Perhaps one of the defining — or, to put it more accurately, redefining — aspects of today’s investment environment is that people are increasingly starting to think outside the box when it comes to maximizing opportunities.
We’ve come a long way since a time when, to invest in something — if you were so inclined — you’d call your broker, and they’d advise you on a standard set of possible investment opportunities, such as stocks and bonds.
An evolution in investing
As time went on, other types of standard investment opportunities started to become popular, such as mutual funds, then REITS, and even MICs have come to the forefront in recent years.
However, one of the most fundamental changes in investing has come in the way people have come to think about investing — more specifically, the psychology of investing has changed. It’s no longer about what to do with any extra money you might have. Instead, investing has become about finding unique ways to match people who want to invest in unique and rewarding opportunities with those that are providing such opportunities.
As a result, we’re not simply seeing an evolution of investment products out there, but a change in what even constitutes an investment opportunity. That’s why the term alternative investing is becoming increasingly popular lately. Investors are breaking new ground in finding investment vehicles that are not only unique, but out-perform traditional options.
A world of opportunity
The examples of emerging alternative investments are becoming literally too numerous to count, since, by definition, an alternative investment is anything out of the ordinary. There are alternative investments that people are becoming increasingly aware of today, such as private equity and debt, venture capital, and even unique assets ranging from land and commodities to fine art and collectibles.
However, when it comes to alternative investment opportunities, forward-looking investors need more than just an imagination. They either need to do their homework to find opportunities that meet demanding investment objections, or hook up with investors and managers that do this type of investing as a matter of routine and second nature.