The renewables industry is hampered by the combination of a shallow venture capital market and capital-intensive technology. The recent power outages in South Australia did not help.
After some poor experiences during the GFC, hedge funds offering uncorrelated returns have greater appeal as traditional markets struggle, but don’t pay up for simple market exposure.
Disruption across many industries often makes it easier to pick the losers than the winners. Short-selling can play an important and legitimate role in an investment portfolio, although it continues to attract criticism.
Renewable energy production is growing due to technology driving significant cost reductions and improvements in energy efficiency. Carbon reduction targets, tax schemes and our social conscience also help.
Impact investing is no passing fad, with an estimated $32 billion to be invested over the next decade in Australia alone. This article looks at just one example of an impact investment, the Balanced Water Fund.
Despite negative headlines regularly aimed at hedge funds, they experienced strong inflows in the six years until the end of 2015. What are the benefits of hedge funds for a portfolio?
Only a tiny proportion of SMSF assets are invested in physical gold, but it’s worth considering in a world of uncertainty and volatility, especially when interest rates are low.
Angel investors are often the first source of funding for start-ups with little more than an idea, but success relies on execution and learning how to go to the next level.
Most investors accept the benefits of diversification, but it can be problematic for some successful people who have made money in one business. For most investors, diversification leads to happier outcomes.
Combining quantitative techniques with traditional fundamental analysis can give new insights, especially when integrated with obtaining and aggregating data from non-traditional sources.
SMSFs hold some of the most bizarre assets imaginable, challenging auditors required to value them and verify ownership. New rules and compliance obligations for trustees are fast approaching.
The increases in margins on Australian listed hybrids are prompting investors to ask whether the returns finally match the risks. Hybrids come in many forms so watch the finer details.
Infrastructure assets range widely from toll roads, ports, airports, power distribution, communications, etc, but there are common risk factors to consider in all of them.
Impact investing is a growing field that is helping to address many of society’s most pressing challenges. It aims to achieve a financial return, as well as positive social, cultural or environmental impacts.
Part 2 focusses on the criticisms that are often levelled at hedge funds and how to manage these disadvantages to your level of tolerance. The challenge for the hedge fund industry is to deliver more retail-targetted products.
Investing in hedge funds is one of the more polarising topics in the investment world, with strongly-held views at each end of the spectrum. Part 1 of this two-part series looks at the advantages of these ‘alternatives’.