Tuesday, 23 October 2012
Try Alternatives if Traditional Investments Are Not Working
Investing is a numbers game so-to-speak. Most investors are only concerned with two numbers, how much they put in and how much they get out. Financial brokers and money managers on the other hand have many more numbers to analyse and decipher on an hourly, daily, weekly, monthly and annual basis. This is the main reason why they get paid the big bucks. They are trusted to know what to do with their client's money.
Financial firms have always had number formula they followed that measure risk and reward. They look at charts and trends to get a snapshot view of how well or bad any particular investment is doing, over any given period of time, and this information helps them speculate what the future trend may be. Unfortunately, many traditional formula that may have worked in the past, have not been working in the last five years. This has caused many money managers to consider investing in alternative investments and other non-traditional options, including hard assets like container investments; for example.
Since many of the established "tried and true" investment formula have turned out to be untrue, it has led to a high level of dissatisfaction from investors, who trusted their financial advisers and investment firms; with their hard-earned money. With that being said, investors are beginning to put pressure on firms to look at other alternatives, rather than staking their fortunes on traditional investments; that don’t perform in today’s economic climate. There is an old saying that goes "if what you are doing isn't working then try something else." In the world of investing, it makes sense that alternative investments are outperforming traditional investing, then unhappy investors should seek-out the alternatives.