How You Can Keep Your Investing Portfolio Diversified
Call it economic whiplash – the buffeting your portfolio can take when inflation is up, the market is down, and who knows what is coming ‘round the corner to send your investment portfolio into a dizzying state.
But you can take measures to protect your gains by diversifying your portfolio and expanding your investment choices in places you might not have previously considered. Here are four of today’s top picks for investors looking to think outside the box and take advantage of alternative opportunities.
CARL | Minimum Investment: $20,000
A robo-advisor app, CARL aggregates hedge fund opportunities, which ultimately makes this type of investment opportunity more accessible to more people. You can take advantage of not only a low minimum investment but also access to algorithmic trading.
The platform’s flexibility allows you to browse hedge fund strategies and decide how much of your investment you would like to allocate to each platform. Another bonus: CARL provides real-time performance updates along with a range of suggested actions you can take optimize your investment portfolio.
Yieldstreet | Minimum Investment: $500 to $15,000
Thanks to the Yieldstreet platform, art, real estate, legal finance, and the like are no longer just the purview of the ultra-wealthy. Yieldstreet offers retail investors opportunities that might have traditionally been thought of as out-of-reach. The good news: Its diverse asset classes and wide range of investment minimums means you can find opportunities suited to your specific goals and needs.
Although accreditation isn’t required for all Yieldstreet offers, you’ll have access to more options if you’re an accredited investor.
You can choose from investment options that include: structured notes, single asset class, short-term notes, or a prism fund.
Structured notes are a minimum investment of $15,000 that will get you regular coupon payments and equity downside protection through thematic notes.
If you’re looking to invest a minimum of $10,000, you can invest in a range of alternative asset classes.
Take advantage of an opportunity to invest a minimum of $1,000 in three- or six-month notes with high interest rates.
A prism fund is a multi-asset class fund, available to investors without accreditation, enables you to build a fixed-income portfolio with an investment of only $500.
CrowdStreet | Minimum investment: $10,000 ($25,000 for most opportunities)
It sounds too good to be true – but it is: With CrowdStreet, you’ll have the opportunity to invest in real estate through crowdfunding, which means you can own a piece of valuable property without having to come up with hundreds of thousands – or millions – of dollars for an upfront investment.
CrowdStreet allows you to build and personalize your portfolio by:
- Investing in diversified funds made up of REITs, debt, and equity
- Using a professionally managed portfolio
- Investing directly in individual properties
In addition, you’ll receive quarterly payouts from your investment properties as well as a portion of the increased value when a property sells.
Another crowd pleaser: You’ll pay no sales commissions, transaction fees, or hidden additional fees. You will, however, be responsible for an annual fee on funds that ranges between 0.50% and 2.5%, and variable fees for direct investments will also be assessed.
FarmTogether | Minimum Investment: $15,000
Talk about landing a great opportunity: FarmTogether, an online investment platform, allows accredited investors to claim a stake in farmland located across the United States. Yes, farmland.
How is it possible? The company makes investing in institutional-quality farmland easy by removing the many barriers to entry that previously rendered this type of investment out of reach.
With FarmTogether, you can expect:
- Simple, low fees
- A seamless investment process
- Carefully vetted and diverse assets that fit a range of portfolio needs (only 2% of reviewed deals are accepted)
- Hold periods that range from 5 – 12 years, on average (annual liquidity windows are available for earlier exits as needed)
FarmTogether also offers a program for investors looking to own the entire farm outright, and can accommodate 1031 exchanges. It’s little wonder that interest in FarmLand is growing fast.