Alternative investment is an umbrella term for a range of investments strategies and assets that may be available for certain accredited investors. Here’s a brief look at a few examples:

Hedge funds are investments that have broad flexibility in the types of trading strategies they can employ to follow their stated investment objectives.

Private equity offers an ownership interest in a company that is not publicly owned quoted or traded on a stock exchange.

Commodity pools are enterprises that attract funds from people who are looking for the pool managers to engage in commodity-related trades.

Alternative investments carry risks and may have higher fees which can reduce net returns. They also can be less transparent and more complicated than more conventional investments. If you have been considering alternative investments, it’s critical to sort through the complexity and make an informed decision.

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