Alternative Investments – In Depth

The most severe recession in history was also likely the shortest. But opportunities exist for alternative investments in 2021 as we simultaneously begin a new cycle and adjust to a post-pandemic world.

• The rising tide is not expected to lift all boats in 2021, and we still see opportunities for active management and security selection.
• Low rates coupled with monetary and fiscal policy truncated the default cycle, but for how long? While we are moderating our near-term return expectations for Distressed strategies, we envision a better opportunity set in the second half of 2021 and into 2022.
• Within private capital strategies, we continue to focus on small to mid-sized companies and strategies such as venture capital and growth equity, as well as special situations private debt and opportunistic real estate.