We've noted the long-running debate about whether the accreditation requirements for hedge fund investors ought to be lowered. For many the rules strike a paternalistic note: The non-wealthy can't comprehend the risks. That has galled many over the years in part because they think most of the public is being denied access to really good investments. The latest from JPMorgan Private Bank, according to FINalternatives, is that clients are cutting equity allocations and boosting their share of alternatives, sometimes putting more than half their money into hedge funds, private equity funds and real estate. Within five years, most clients will have larger alternatives allocations than equity allocations. Does this reflect the superiority of alternative investments? Or aggressive sales practices? You can bet the advisers are making out well for pushing certain funds. Or a bit of both?
For more:
- here's the article [1] from FINalternatives
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