BALA CYNWYD, Pa., March 29, 2018 /PRNewswire/ -- The Context Allocator Trends Report, based on a survey of more than 400 institutional investors and family offices, revealed strong demand for alternative investment strategies, with 70% of respondents planning to increase their allocations to alternatives in 2018 and 29% planning to maintain their current allocations.
The demand for alternative investments is supported by doubts over how long the current bull market can last, with 69% of institutional allocators surveyed predicting that traditional equities and fixed income markets will underperform in 2018 when compared to 2017, and an additional 19% predicting similar year-over-year performance. Investors looking for strategies that offer the potential for a differentiated return stream are now increasingly turning to cryptocurrencies and ESG or impact-related strategies, which are two of the fastest-growing sectors in the investment management industry. However, whereas 51% of investors are planning allocations to ESG strategies in 2018, just 11% are looking to add cryptocurrencies to their investment portfolios.
The full survey results, along with an analysis of key findings, are available via the latest Context Allocator Trends Report at: https://contextsummits.com/resources/allocator-trends/.
Ron Biscardi, co-founder and CEO of Context Capital Partners, commented: "This survey was conducted immediately prior to a 10% drop in equities prices and a spike in market volatility, so it's prescient that many institutional allocators were already planning significant allocations to alternative investment strategies, which offer investors the potential for downside protection as well as asymmetric returns that are uncorrelated to traditional market risks. We believe this strong demand for alternatives will continue as market participants adjust to the uncertainty ahead."
Additional key survey findings include:
"While current fiscal policy and robust economic growth remain a tailwind for risk assets, the recent uptick in market volatility, alongside the long-term shift in monetary policy, have created real reasons for concern among investors about their traditional market exposure," added John Culbertson, CIO of Context Capital Partners. "The alternative asset management industry is well-positioned in the middle of these forces, providing institutional allocators and family offices with access to investment strategies that offer both diversification from traditional risk assets and the promise of a differentiated return profile."
The annual allocator survey was conducted at Context Summits Miami 2018, an annual event that convenes fund managers and allocators for a series of one-on-one meetings. In total, more than 2,000 managers and institutional allocators representing over $5 trillion in combined assets under management attended the two-day conference, which was hosted by Context Capital Partners, a leading alternative investment specialist firm.
Context Summits will host five events around the world during 2018, including the inaugural Context Leadership Summit (May 8-11 at the Aria Resort & Casino in Las Vegas). Other events scheduled for 2018 include: Context New York 2018 (April 17, 2018 at Center 415), Context Summits Europe 2018 (May 14-16 at the Hotel W Barcelona in Barcelona, Spain) and Context Summits West 2018 (September 26-28 at the Monarch Beach Resort in Dana Point, California). For additional information, please visit http://contextsummits.com/miami/ or http://www.contextsummits.com/.
About Context Capital Partners
Context Capital Partners, LP is a leading alternative investment specialist firm headquartered in Bala Cynwyd, PA. Through direct and indirect partnerships, Context provides acceleration capital, marketing, distribution, operations and infrastructure support to top-tier alternative asset managers. Context's focus is delivering superior investment solutions to institutional investors and family offices by launching and expanding low correlation investment products that deliver clear edge. For more information about Context Capital Partners, please visit www.contextcp.com.
Contact:
Dmitriy Ioselevich
646-661-1154
dioselevich@prosek.com
SOURCE Context Capital Partners