Alternative assets

Old assumptions about investing have weakened in recent years. Government bonds and shares no longer reliably cushion portfolios when markets turn hostile, and assets that normally move independently can start moving together under heavy strain. Guy Fraser-Sampson argues that alternative investments are moving from optional extras to core holdings, and that this shift brings complications. It also requires rethinking familiar yardsticks such as risk and return, since several alternative categories resist standard performance measures. Mastering these asset classes is presented as a practical necessity for anyone managing money in this environment.

The book is written as a practical guide to deciding where capital should go in this changed landscape. It offers a primer on each alternative asset class, weighing the advantages and drawbacks of each, explaining how to implement it, how to analyse returns, and what it costs in fees. Readers also get a starting point for setting investment targets and for fitting alternatives into the wider allocation process.

Each chapter supplies background on one asset type and asks whether it can deliver a satisfactory beta return, that is, a return tied to broader market exposure. Where such a return is possible, the chapter explains the different routes investors can use to reach it.

Fraser-Sampson is an author who writes on investment, and this title looks at the alternatives market from a perspective shaped by the financial crisis. It is intended for investors and professionals who want advice on navigating the newer, more complex range of alternative investments.