Advisors and their clients are actively seeking private alternative investments, while at the same time, desiring to align their values with their capital. The CommonGood platform offers both.
ALTERNATIVE INVESTMENTS: A SUPPLEMENT TO TRADITIONAL ALLOCATIONS
Driven by many inputs such as an investor's financial goals, risk tolerance, and investment time horizon, asset allocation is a critical component of any financial plan. Traditional allocations were primarily customized percentages of stocks, bonds, and cash equivalents deployed through various investment wrappers such as mutual funds, ETFs, ETNs, closed-end funds, variable annuities, among others.
However, since the turn of this century, traditional allocations have been challenged and increasingly augmented via the implementation of alternative investments. This broad asset type had been widely utilized by institutional investors for decades, but has only recently been deployed in private investor portfolios. Today's investors value alternative investments because of their return and correlation characteristics as well as the diversification they provide. At CommonGood, we think about alternative investments primarily residing in three broad buckets: real assets, private credit, and private equity.
VALUES-BASED INVESTMENTS: A NEW LENS FOR TODAY'S ALLOCATIONS
Increasingly, investors and their advisors are searching for ways to align their values with their investments. Values-based investing adds an additional lens to the allocation process, and places emphasis on the broader impact of our investments on society. Despite the desire to align their investing activities, investors and advisors continue to struggle to gain access to a sufficient flow of deals that have been thoroughly diligenced and researched. CommonGood's expertise and passion is filling this void in the market in order to make it viable for advisors to consider values in the allocation process for their clients.
THE CommonGood PLATFORM
While we fundamentally evaluate each opportunity on its own merits, we also assess the totality of the investment offerings that we are compiling. In other words, the characteristics of each investment offering must be compatible and complementary to those it sits side by side with on our platform. As investment life-cycles naturally play out, our platform will regularly evolve with the addition and removal of offerings.