Alternative fund

What is an alternative fund?

An alternative fund allows investors to add another type of investment to their portfolio by offering a broader range of diversified investments. It is designed to withstand the turbulence of equity and bond markets and to offer potential returns.

The types of investments offered by alternative funds can include:

Private equity (investments in unlisted companies)
Corporate loans
Infrastructure projects (power grids, dams, wind farms)
Commercial real estate (offices, shopping areas)
Art, collectibles, and cryptocurrencies
Commodities (oil, agriculture, industrial metals)

An alternative fund is a fund managed by an alternative management department, which defines itself as independent management from market indices and performances. The management of such a fund is characterized by an absolute performance objective within predefined risk conditions.

Why invest in an alternative fund?

• Diversification: since alternative investments do not necessarily move in the same way as traditional investments, they could potentially help stabilize their performance and offset market volatility in a portfolio.  
• Resilience: if markets behave unusually, alternative investments could potentially have greater resilience.  
• Innovation: these funds seek to offer new and innovative investment opportunities.  

This type of management relies on strategies and tools that are both diversified and complex. It is therefore a type of management that, by nature, remains reserved for "informed" investors (institutional investors, "professional" investors, etc.).