Unlike traditional investments, alternative investments are not regulated by the SEC. Therefore, they lack transparency and regulatory filings that give investors insight into the risks and returns. Furthermore, some alternative investments are not publicly traded and may be difficult to sell or liquidate. Private equity funds and hedge funds, for...

Alternative investment funds often leverage their assets to achieve higher returns. However, this can result in enormous losses. Some hedge funds have collapsed due to leveraged bets. In addition, the performance of alternative funds is highly dependent on the experience and competence of their managers. Performance can vary widely between...

An alternative investment is a type of investment that has no direct relationship with traditional asset classes such as stocks and bonds. Generally, these investments are illiquid and complicated. They require specialized teams and sophisticated software to monitor profitability. They are also subject to some level of regulatory scrutiny, but not...