The Alternative Investments asset class has a low correlation with traditional asset classes such as equities, bonds and property and performs strongly in both upward and downward markets.

Alternative Investments can generate returns in both bull and bear markets and have a solid long-term track record despite economic downturns.

There are numerous academic studies which show that Alternative Investments can both increase returns in portfolios and reduce risk, while at the same time offering protection against tail risks.

An analysis from Preqin 2020 showed that over a 10-year period, an average excess return was achieved compared to traditional public markets, indicating the ability to generate stable returns while managing risk. The higher returns result from the ability of Alternative Investments to operate in less efficient markets and capitalise on specific risk premiums, as demonstrated by a study from Ibbotson and Chen.

At the same time, the research findings of Ang et al., among others, show that Alternative Investments have a lower correlation to traditional asset classes and thus reduce the overall risk of a portfolio.

This makes Alternative Investments an important and valuable part of a diversified portfolio.

In combination with traditional asset classes, Alternative Investments can reduce risk and potentially increase returns at the same time.

Alternative Investments can perform well in declining markets, as their strategies enable them to achieve gains even in such markets.

There are numerous scientific studies that prove that Alternative Investments can both increase the return in portfolios and reduce the risk and have a low correlation to traditional asset classes. At the same time, they also offer protection against so-called tail risks. A study by Cambridge Associates shows this with significant excess returns in the alternative investment segment compared to traditional asset classes.

The well-known endowment funds have successfully used Alternative Investments as part of their diversification strategy for decades in order to maximise long-term returns and minimise risks.

There are a large number of different alternative investment products worldwide, including stock indices, fixed-income securities, energy, metals, agricultural products, digital assets, etc. Many of these offers have a high minimum investment amount, which makes it difficult for investors to build up a diversified portfolio in this segment. SYOS can offer you access to exclusive AI products through its worldwide contacts with top tier managers.

Trading on a regulated, liquid market strengthens credibility and trustworthiness.

The goal is to ensure that the target investment strategies are not correlated with each other, and furthermore, the AI investment segment generally does not correlate with traditional financial instruments like stocks and bonds. As is customary in the market, each target manager maintains his or her own risk management system in accordance with its definition, which limits losses.

In the last 35 years, assets under management in the AI sector have grown 1,000-fold. Currently, assets under management exceed 310 billion US dollars.