Nov 19, 2020
ClearWise Investment, the New York and Hong Kong based alternative asset manager has today announced that their secondary market capabilities will become available for qualified private investors looking to capitalize on alternative investments typically reserved for family office clients and institutions.
The announcement comes as the correlation between alternative and traditional industries continues to tighten as retail investor return profiles become more tolerant to alternative options in pursuit of more balanced portfolio performance. As part of this rising trend, many investors are of the belief that private equity placements have significantly outperformed traditional stocks over the past decade and that significant gains can be made by including private placements as part of a diversified portfolio.
Mike Hebron, Head of Institutional Trading at ClearWise Investment Hong Kong commented, "Whilst comprehensive data for the performance of alternatives over the past decade is a little hard to quantify, there is no doubt that the retail segment are aware of the potential for getting in early on private and Unicorn level companies, whose valuations are already in the billions of dollars before they come to market.
"Demand for such placements continues to increase, and we here at ClearWise Investment are now pleased to bring such opportunities to the real investor whose appetite is perfectly at ease with private and secondary markets despite the lack of regulation and safeguards typically afforded by public markets."
Whilst equity markets have rebounded strongly in the wake of the Covid-19 market crash in March, investor sentiment remains cautious as the economic fallout of a global shutdown is yet to be felt across much of the world. ClearWise Investment reserves a cautious approach to the allocation of capital in asset classes that continue to trade at all time highs.
"The unexpected V-shaped market recovery went against the large majority of analyst assumptions after the immediate Covid market crash. The unprecedented government stimulus packages have acted as a major catalyst for a market recovery, however, we are advising our clients to take caution with their equity positions as we believe that stock market performance is not a benchmark for the wider macro-economic environment," said Mr. Hebron.
"Strategically allocating capital across asset classes that present investors with returns that align with their tolerance profile has become a complex conundrum over the past decade as equity exposure to risk has been steadily on the increase, and attractive yields difficult to come by. Our private and secondary market capabilities seek to provide investors with absolute returns whilst maintaining a low correlation to traditional markets and high expenditure trading strategies."
Existing clients are advised to contact their ClearWise Investment account representative for more information on the secondary market qualification process.
Media Contact
Oliver Jenkins
Phone: +1 347 752 4274
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