What Are Alternative Assets? A Beginner’s Guide to Smarter Investing in 2025
The current changing financial environment has seen an increasing number of investors consider alternative assets as a way of portfolio diversification and obtaining better returns. If you have been sticking with stocks, bonds, or fixed deposits, this guide will inform you why alternative assets warrant your consideration in 2025 and beyond.
What Are Alternative Assets?
Alternative assets refer to those investments that do not fit into the conventional asset classes such as stocks, bonds, or cash. These may include:
Real estate
Private Equity
Venture capital
Hedge funds
Commodities (e.g., gold)
Private credit
Art, collectibles, and more
Those asset classes have the ability to provide higher returns and portfolio diversification, yet they are accompanied by distinctive risks and lower liquidity.
Why Consider Alternative Assets in 2025?
Traditional investment options are offering historically low returns. For example:
DBS/POSB: 2.45% p.a. (12-month fixed deposit)
SBI: 2.35% p.a. (6-month fixed deposit)
ICBC: 2.15% p.a. (3-month online tenure)
Though these can be said to be safe, the returns might not be enough to beat inflation. It is here that alternative investments can play a role.
Benefits of Alternative Assets
Alternative assets present the following benefits to investors:
Higher yield opportunities are also among the main advantages, where certain instruments can provide up to 7.35% returns per annum. They are also a good hedge against inflation, particularly when real assets such as real estate and commodities are invested.
The assets also offer portfolio diversification, thereby limiting the overall investment risks. Lastly, alternative investments provide people with access to the private markets, which opens access to the growth potential that usually cannot be achieved in the public markets investments.
Who Should Invest in Alternative Assets?
Alternative investments are no longer the reserve of institutional investors. They are also becoming too appropriate for individual investors who seek to construct a robust long-term portfolio. Here's who might benefit most:
Long-Term Wealth Builders
Whether you are saving towards your own retirement, the further education of your child, or intergenerational wealth building, alternative assets have the potential to offer superior growth prospects over the long term than savings accounts or short-term instruments.
Example: A 35-year-old professional in Singapore investing in private credit to grow capital steadily over 10 years.
Investors Seeking Diversification
Sick and tired of the stock market fluctuations? Such alternative assets as real estate-backed investments or private debt can be used to diminish the volatility of the portfolio.
Example: An expat investor allocates 20% of their portfolio to non-market-correlated investments to offset global equity exposure.
Medium-to-High Risk Tolerance Investors
If you can tolerate moderate fluctuations in return in exchange for potentially higher yields, alternative instruments can be a great addition to your financial strategy.
Example: A mid-career finance executive is open to exploring a secured investment product offering 7.35% p.a. over 12 months.
Open-Minded Financial Explorers
You’re someone who likes to go beyond the typical fixed deposit or CPF top-up. Alternative assets offer access to financial tools often used by family offices and high-net-worth individuals.
Example: A local entrepreneur exploring private credit or digital bond investments as part of a passive income strategy.
In today’s evolving financial landscape, alternative assets are no longer reserved for the ultra-wealthy—they’re a smart, accessible option for everyday investors seeking better returns, stability, and long-term growth.
Ascendant Globalcredit Group
How Ascendant Globalcredit Group Can Help
At Ascendant Globalcredit Group, we specialize in offering access to alternative safe instruments that provide higher yields than typical fixed deposits. Our current offerings include an investment product with up to 7.35% p.a. over 12 months—designed for clients who want safe yet better-performing options.
Why Choose Us
We offer personalized financial consultations tailored to your individual goals, whether you're just starting your investment journey or looking to optimize your existing portfolio.
Our team believes in transparency—you’ll always have a clear understanding of the investment options available, with no hidden fees or surprises.
We only work with fully regulated providers, ensuring that your investments are secure and compliant with local financial regulations.
Whether you're a Singapore-based investor or an expat, our solutions are designed to suit your lifestyle, financial needs, and long-term aspirations.
How to Get Started
Schedule a Consultation with our financial team
Assess Your Risk Profile and investment goals
Explore Our Investment Options including private credit and secured income opportunities
Final Thoughts
If you're looking to grow your wealth while minimizing risk, alternative assets may be your next smart move. They offer a blend of stability, performance, and flexibility that traditional assets often lack.
Ready to explore? Reach out to Ascendant Globalcredit Group today and learn how we can help you start investing smarter in 2025.
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If you're new to investing in 2025, consider starting with low-risk options like fixed deposits, ETFs (Exchange-Traded Funds), or diversified mutual funds. These offer relative stability while helping you grow your savings. For those open to slightly higher returns, alternative investments such as private credit or asset-backed instruments—when properly vetted—can also be beginner-friendly.
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According to the CFA Institute, alternative asset classes include real estate, hedge funds, private equity, commodities, infrastructure, and private credit. These assets are typically less correlated with traditional markets and can play a crucial role in portfolio diversification and risk management strategies.
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An alternative asset investment refers to financial assets that do not fall into conventional categories like stocks, bonds, or cash. These include real estate, private credit, venture capital, collectibles, and even certain fintech products. They are often used to diversify a portfolio, hedge against inflation, and potentially achieve higher returns.
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In 2025, look out for funds that are focused on sustainability, infrastructure, technology innovation, and emerging markets. Additionally, diversified income funds and private credit funds may offer more stable returns amid market volatility. It's always advisable to consult a licensed financial advisor before choosing any fund.