With higher fees, lower liquidity and ever-transforming risk profiles, traditional hedge fund strategies are attractive to only a handful of institutional investors. But with fixed income markets serving up negative real returns, the retail market is crying out for sophisticated strategies that behave differently to their core equity allocations but without the complexity and high fees associated with hedge funds.
Alternative beta offers the right combination of high risk-adjusted return and non-correlation at a price point and liquidity level the retail market can stomach.