Alternative Investments and Derivatives in Portfolio Management

What Will You Learn?

• Understanding Alternative Investments:
• Definition and characteristics of alternative assets (real estate, commodities, hedge funds, private equity, etc.)
• Key differences between traditional and alternative investments
• Risk-return profile and volatility considerations of alternative assets
• Types of Derivatives:
• Overview of derivatives (options, futures, swaps)
• How derivatives are used in portfolio management for hedging, speculation, and strategic positioning
• Specific derivatives strategies (covered calls, long/short positions, interest rate hedging)
• Incorporating Alternatives and Derivatives:
• How to combine alternative assets and derivatives in portfolio construction
• Diversification strategies using alternative assets and derivatives
• Practical examples of hedging strategies using futures and options
• Risk management techniques in portfolios with alternatives and derivatives
• Liquidity, Valuation, and Regulatory Considerations:
• Understanding the liquidity risks of alternative investments
• Valuation techniques for non-traditional assets
• Regulatory issues surrounding the use of derivatives and alternative investments
• Performance Measurement and Evaluation:
• How to measure the performance of portfolios with alternative investments and derivatives
• Tools for analyzing risk-adjusted returns of alternative and derivative-heavy portfolios