Savvy Investors Know How To Use Alternative Investments And ETFs | ETF Trends

The introduction of exchange traded funds (ETFs) mixed with the converging of alternative asset management styles has paved the way for a more informed, savvy investor.

Today, investors are becoming more aware of how to invest and do research on product options that generate higher returns quicker and within regulation standards, reports Luc Leleux at Fortis Prime Fund Solutions.

The main concern this brings up is the challenge for fund administrators and custodians seeking to accommodate different types of investment strategies on the same platform.

Regulators have understood these challenges and have created more limits for traditional asset managers with the goal of protection in mind. Such tactics are going short using derivatives, or using more regulated fund vehicles and utilizing offshore hedge fund domiciles, benefiting from new regulated investment schemes using complex alternative strategies in a protected environment.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.