A new edition of IFSL’s report on International Private Wealth Management shows that alternative investments, such as hedge funds, private equity and equity derivatives, are becomingly increasingly important to the wealthiest individuals with over $1m of assets to invest. Alternative investments accounted for 14% of their asset allocation globally in 2004 up from 10% two years before.
The global market for wealthy investors with over $1bn of assets to invest rose by 8% in 2004 to reach over $30 trillion for the first time. This followed a 7% rise in assets in 2003. Both years have represented a pick up from the previous period of slow growth, with recovering equity markets playing their part.