Investors who are leary of sticking all of their capital into traditional assets can run into some obstacles. There is no shortage of assets to invest in. But many of the opportunities come with sizeable commitments and a need for specialized knowledge.
If you don’t have the time or money to get into an alternative investment on your own, there is another way through Hedonova.We’re partnering with Hedonova to share with you how you can invest in alternative assets in an easy way.
Let’s take a closer look at this relatively new way to invest in alternative assets.
What Is Hedonova?
Hedonova offers an alternative investment opportunity through an alternative asset investment fund. As an investor, you’ll invest in the overall fund. Within the fund, there are over 12 asset classes.
As of February 2022, the net return on the fund has been 55.2%. That’s about 15% higher than the S&P 500. With a low correlation to the stock market, investors seeking a different option could find exactly what they are looking for through Hedonova.
What Asset Classes Are Invested In?
Within the Hedonova fund, there are 12+ alternative asset classes included at any given time.
As of February 2022, here’s what assets are included in the fund:
- Listed equities
- Real estate
- Equipment finance
- Litigation finance
- P2P lending
Each of these asset classes represents a relatively unique alternative investment. As an individual investor, you would need to come up with a considerable amount of capital to invest in each of these assets. Plus, you would need to develop the knowledge required to make informed investment choices about each of the given classes.
When working with Hedonova, you’ll be able to enjoy the benefits of each of these asset classes with a relatively minimal investment. And you’ll know that experts are making choices to bring the best opportunities into the fund.
Ultimately, Hedonova has positioned itself to be considered as something similar to a mutual fund. But instead of investing in stocks through the fund, you’ll be investing in alternative assets.
Can Anyone Invest Through Hedonova?
The first hurdle is the minimum investment required. You’ll need to put up a minimum investment of $1,000 before getting started.
The opportunity is open to both U.S. and international investors. To invest, you’ll need to be an accredited investor with a net worth of over $1 million or an income of over $200,000. So, make sure you meet that requirement before giving Hedonova a try.
Who Is Hedonova Designed For?
Hedonova is exclusively focused on alternative assets. With that, the fund is not the right opportunity for everyone.
Instead, Hedonova claims that it is the right fit for investors with a long-term investment horizon. Investors should not have a required regular cash flow. Plus, in other parts of their portfolio, investors should have ‘adequate exposure to lower risk assets.’
Essentially, Hedonova is for an experienced investor with a substantial net worth who wants to diversify their portfolio with alternative assets. But you may not have the time or energy to dive into specific alternative assets. And that’s where Hedonova can step in to help.
Pros And Cons
As with all investment options, there are some advantages and disadvantages to keep in mind with Hedonova.
Here’s what to consider:
Advantages Of Hedonova:
- Diversify for potentially higher returns. The past performance of Hedonova has been outstanding. But keep in mind that past performance is not a guarantee of future results.
- Low minimum investment. You can get started with as little as $1,000.
- Many alternative assets are included. Instead of investing in alternative assets on your own with a little here and there, you can invest in one fund that offers over 12 different asset classes in one spot.
- Relatively liquid. Most alternative investment opportunities offer very limited liquidity. But that’s not the case with Hedonova. You can fully withdraw your funds within 30 days of making a request.
- Passive option. Instead of constantly monitoring different asset classes, Hedonova can do that for you.
Disadvantages Of Hedonova:
- Accredited investors only. This requirement can leave many investors seeking an alternative asset option out of luck.
- New to the scene. Although the returns have been great so far, the fund has only been open since 2020. With that, there are still many unknowns about Hedonova’s future.
- Fees. No investment fund is free. But you’ll have to pay a 1% annual management fee. Plus, a 10% performance fee, which translates into 10% of your profits. Although lower than a typical hedge fund, these costs are something to keep in mind.
How To Start Investing In Alternative Assets With Hedonova
Start by filling out the form on the website. You’ll need to provide your name, email, and phone number. Additionally, you can indicate how much you have to invest.
From there, an expert will reach out to explain Hedonova’s details and collect more information about you. Once your identity is confirmed, you can add capital to your Hedonova account and start investing!
The Bottom Line
Hedonova is an interesting opportunity for accredited investors with an interest in alternative assets and over $1,000 to invest.
As with all investments, there are risks associated with Hedonova. Before jumping in, make sure that an investment in alternative assets suits your risk tolerance.
If you’re curious about Hedonova, get started here.