We outline what we believe are the three main reasons why investors should consider a real assets allocation amid challenging market conditions.
Why increase or initiate a real asset allocation now?
Because of the recent decline in most risky assets, we’re seeing many investors delaying allocations to private real assets—after all, selling investments that have lost value isn’t necessarily an easy decision to make. However, from an asset allocation and risk management perspective, we’d always argue that there’s no better time than now to make strategic investment decisions and position portfolios for long-term success. Why?