Fidelity Investments is adding tools to its Wealthscape platform that are designed to help advisors better understand and use alternative investments.
The tools include proprietary research on third-party alternative strategies and an expanded thought leadership library focused on customer exposure to alts, Fidelity said in a press release. These tools are offered exclusively through Wealthscape, its platform for advisors it launched in 2016.
The tools will allow advisors to compare a wide range of investment strategies by researching private credit, private real assets and private equity funds, Fidelity said.
The launch of the tools comes as more advisors are turning to alternative asset classes to boost portfolio returns, Fidelity said.
“Alternative investments are becoming more widely accessible, but many advisors lack the resources to determine how to incorporate them in their portfolios,” Darby Nielson, chief investment officer within the Fidelity Institutional group, said in the release. “Fidelity is committed to providing advisors with the tools and resources they need to make informed decisions and excel in the alts space, helping investors reach their financial goals.”
Fidelity noted that a company survey found that investment manager research and due diligence are key barriers to advisors’ adoption of alts products. Only 26% of advisors surveyed were exposed to alts products, compared to 86% of institutional investors.
Fifty-four percent of advisors surveyed said investment management research was the most important factor in beginning or expanding their use of alts.