to further diversification by existing investors rather than new inflows of capital. In the Investor Outlook, Preqin outlined six alternative investment classes and listed the proportion of institutional investor involvement in each one:
1. Real Estate - 61 percent of institutional investors have a portion of their portfolio invested in real estate
2. Private Equity - 57 percent
3. Hedge Funds - 51 percent
4. Natural Resources - 40 percent
5. Private Debt - 37 percent
6. Infrastructure - 36 percent