Many wealth managers rely exclusively on stocks and bonds to build portfolios for their clients. We go further, scouring the earth for attractive private investments, including direct real estate, private lending and other alternative asset classes not typically available to most individual investors. These private alternative investments have the potential to enhance your portfolio returns and provide you with tax advantages. By adding diversification to your portfolio, they can also reduce your investment risk.
We’ve been refining the use of private alternatives in our clients’ portfolios for more than 25 years, building a base of real-world experience and a considerable track record. We’re experts at leveraging this useful asset class to complement our clients’ traditional holdings. Here are four reasons why:
In the last three decades, we’ve built an extensive global network of private alternative managers. These managers give us — and you — access to hundreds of compelling investments, across a wide range of market segments. These offerings often have little or no correlation to the broader stock and bond markets, adding valuable diversification and balance to your portfolio.
Investing in private alternatives requires sophisticated judgment, exhaustive research and an inquisitive mind. The most interesting opportunities are often under the radar and difficult to find. To evaluate each opportunity, our rigorous process includes conducting background checks on key personnel, conducting on-site visits, verifying auditors and legal counsel, and interviewing current and past investors. The bar we set for participation is high.
Private alternatives tend to bring with them larger investment minimums and higher fees than traditional asset classes. As one of the leading independent investment firms in Los Angeles, we can often leverage our size and track record to negotiate access, lower fees and more favorable terms for Westmount clients.
Because of their higher minimums, longer holding periods and relative illiquidity, private alternatives aren’t a fit for everyone. Before we recommend them for you, we make sure they align tightly with your objectives, risk tolerance and other specific facets of your situation. Our ultimate goal is to build you a customized portfolio that supports your long-term vision. If — and only if — private alternatives make sense for you, we will recommend them.