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Introducing The Alts Institute Alternatives Implementation Survey
Global research among wealth managers and gatekeepers highlights growing interest and use of alternatives as they are increasingly considered an important component to high-net-worth investors’ portfolio strategy.
The rapidly expanding alternatives marketplace has reshaped traditional portfolio strategies and created new opportunities for advisors and investors alike. Our original research underscored the critical role advisors play in helping investors understand, access and use alternatives. Our latest study among wealth managers and fund selectors reveals that more nuanced client conversations are emerging as alternatives are viewed as an avenue to hedge risk and meet distinct investing goals as part of a total portfolio strategy.
Our global survey of 600 wealth managers with an average firm AUM of US$657 million and 60 fund selectors provides insights into alternatives’ role in portfolios, how they are enhancing client-wealth manager conversations around portfolio construction and what alts leaders are doing to effectively incorporate alternatives into client portfolios.
Survey methodology is found at the bottom of this page.
Understanding Today’s Alternative Investors
As alternatives become increasingly important to investors’ portfolios, understanding investors' distinct attitudes, beliefs, and motivations around alternative investments can help financial professionals and clients have more meaningful conversations. A segmentation analysis of the North America and Asia high-net-worth investor surveys revealed three archetypes.
Alts Champions
Ready and Eager to Expand Alternatives Footprint
Key Characteristics
- Focus more on upside potential than downside risk
- Believe alternatives are essential to a successful portfolio strategy
- Want greater variety beyond their current portfolio holdings
Working with Alts Champions
- Provide knowledge and guidance on new alternative investing opportunities
- Explain products or strategies in depth, with a focus on the benefits of alternatives to their portfolio
- Stay “ahead of the curve” on alternatives
Emerging Adopters
Open to Increasing Alts Allocation, Seeking Deeper Insight
Key Characteristics
- Focused on the long term and have a favorable view of alternatives generally
- Comfortable with illiquid investments as long as they can redeem within a reasonable timeframe
- Interested in investing in alts or putting more money into alts and many are willing to allocate as much as 20% to the asset class
Working with Emerging Adopters
- Offer more in-depth knowledge about alternatives and address common misconceptions (e.g., long timeframes and illiquidity)
- Talk about different alts vehicles across public and private markets that align with their risk tolerance and can mitigate liquidity concerns
- Bring alternative investing opportunities that align with their interests
Traditionalists
Willing to Invest in Alternatives, Want Advisor to Make a Strong Case
Key Characteristics
- Focused on the long term and growing their portfolio while keeping an eye on income and capital preservation
- View alternatives more as a diversification tool than a core portfolio holding
- Less knowledgeable about alternatives but willing to invest if their advisor makes a good case for using alternatives in their portfolio
Working with Traditionalists
- Provide education about the benefits of alts and the growing universe of alternatives, including opportunities without long lockups
- Show how alternatives fit with personal goals and interests
- Start with small initial investments and increase exposure after demonstrated success
Survey Methodolgy: Brookfield commissioned CoreData Research to conduct an online survey of 600 wealth managers with an average practice AUM of US$657 million and "60 fund selectors in the US, Canada, the U.K. and Switzerland responsible for evaluating alternative asset managers and products for firm platforms regionally and globally from February to April 2026.
The Alts Institute Alternative Investing Survey responses reflect the views of participants at the time of the survey and may not be representative of all investors. The results presented herein are not indicative of future outcomes or investment behavior. This material is provided for informational and educational purposes only.
Risks to consider: Investing in alternatives entails risk and may not be suitable for all investors. Alternative investments can be illiquid due to restrictions and the lack of a secondary trading market. Before investing in alternatives, investors should carefully consider their investment objectives, time horizon, tax sensitivity and risk appetite. There is no assurance that an alternative investment's objective will be achieved. Investors could lose all or a substantial amount of their investment. Investors and advisors should understand how each investment supports their overall goal and take a diversified approach when adding alternatives to a traditional portfolio.
