Alternative investments can be complicated, risky; stick to simple products

The exclusiveness of the products gives them a high, making them believe they are smarter and more evolved investors

Most ultra-high net worth individuals’ (UHNI) portfolios usually contain alternative investment products like market-linked debentures, real estate funds, private equity (PE) funds, and so on. Wealth management firms sell these products to investors, marketing them as exotic instruments that are available only to a select few. They also tell investors that these alternative products have the potential to give higher returns and will help in portfolio diversification.

High net worth individuals (HNIs) get swayed, especially when they see other wealthy investors putting their money in such instruments. The exclusiveness of the products gives them a high, making them believe they are