Real Asset Investments may not offer the same level of liquidity or flexibility as investing in the equity or bond markets however, they can offer higher levels of control, transparency and ownership percentage.
Real Assets, described as those assets that can be assigned a value due to their substance and properties and would typically include assets such as oil, real estate, commodities, infrastructure, energy, utilities and precious goods. Real Assets, in some cases also referred to as Alternative Assets, are generally part and parcel of a well-diversified investment portfolio and would typically be dependent on the risk tolerance, liquidity requirements and investment period mandated by the investor.
Following the financial crisis and as stock markets fail to provide the desired returns, investors are becoming increasingly interested in Real Assets. Although, in Europe we are facing low inflation, with some countries even experiencing deflation, Real Assets are still seeing an increasing level of investor cash.
Long term investing is key to building a sustainable performance and Real Assets are generally an accepted strategy for long-term investing.
Given the longer term, higher levels of control and transparency, not to mention the sensible and sustainable returns, we are particularly keen to build this offering as a core investor / client service.