As part of a thoughtfully constructed portfolio, alternative investments have the potential to provide above average returns and could even reduce your overall portfolio risk because they are less likely to move in tandem with stocks and bonds.
What is a "Multi-Alternatives Portfolio"?
A multi-alternatives portfolio brings together a range of alternative assets and strategies in a single operationally efficient and cost-effective portfolio solution. With this strategic diversity comes the potential to capitalize on prevailing opportunities among different alternatives throughout various market environments.
An added benefit is that the portfolio manager undertakes both allocation and manager selection decisions, seeking to identify and invest in the top managers of each investment discipline. This is where the skill and experience of the portfolio manager becomes paramount. For many alternative categories, there has been a much wider range between the best- and worst-performing managers compared to the range of performance between traditional stock and bond managers.
Making the Decision to InvestA multi-alternatives portfolio can serve different purposes for different investors, including:
- Complete Alternatives Allocation: Can be a portfolio's entire allocation to alternatives, offering professionally managed exposure to a broad array of strategies, assets and managers.
- Core Foundation in Alternatives: Can be used to establish a core foundation in alternatives while adding other specialized investments to weight the portfolio towards a particular investment objective.
A multi-alternatives portfolio may provide an attractive complement to traditional stock and bond investments in individual investor portfolios. Please consult with your financial professional regarding BlackRock alternative investment products and services that fit your overall asset allocation plan and risk profile.
Why Choose BlackRock?
With over $104 billion of assets under management in alternative investments,* BlackRock is a preeminent provider of diverse alternative investments strategies globally, including hedge funds, private equity, real estate, commodities, currencies, infrastructure, renewable energy and other special opportunities. Please consult with your financial professional regarding BlackRock products and services that are available to you and that fit your overall asset allocation plan and risk profile.
* As of September 4, 2012.
Multiple alternatives in a single core, registered fund
Utilizing alternative investments involves substantial risk and presents the opportunity for significant losses including in some cases, losses which exceed the principal amount invested. Alternative investments have experienced periods of extreme volatility and in general, are not suitable for all investors.
Please consider the investment objectives, risks, charges and expenses of each fund before investing. For mutual funds and registered alternatives funds, the fund's prospectus and, if available, the summary prospectus contain this and other information about the fund. You can obtain a prospectus and, if available a summary prospectus by calling 800-882-0052 or from your financial professional. To obtain information about privately offered funds, please contact your financial professional to obtain fund offering documents. The prospectus or offering documents should be read carefully before investing.