Alternative investments like private equity, hedge funds, managed futures, and precious metals have gained popularity among investors looking to diversify beyond traditional stocks and bonds. Reddit forums like r/investing often discuss best etfs that provide exposure to alternative assets with lower costs and better liquidity compared to directly owning them. This article analyzes highly recommended alternative investment etfs on reddit.
Precious metal etfs like GLDM, IAU praised for commodity diversification
Many reddit posts on r/investing praise precious metal etfs like SPDR Gold MiniShares (GLDM) and iShares Gold Trust (IAU) for providing easy and low-cost access to gold. With global uncertainty and inflation concerns, reddit users recommend a 5-10% gold allocation as a hedge.
Preferred stock etfs like PFF, PGF seen as higher yield alternatives
Preferred stocks offer higher yields than bonds with lower volatility than stocks, making preferred stock etfs like iShares Preferred and Income Securities (PFF) and Invesco Financial Preferred (PGF) popular recommendations. Redditors suggest 2-5% portfolio allocation to these.
Reddit forums like r/investing recommend precious metal and preferred stock etfs as top alternatives for commodity and income diversification beyond mainstream assets.