Know your alternatives

Know your alternatives

Education > Know your alternatives

Know your alternativesTM

There’s more to investing than the traditional 60/40

What are alternative investments?

Alternative investments are assets that don’t fit into the traditional categories of stocks, bonds and cash but have proven to help enhance returns or diversify portfolios over time.

They can include everything from hedge funds to real estate to private credit and private equity to art and collectibles. These investments are often less liquid than traditional assets, meaning they can’t be easily bought and sold on public markets. However, they can offer higher potential returns or lower correlation to the stock market, making them a valuable addition to any portfolio.

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Alternative asset classes + strategies

Explore the diverse universe of alternatives, spanning across a broad range of asset classes and investment strategies. 

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Alternative investment structures + offerings

Learn how it’s now easier for individual investors to access alternatives through innovative investment structures.

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Invest for outcomes

Identify alternative investments that may help deliver differentiated outcomes for investors to help reach their financial goals.

Investor considerations

Investing in alternatives is different than investing in traditional investments such as stocks and bonds. Alternatives tend to be illiquid and highly specialized. In the context of alternative investments, higher returns may be accompanied by increased risk and, like any investment, the possibility of an investment loss. Investments made in alternatives may be less liquid and harder to value than investments made in large, publicly traded corporations. When building a portfolio that includes alternative investments, financial professionals and their investors should first consider an individual’s financial objectives. Investment constraints such as risk tolerance, liquidity needs and investment time horizon should be determined.

Diversification does not ensure a profit or guarantee against a loss.

This information is educational in nature and does not constitute a financial promotion, investment advice or an inducement or incitement to participate in any product, offering or investment. FS Investments is not adopting, making a recommendation for or endorsing any investment strategy or particular security. All views, opinions and positions expressed herein are that of the author and do not necessarily reflect the views, opinions or positions of FS Investments. All opinions are subject to change without notice, and you should always obtain current information and perform due diligence before participating in any investment. FS Investments does not provide legal or tax advice and the information herein should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact any investment result. FS Investments cannot guarantee that the information herein is accurate, complete, or timely. FS Investments makes no warranties with regard to such information or results obtained by its use, and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information.

Any projections, forecasts and estimates contained herein are based upon certain assumptions that the author considers reasonable. Projections are necessarily speculative in nature, and it can be expected that some or all of the assumptions underlying the projections will not materialize or will vary significantly from actual results. The inclusion of projections herein should not be regarded as a representation or guarantee regarding the reliability, accuracy or completeness of the information contained herein, and neither FS Investments nor the author are under any obligation to update or keep current such information.

All investing is subject to risk, including the possible loss of the money you invest.

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