Bringing you live news and features since 2006 

Millionaire investors identify real estate as most popular alt asset class

RELATED TOPICS​

The majority (77 per cent) of millionaire investors say they own real estate while 35 per cent say they own a related investment, real estate investment trusts (REITs).

This is a key finding of the Morgan Stanley Wealth Management Investor Pulse Poll, a periodic survey of US high net worth investors, including a subset of households with a million dollars or more in financial assets. Questions about investments in alternative asset classes were posed only to the millionaire sample.
 
The survey found that investors who received advice from a financial advisor are much more likely to say they were knowledgeable about alternative asset classes (57 per cent), compared with those who have not received professional advice (30 per cent).
 
“This finding underscores the important role financial advisors play in providing information and education about the potential use of alternative asset classes by suitable investors in an appropriately diversified investment plan,” says Andy Saperstein, head of investment products and services for Morgan Stanley Wealth Management.
 
After real estate and REITs, millionaire investors cite ownership of collectibles (34 per cent), followed by precious metals (28 per cent), private equity (27 per cent), real assets (oil, gas, mining, 17 per cent), private real estate funds (16 per cent), hedge funds (16 per cent), and venture capital (13 per cent).
 
Asked to recall an alternative investment unaided, 77 per cent of millionaires can recall at least one (led by hedge funds, at 19 per cent), while the remainder (23 per cent) said they could not recall an alternative without prompting.
 
As with actual ownership, real estate (33 per cent) and REITs (23 per cent) lead the list of alternatives the surveyed investors expect to buy in 2014, followed by collectibles (20 per cent), private equity (19 per cent) and precious metals (16 per cent).
 
Investors who work with financial advisors say their advisors are well informed about alternative asset classes. Nearly seven out of ten (68 per cent) say their advisors are knowledgeable about alternatives, and four in ten (41 per cent) say their advisors are “very knowledgeable”.

Latest News

Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..
ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..
Calastone has published an ETF white paper which examines several of the processes that take place across the lifecycle of..
Adapting product lines to fit into changing methodologies and meet shifting demand is essential to remaining relevant in the industry..

Related Articles

Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
ETFs
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by