Alternative Investments in an Index Fund World?

The most recent One Minute Economics video revolves around… you’ve guessed it, alternative investments. Anything from innovation-oriented options such as startups, p2p lending and of course crypto to “old-school” options that are back in the spotlight, for example art and agriculture equipment.

In other words, yes, there is a world beyond meme “stonks” such as #GME or #AMC. And yes, one beyond blind trust in the stock market altogether, more specifically a world where the “Holy Grail” of investing exclusively in stocks by buying an index fund is questioned.

Is it true that up until this point, merely buying an index fund just plain worked?

Yes. But one pandemic later, one war later and one inflationary cycle onset later… let’s just say it might not be the worst idea in the world to at least entertain the possibility that the “one size fits all” solutions of the past might no longer be enough.

Are alternative investments guaranteed to outperform?

No.

Can companies like Hedonova.io promise that losses are out of the question?

Once again, no.

The name of the game is not looking for something that doesn’t exist (guarantees in the investment world) but rather seeking exposure to uncorrelated assets so as to deploy increased flexibility in a more and more volatile landscape.

Fair enough?