Advisors, Here's Why You Need Alternative Investments

It’s no secret that there’s a lot of competition in the wealth management space. However, given that only 39% of US workers use an advisor, according to the Transamerica Center’s 2021 Retirement Survey , there’s still plenty of room to grow.

One of the major challenges to business growth is differentiation—it’s difficult to stand out from the crowd when the scope of your services is similar to your competitors. One method to do so is to create the opportunity for your clients to get access to the alternative investment space.

The instability of the stock market has inspired investors to look beyond conventional means of growing their nest eggs, making the potentially higher returns of alternative investments particularly appealing . Through them, you can offer your clients a way to truly diversify their retirement portfolios and expand their investment opportunities with self-direction.

Alternative assets are a growing trend. The alternative investment industry is expected to grow by 59% by the year 2023 . The market for private debt in particular is expected to double its size in 2023. Alternative assets such as private equity, real estate, precious metals, promissory notes, along with a vast selection of other alternative investments can be used to build out your clients’ portfolios.

Educating your clients about alternative assets and integrating them into your investment option toolkit can be a huge boon to your business for several reasons. Doing so means you can provide your clients with an even greater level of portfolio customization and added reassurance that you have their specific interests in mind. Additionally, because knowledge of alternative assets is still a niche among advisors, you’re more likely to acquire referrals from people looking for your specific skills.

Curious to learn more? Check out Entrust’s B2B program . We designed this program to help you learn how to grow your business by providing your clients with access to  alternative assets and self-directed accounts. We also offer our specialized Advisor Portal. When your clients choose a self-directed account, this online platform makes sure you, as the advisor, can continue to provide your valuable services by managing your clients’ portfolios.