While pension & endowment funds recognize the importance of diversification by including private debt and real estate in their portfolios, retail investors have a difficult time accessing alternatives to stocks and bonds. Private debt and real estate may provide portfolio stability and offset the volatility in equity and fixed income markets.
Faced with increasing interest rates, investors are struggling to find yield without increasing risk as traditional bonds no longer work. Pension and endowment funds have been shifting from publicly traded fixed income investments to private debt to enhance returns.
Rockridge is the solution.
High-interest rates during the 80s and 90s supported the case of the “balanced” portfolio. Today, volatile equity markets coupled with increasing interest rates and low return bonds have created headwinds for the investment community.
Factoring and Real Estate, Mortgage Investment Corporations and Bridge Loans may provide portfolio stability with equity type returns.