8/30/2026 9:52 PM (PST)

There is no single "best" alternative investment for every investor. The right choice depends on the investor's objectives, risk tolerance, liquidity needs, and investment timeline. Common alternative investments include private equity, private credit, real estate, infrastructure, hedge funds, and life settlements. Each has a different risk and return profile. Life settlements are particularly different because potential returns are primarily linked to policy economics and mortality outcomes. This can make them an interesting consideration for investors looking for an asset with a return driver that differs from traditional financial markets. Before choosing an alternative investment, investors should evaluate expected holding periods, fees, liquidity, underlying assets, risk factors, manager experience, and how the investment fits within their existing portfolio.