Crypto and Derivative Income dominate liquid alts landscape
While private assets, evergreen funds and the public-private hybrids are quickly becoming the face of alternatives, liquid alts are also growing at their own beat.
Investors have been pouring dollars into alternatives and non-traditional equities, which reached record-high inflows of $45bn and $8bn in 2024. That streak has continued into this year, with the two categories taking in $24.5bn and $40.8bn respectively so far.
However, per a new report from Morningstar, it isn’t your regular hedge fund-esque strategies (like market neutral, event-driven etc) that are winning. The two sub-categories that seem to be absorbing a lion’s share of the flows are Digital Assets and Derivative-Income.
