Invest With Us What is Exempt Market/Private Market Investing?
Private Market (often referred to as “Exempt Market” or Alternative Investment) investing offers investors an opportunity to diversify their investment portfolios into assets not offered in traditional institutions. Private investments place capital in mortgage pools, asset-backed securities, debt offerings and equity in private companies.
The organizations that require funding are not publicly traded but still need investors to achieve the vision for their projects and want to grow without going public. They approach dealers like Pinnacle Wealth Brokers to help them develop their offering and attract investors.
Why Invest in the Private Market?
The short answer is that research has shown the best investment strategies are ones that promote diversification. Many are familiar with the success stories of the pension and endowment funds in Canada and the US. Private market products can comprise of up to 40% of their total investment portfolio. That’s a large chunk and that is consistent across a number of successful pension funds.
Canadian pension plans have among the highest performing investment portfolios in Canada. They diversify into less correlated assets by investing in private opportunities. These funds are well on their way to achieving the required rate of return for their beneficiaries.
Pinnacle Wealth Brokers offers investment products that allow financial advisors to provide private investment opportunities to help properly diversify their portfolio like these successful funds do.