Alternatives can provide investors with many different types of solutions, depending on whether they’re seeking income, a reduction
in volatility or greater returns. Investors who are looking for yield or income may find opportunities in private credit — lending directly to midsize companies who can’t tap the commercial
credit markets — and in real estate. Both types of investments may be able to offer current income, that is, regular payouts to investors. Investors seeking to diversify portfolio returns from
the equity market may want to consider hedge funds, particularly equity long-short funds, which hold both long and short positions in the stock market and are positioned to mitigate market
volatility and limit downside risk. For those looking for higher growth strategies, we’re seeing a lot of interest in private markets — that is, investments in companies that aren’t publicly
traded — especially growth equity, which is investing in established, private companies needing funding to capitalize on growth
opportunities.