Alternative investments have become increasingly popular for investors looking to diversify their portfolios beyond traditional stocks and bonds. Charles Schwab offers a wide range of alternative investment options for clients looking for ways to manage risk and enhance returns. With alternative investments like hedge funds, private equity, real estate, commodities, and more, Schwab provides convenient access to non-traditional assets. This article will explore the various alternative investment choices available through Charles Schwab and how they can benefit your portfolio.
Charles Schwab offers broad alternative investment selection
Charles Schwab provides clients access to a variety of alternative investment options beyond stocks, bonds, and cash. Investors can choose from assets like real estate investment trusts (REITs), master limited partnerships (MLPs), managed futures, commodities, and more. Many of these are available through Schwab’s mutual funds and ETFs focused on alternative strategies. Clients interested in direct alternative investment exposure can access options like non-traded REITs, private equity funds, and hedge fund replicas.
Convenience and cost efficiency with Schwab alternative investments
One major benefit of alternative investments through Charles Schwab is the convenience and potential cost savings they provide. Investors can easily add alternatives like commodity ETFs and real estate mutual funds to their Schwab brokerage accounts online. This avoids the often lengthy subscription processes required for direct access to assets like non-traded REITs or hedge funds. Schwab also offers competitive pricing and management fees on its alternative investment funds compared to other brokers.
Charles Schwab alternatives help manage portfolio risk
Adding alternative investments to a portfolio invested primarily in stocks and bonds can help manage overall risk. Alternative assets like managed futures funds and long-short equity ETFs may zig when traditional markets zag, smoothing out returns. Schwab’s wide range of alternative mutual funds and ETFs makes diversifying easy. Investors should note alternatives come with their own unique risks that must be considered.
Work with a Schwab financial consultant for tailored advice
While convenient to access, alternative investments can be complex. Schwab clients can get personalized guidance on integrating alternatives into their portfolios by working with one of Schwab’s financial consultants. They can advise which options match your risk tolerance, time horizon, and investment goals. Overall, Charles Schwab provides a full-service solution for accessing alternatives with convenience, cost efficiency, and expert support.
With its wide selection of alternative investment options spanning real estate, commodities, hedge fund strategies, and more, Charles Schwab offers investors convenient access to non-traditional portfolio diversification. Clients can manage risk while enhancing returns by adding Schwab’s competitively priced alternative mutual funds, ETFs, and direct alts to their brokerage account.