The Specialist Fund Market (SFM) is not so popular marketplace for allocation of investments. Many non professional investors are not aware of its potential too. Due to the sophisticated nature of financial instruments traded on SFM it remains often out of the sight of the ordinary investor. Why is that so and why specialist funds should not be underestimated as an investment alternative?
SFM is a marketplace mainly for specialist closed ended investment funds with main its participants being institutional, professional and knowledgeable investors. On the floor of SFM is traded wide range of highly specialised funds, including: hedge funds, both single and multi-strategy, specialist geographical funds, private equity funds, funds with advanced structures or security types. Traded are specialist property funds, infrastructure funds, sovereign wealth funds and single strategy funds as well.
Public Restrictions of Fund Markets
In the public space, specialist investment funds are pretty often presented like inaccessible for the average investor financial instrument. The main reason for this opinion is the fact that sometimes, there are restrictions for non professional investors to allocate their funds in some financial instruments, traded on SFM. Seems, this could be a strong argument many years ago, at the dawn of the specialist fund market.
Recently, a lot of investment advisors offer to non professional investors accesses to SFM. Further more, looks like the specialist funds become more and more popular due to their one important feature.
Each fund offers specific to the individual demands and attitudes towards the risk of investors opportunity. Respectively, investors who will to jump in an investment opportunity with high risk may do so, choosing hedge funds with expected higher return. Those who prefer to litigate the investment risk may choose specially designed for this purposes financial instruments.
Fund Market Main Advantages
Another advantage of the Specialist Funds Market is that it supplies many opportunities for achieving higher returns than these that mutual funds and other classical financial instruments may offer. In addition, on SFM are traded many innovative and non standard financial instruments, which allow investors access to some practically unattainable for them markets.
The Specialist Fund Market (SFM) offers not only financial innovation. It makes possible social responsible investments too. If you think that you need an advise or more information you can write to or arrange a meeting with Alec Maclaren, financial adviser with more than 20 years experience in the field.