Alternative investments have been gaining much interest in the past few years. So today, we are talking to an alternative investing expert and inspiring entrepreneur Stefan von Imhof. Stefan is the founder of Alts.co, a leading alternative investing community. He’s no stranger to failing and learning along the way to build a business that not only brings success but also points you towards your true north.
About Stefan von Imhof:
Stefan has always had a passion for analysis and valuations and had years of successful experience in companies like Flippa and HG Insights. He started his first business right after college, he has bought and sold many websites and newsletters. He is now is the CEO of Alts.co. Stefan is originally from Boston but now lives with his wife and Boston Terrier, Charlie, in Australia.
Types of Alternative Investments
Unlike conventional stocks, bonds, and cash, alternative investments are non-traditional investment assets. Investors that want to diversify their portfolios or look for higher potential returns frequently pursue them. Here are some common types of alternative investments:
- Hedge Funds: Hedge funds combine capital contributed by numerous investors to invest in a diverse range of strategies, such as long/short equities, commodities, derivatives and more. They frequently make use of complex investment strategies and may carry a higher risk of loss.
- Private Equity: Private equity involves investing in privately held companies that are not publicly traded on stock exchanges. Private equity funds invest in businesses with the intention of enhancing their performance and subsequently selling them for a profit.
- Venture Capital: Funds for venture capital invest in start-up businesses with significant development potential. In return for an equity participation, they offer businesses finance and expertise.
- Real estate: Investing in real estate is purchasing, holding, and maintaining assets in order to generate income or appreciate in value. This can include houses, offices, stores, and even real estate investment trusts (REITs) that are traded on stock exchanges.
- Commodities: Commodities include items like gold, oil, natural gas, agricultural products, and more that can be purchased and sold as raw materials or basic agricultural products. Through futures contracts, exchange-traded funds (ETFs), or direct ownership, investors can get exposure to commodities.
- Collectibles: Art, rare coins, stamps, wine, vintage vehicles, and other priceless tangible things are examples of collectibles. Some collectors invest in them in the hopes of making a profit because their value may rise over time.
- Cryptocurrencies: As alternative investments, cryptocurrencies such as Bitcoin, Ethereum, and others have grown in popularity. These digital currencies can be purchased, sold, and traded on cryptocurrency exchanges thanks to blockchain technology.