My latest for Alpha Baskets revisits whether investors should have alternative investments in their portfolios. This something we’ve looked at many times because I believe when used properly they can be very effect in smoothing out the ride for a diversified portfolio.
From the post;
The Wall Street Journal ran an odd point counter point on whether investors should use alternative investments in their portfolios. The ‘pro’ argument gave the argument you would expect about reducing volatility and also looked at the democratization of the space through ETFs and mutual fund. The ‘con’ argument basically said that alts weren’t all that but then focused on the logistical obstacles for funds not target by mutual fund companies; lack of liquidity and lack of transparency.
Please click through to read the rest.