Alternative investments are no longer on the fringe. Real estate, private equity, hedge funds, commodities, and collectibles are moving into the core of private wealth portfolios and reshaping how advisors think about diversification, risk, and growth.
For RIAs, this shift isn’t just about access to new asset classes. It’s about scale. As alternatives move mainstream, the firms best positioned for growth may be those that can support alternatives operationally, efficiently, and without friction.
Alternatives can play an important role when markets become more volatile. And volatility has a way of changing investor behavior.
Today, advisors are leaning on alternatives to:
The growth numbers tell the story. Bain estimates alternative AUM in private wealth will triple — from $4 trillion today to $12 trillion by 2034. Everest Group projects global alternative AUM to reach $30 trillion by 2030.
That kind of growth doesn’t happen quietly. It puts real pressure on the systems advisors use every day.
Historically, institutions and family offices led the way in alternatives, often allocating more than 20% of portfolios. High‑net‑worth individuals lagged behind, typically under 3%, according to Capgemini.
That gap is closing.
Recommendations are climbing, too. Some wealth managers now suggest allocations north of 20%, with Bank of America pointing to ~25% as a potential sweet spot for HNWI portfolios. Family offices continue to lead, often allocating 30% to 50%.³ Of course, allocation strategies vary based on investor objectives, liquidity needs, risk tolerance, and investment time horizon.
More alternatives. More complexity. Same operational infrastructure.
That’s where the cracks start to show.
Traditional rebalancing tools weren’t built with alternatives in mind. And as allocations rise, those limitations become harder to ignore.
A modern rebalancing and trading platform needs to needs to integrate alternatives more directly into portfolio workflows. It needs to treat them as first-class citizens.
That means:
One client may want alternatives included as portfolio exposure. Another may want real estate carved out entirely. Both expectations are valid — and both should be easy to support.
Advisors also face internal complexity. Alternatives are multidimensional, which often means:
None of this should require spreadsheets, workarounds, or manual fixes.
Most importantly, advisors need access to alternative investments without adding operational drag. Access, allocation, and ongoing management should live inside the same rebalancing and trading workflows they already use.
When platforms can’t flex, growth stalls.
The fastest path to scale is integration.
When alternatives trading and portfolio management are integrated into a unified workflow, firms may be able to reduce operational friction and improve efficiency.
Here’s what that looks like in practice:
Orders can be created any way advisors work:
All with more transparency and fewer steps.
The experience should feel familiar: If an investment is available through an investment management platform, it appears in the rebalancing system as an available fund. Advisors can model it, trade it, and rebalance it just like any other security.
From there:
Designed to help reduce manual tracking, improve workflow visibility, and simplify the trading process.
Alternatives have become an increasingly important component of portfolio construction for many advisors— and an increasingly important driver of advisor growth.
But growth comes with complexity. And complexity, if left unchecked, can limit an advisor’s ability to scale AUM, serve clients well, and run efficiently.
The good news? Technology platforms have evolved to better support operational workflows related to alternative investments.”
This is exactly where integration matters and where RedBlack delivers.
RedBlack is now integrated with CAIS , bringing alternative investments directly into the rebalancing and trading workflows advisors already use.
With RedBlack and CAIS working together, advisors are equipped to scale alternatives without slowing down and to meet the next frontier of wealth management with clarity, control, and confidence.
[1] “Opening the Door to Alternatives” Survey Report, October 2025, Goldman Sachs Asset Management.
[2] The State of Alternative Investments in Wealth Management 2025, CAIS and Mercer.
[3] “The rise of alternative investments,” Nov 11, 2025, Capgemini.
Alternative investments involve risk, including illiquidity, limited transparency, higher fees, and potential loss of principal, and may not be suitable for all investors
The information contained herein is provided solely for informational purposes and does not constitute an offer to sell, or the solicitation of an offer to buy, any security or investment product. Such an offer or solicitation may only be made to certain qualified investors through formal offering documents. Alternative investments are complex products and may not be suitable for all investors. CAIS and/or its affiliates are paid a fee for the sale of private funds and strategies facilitated through its platform.