Portfolio managers running a traditional 60-40 allocation between stocks and fixed income must incorporate alternatives, such as private equity, to secure returns over the coming decade, JPMorgan Asset Management strategists say. "The trade-off is no longer between foregone risky asset returns and reduced portfolio risk but instead between a zero or even negative return in exchange for risk reduction," says John Bilton, head of global multiasset strategy.
JPMorgan AM: 60-40 portfolio managers must adapt to alts
Sign up for SIFMA SmartBrief
Capital markets, wealth management and the financial services industry news
Get the intelligence you need: news and information that is changing your industry today, hand-curated by our professional editors from thousands of sources and delivered straight to your inbox.