Over the past twenty years, alternative investment strategies like hedge funds, private equity, and real estate have grown in popularity among investors seeking diversification and steady returns. This trend was initially driven by the low-yield environment post-2009 financial crisis, making alternatives attractive due to their higher yields and low correlation with public markets. 

However, the landscape shifted post-2021 with rising inflation and interest rates, as well as increased geopolitical tensions, challenging traditional investment approaches. Hedge funds have gained renewed relevance, offering uncorrelated returns amid market volatility. 

Similarly, private credit has thrived, benefiting from the retreat of large banks from direct lending and providing attractive yields and diversification. Despite rising interest rates, alternatives with lock-up periods continue to outperform public markets, supporting a balanced, blended investment strategy for consistent returns.

Finsum: Remember the real advantage to alts is their uncorrelated returns and more specifically uncorrelated volatility to traditional markets.