What is Alternative Investments? Definition and meaning

Alternative Investments

Definition: Alternative Investments is an umbrella term in investing indicating all asset classes other than the traditional (conventional) ones, being Stocks, Bonds, and Cash. Alternative Investments include Hedge Funds, Private Equity, Commodity, Real Estate, Infrastructure, Structured Products, and others (like Antiques and Collectibles). They can be tangible (e.g., real estate, metals, antiques) or intangible (e.g., hedge funds, derivatives, copyrights).
Most alternative investment assets are held by institutional investors and accredited, high-net-worth individuals due to their complex nature, lack of regulation, and degree of risk.

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