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Wealth Managers' Past Investment Satisfaction and Future Plans

by Claire McNeil

  • 10 Jul 2012
  • PE
  • HF
  • RE
  • INF

In a recent survey wealth managers actively investing in alternative assets were asked to rank their satisfaction with past investments as well as their plans for the future in the alternatives universe.

Results show that the majority of wealth managers are content with their investments in alternative assets, with 69% of respondents outlining that such investments have met their performance expectations, and a further 6% stating that their alternative investments have exceeded expectations. On the other hand, a quarter of wealth managers expressed that their allocations to alternative investments fell short of their expectations.

In terms of plans for future allocations to alternative investments, the majority of wealth managers anticipate they will increase the amount of capital allocated to alternative assets in the coming 12 months compared to the previous 12 months. Fifty-three percent of respondents expressed that they expect to increase or significantly increase their exposure to alternatives in the coming 12 months. A further 3% of wealth managers that did not allocate capital to alternatives in 2011 intend to do so in the next 12 months. A mere 6% of wealth managers anticipated decreasing their commitments to alternatives over the coming 12 months, and no respondents expected to significantly reduce their allocations.

This positive outlook towards alternative investments is promising for the alternatives industry, with the majority of this group of private investors anticipating an increase in capital allocated to alternatives.

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