Advisers are seeking clear and straightforward alternatives products, says Financial Advisor, citing a BNY white paper.
After BNY surveyed more than 100 U.S. wealth managers, the results showed that 44 percent found it more difficult to research alternative assets than traditional products. Managers are looking for simple strategies, and many are turning to REITs (real estate investment trusts) and hedge funds, due to familiarity and ease of access.
“Part of it is finding strategies that are straightforward to understand because it’s not just only the financial adviser that needs to understand it, but then going beyond that, they need to communicate it to their end investors,” said Aaron Steinberg, head of prime services sales and capital introductions at BNY, in a statement.
Wealth managers are interested in increasing their allocations to alternative investments, but they face challenges when trying to enter. They face an increased level of diffic
