VIDEO

ALTERNATIVE INVESTING

Alternative investments are different from conventional investments, but can help investors to diversify, generate income, and increase their returns in a low rate environment. In this video we describe two different types of alternative investments and what they do.

Learn more below

An alternative investment is a financial asset that doesn’t fall into one of the conventional equity, income or cash categories. 

At BlackRock we classify them into two types.

The first type are private vehicles that invest in non-traditional assets, such as private equity, private credit, infrastructure and private real estate. They are more complex and less frequently traded than public stocks or bonds and give investors access to additional sources of return. Hedge funds, the second type, operate mainly in public markets and invest in traditional assets using non-traditional methods, such as short-selling and leverage.

Alternative Investments look to

exploit inefficiencies in markets by focusing on non-traditional assets and investment strategies characterized by potential illiquidity Invest in assets in private and public markets Provide low correlation to markets Invest with active ownership and a focus on driving terms

alternatives can be a powerful tool to boost returns in a low rate environment, generate income, achieve greater diversification than traditional investments and dampen volatility.

An alternative investment is a financial asset that doesn’t fall into one of the conventional equity, income or cash categories. 

At BlackRock we classify them into two types.

The first type are private vehicles that invest in non-traditional assets, such as private equity, private credit, infrastructure and private real estate. They are more complex and less frequently traded than public stocks or bonds and give investors access to additional sources of return. Hedge funds, the second type, operate mainly in public markets and invest in traditional assets using non-traditional methods, such as short-selling and leverage.

Alternative Investments look to

exploit inefficiencies in markets by focusing on non-traditional assets and investment strategies characterized by potential illiquidity Invest in assets in private and public markets Provide low correlation to markets Invest with active ownership and a focus on driving terms

alternatives can be a powerful tool to boost returns in a low rate environment, generate income, achieve greater diversification than traditional investments and dampen volatility.

Learn more about investing in alternatives.

Sign up to receive BlackRock Insights straight to your inbox

Please try again
First name *
Please enter a valid first name
Last name *
Please enter a valid last name
Email address *
Please enter a valid email
Investor type *
This field is mandatory
Company
This field is mandatory
Job title
This field is mandatory
Location *
This field is mandatory
Thank you
Thank you
Thank you for signing up.Please expect an email within 24 hours confirming your subscription status.

If you do not receive an email, please contact us at latam@blackrock.com