ADISA Conference Insights: Portfolio Construction in Alternative Assets (VIDEO) 

For many years, alternative assets were viewed as risky given their lower liquidity, less regulation, lower transparency, higher fees and limited, and potentially problematic, historical risk and return data. Yet, these assets have increasingly become a source of downside mitigation and are a strong consideration, if not a requirement, in many investment portfolios. 

At the recent ADISA conference in San Diego, Connect Money asked industry experts about their recommended portfolio construction when it comes to alternative assets, and what are their preferred investments within the sector. 

“Within the real estate place, I think the core holding should be multifamily,” said Joe Hart, Director of Capital Markets, RealSource Properties. “It has shown the best ability to weather on a risk-adjusted basis through a variety of market cycles….” 

In the video, you’ll also hear from Corey Nolen, Vice President/Wholesaling, Cove Capital Investments, LLC. about his company’s percentage allocations to alternative assets; Andy Wang, Vice President, Marketing, Passco Companies, LLC., about the firm’s preference for apartments in select regions; and Michael Underhill, Founder, CEO and CIO, Capital Innovations, LLC. On emulating the “Endowment” model for asset allocation. 

Connect with Nexpoint Advisors, L.P. Chief Market Strategist Mike Hurley, CMT by joining us at the Connect Money: Alternative Assets Conference on June 14 in Chicago at the W City Center.