High-Net-Worth Women Are Bullish on Alternative Investments
High-net-worth female investors are displaying strong interest in alternative investments and reporting high satisfaction when they do invest in them yet nearly half remain on the sidelines, largely because their financial advisor has never raised the topic, according to new survey findings from Brookfield’s Alts Institute.
Conducted by CoreData on behalf of Brookfield’s private wealth business, the survey examined the attitudes and behaviors of high-net-worth investors in the U.S. and Canada with at least $2.5 million in household investable assets, with a focus on female investors’ relationship with alternative assets.
The findings reveal a significant opportunity gap. While 94% of female respondents said diversification is critical to managing portfolio risk and 89% described themselves as primarily focused on long-term investing only 44% currently invest in alternatives. Among non-investors, the top barrier cited was that their advisor had not discussed alternatives with them.
The advisor influence is striking. Nearly seven in 10 (69%) female non-investors said they would begin allocating to alternatives if their advisor recommended them. That figure climbed to 74% when advisors framed the conversation around a portfolio’s overall benefits rather than the specific product.
Among women already invested in alternatives, sentiment is overwhelmingly positive. A full 95% reported satisfaction with the performance of their alternative investments, 82% said they are open to investing in additional alternative asset classes they do not currently own, and 68% expressed interest in increasing their overall allocation.
“As the Great Wealth Transfer continues, women are taking on an even larger role in managing wealth,” said John Sweeney, CEO of Brookfield’s private wealth business. “Through our Women & Wealth initiative, we are committed to equipping advisors with the education and resources they need to engage women investors more effectively around alternatives.”
The survey also found that 88% of female respondents trust their advisor to make the right decisions on alternatives but still want to understand what they own, while 76% expect their advisor to stay ahead of emerging alternative investment opportunities.
