CONTACT

Banneret Wealth Tech Ventures

ALTERNATIVE INVESTMENTS

REIMAGINED

Where We Engage

Banneret’s Mission: To transform the way wealth holders, discriminating advisors and skilled investment managers access, source, and deliver alternative investment solutions.

AT ISSUE

Sourcing, screening, and distributing liquid alternative investments is unnecessarily dysfunctional, overpriced and primed for technology-led disruption.

  • The primary screen for access at the institutional, intermediary/broker-dealer and platform level is capacity/conduciveness for large scale asset gathering.
  • Alpha, or skill driven excess return, is by nature, capacity constrained.
  • Alternative Investment Managers are facing fee pressures, rising data/reporting, and compliance oversight.
  • Current investment vehicles, inherent risk levels and fee structures have left investors with lackluster returns and diversification results.
  • Advisors and Alternative Managers are not on the same page when it comes to the role Alternatives are to play in designing durable portfolios.
  • Given relatively large profit margins on alternative strategies, and rise of passive management eating away at core active strategies,  incumbent asset managers have little incentive to evolve.

Window of Opportunity

  • Investment outlook for mid-low single digit returns for equities, bonds, credit markets priced to perfection means investors/advisors will have to take a closer look at alternatives going forward.
  • COVID-19 has expedited work from anywhere and the adoption of technological solutions to increase efficiency in sourcing, conducting due-diligence and monitoring alternative managers that we expect will hit the skill/capacity sweet spot.·
  • Institutional Market is largely “full up” on allocation to alternatives.  The growth opportunity is now with Retail Investors and their Advisors.
  • Decentralized Finance(DeFi) has made a new wave of alternatives available to investors, further exacerbating the need for transparency and understanding.
  • Private Equity/Venture “dry powder” has seen stair-step increases in recent years and starts 2022 at nearly $1.3 trillion, highlighting competition for deals.(Bain Global Private Equity Report 2022/Prequin)