Alternative Investment Research Articles

ABSTRACT Socio-economic and environmental conditions play an important role in driving technological transformation and sustainability. Based on an innovation project conducted in Kenya, this study demonstrates how socio-ecological analyses can facilitate the adoption of agricultural technologies. This project focused on subsurface water retention technology (SWRT), a climate adaptation approach for sandy soils with proven effectiveness under different ecological conditions. Using maize production data to represent local biophysical conditions, we conducted a cost–benefit analysis (CBA) of SWRT to assess its profitability under current conditions and alternative investment scenarios. We also conducted a livelihood survey and stakeholder dialogue to assess what farmers can afford and identify possible enabling factors for technology adoption and sustainability. The CBA results for maize suggest a long-term return on investment, mainly due to high initial investment costs in terms of labour requirements for SWRT installation (about 70% of initial costs) and a need for irrigation during droughts. In simulations of investments, the break-even point varied depending on the specific investment measures taken alongside SWRT adoption. The livelihood survey indicated that farmers possess resources that could cover the initial investment in SWRT on small plots. However, uptake at scale would require a range of enabling factors, including information on suitable crops and the benefits of investment, and incentives from input and service suppliers. The current yields and prices of maize are not enough for the scaling-up of SWRT. Future studies should incorporate cost–benefit information on high-value crops and analyses of how farmers, and input and service suppliers can better share the investment risks.

Q-learning algorithm and molecular fuzzy multi-objective particle swarm optimization-based decision-making approach to circular economy-oriented investment alternatives for renewable energy technologies

Purpose This study aims to investigate whether alternative assets – specifically Bitcoin, gold, oil and real estate – can effectively hedge risks associated with conventional equity markets. Design/methodology/approach The analysis employs a range-based dynamic conditional correlation (DCC) model that integrates high and low price data to capture more nuanced market relationships. A range-based volatility spillover model is also used to examine the directional spillovers between equity markets and alternative assets. Findings Results indicate a weak co-movement between alternative assets and stock markets. While Bitcoin is identified as the least costly hedge, it proves inefficient in risk mitigation. Gold and real estate emerge as more effective hedging tools, with gold offering the most significant downside risk reduction. The study also finds that the COVID-19 pandemic significantly weakened the hedging capabilities of all alternative assets. In terms of expected utility, gold delivers the highest utility, especially for highly risk-averse investors. Originality/value This paper uniquely applies range-based correlation and volatility spillover models to assess the hedging effectiveness of alternative assets. It also provides new insights into how these relationships shift during periods of market stress, such as the COVID-19 pandemic.

The mission statement connects vision and operations. It supports communication between organizations and stakeholders. Readability of the mission statement is important for business communication. This research examines the characteristics of mission statements. The study analyzes the readability of mission statements from several technology startup companies. The research uses Gunning’s Fog Index with data from 18 Thai technology companies listed on the Market for Alternative Investment (MAI). Counting methods are applied in the data collection and analysis process. The statistics used include frequency, percentage, mean, standard deviation, and Gunning’s Fog Index (GFI). The findings show that most mission statements contain fewer than 250 words and consist of 3 to 4 sentences. The readability level ranges from acceptable to ideal. Most readers rate the mission statements as optimal at 38.89 percent and acceptable at 33.33 percent. These two groups of businesses succeed in interacting with stakeholders to create mutual business value. Only 11.11 percent of the businesses receive ratings in the difficult category and should revise the goal statement. To support long-term growth, technology startups should prepare mission statements that show readiness in terms of customer perspectives, internal operations, financial performance, and learning and development. These findings may be useful for both businesses and stakeholders. The study is relevant to the technology industry and other sectors. The contribution to sustainable development goals remains important for economic growth and cooperation.

The advancement of digital technology today has changed society's perspective on investment, especially with the emergence of cryptocurrency which has begun to be favored as a new investment alternative. This is interesting to study because many young people are starting to look at digital investments, but not many understand what factors actually drive them to invest. This study aims to empirically examine the influence of investment knowledge and investment motivation on students' interest in investing in cryptocurrency. This research uses quantitative research methods. The sampling technique in this study uses purposive sampling technique. The population in this study is students of Pattimura University, while the sample in this study is students of the Faculty of Economics and Business majoring in accounting class of 2020. Data were analyzed using IBM SPSS 27. The results of this study show that investment knowledge has a negative effect on investment interest so the hypothesis is rejected, investment motivation has a positive effect on investment interest, so the hypothesis is accepted.

Cryptocurrency has emerged as a disruptive force in the financial landscape, presenting both alternative investment opportunities and emergent risks to investors seeking financial stability. This study investigates the relationship between cryptocurrency investors' income and their risk management knowledge and practices, addressing a gap in understanding on whether traditional risk management principles apply to highly volatile digital assets. Employing a descriptive-correlational design, the research gathered data through an online survey of 400 Filipino cryptocurrency users of a certain cryptocurrency platform. Findings indicate a significant positive relationship between risk management knowledge and practices and relative cryptocurrency income (p=.001, coefficient = +.173), suggesting that cryptocurrency portfolios are susceptible to effective risk management and do not simply result from mere fluctuations in market value. However, no significant relationship was found between risk management and absolute income. Nevertheless, absolute income was significantly different across respondents when grouped by age, employment status, income bracket, and investment exposure. This implies that older, gainfully employed investors from higher income brackets and greater investment exposure tended to achieve higher absolute gains, likely due to access to greater initial capital.

Purpose This study aims to provide a comprehensive overview of asset allocation by conducting a systematic literature review and a bibliometric analysis. Design/methodology/approach Employing a Preferred Reporting Items for Systematic Reviews and Meta-Analyses-based methodology allows for rigorous mapping of the academic landscape. Findings An analysis of this topic reveals a significant increase in asset allocation research since 2013, driven by a growing focus on advanced modeling and risk metrics. This study identifies distinct research clusters, with topics such as behavioral finance and alternative assets gaining prominence in the literature. Furthermore, the most prolific authors on this topic are Zhang, WG, and Zhou, XY. Research limitations/implications This review contributes to a more comprehensive understanding of this field by delineating the evolution and diversity of asset allocation models. The limitations of this study are the potential publication bias (English/Scopus/WoS selection) and the dynamic nature of asset allocation models, especially in the current dynamic environment. Practical implications Asset and risk managers must keep up with ongoing innovations to apply their knowledge and create value for investors. The study's findings highlight critical research gaps related to the practical application of advanced models, particularly in the context of environmental, social and governance investing and sustainable portfolio construction. Social implications The management of third-party resources impacts society because of the substantial resources and participation in pension plans and investment funds. Originality/value By combining a systematic literature review with bibliometric analysis, this study offers a unique and transparent framework for understanding the evolution and diversity of asset allocation models.

Venture capital investment and hedge fund investment are two asset classes of alternative investment fund portfolios. The purpose of this study was to determine whether the digital currency named bitcoin truly adds to diversification in an alternative investment fund portfolio. Vector auto regression was used to determine any unidirectional or bidirectional relationship between variables. The DCC-GARCH test was conducted to determine any conditional correlations that impact volatility transmission over a shorter and longer duration of time between variables. The results showed that there was no unidirectional or bidirectional relationship between bitcoin and FTSE venture capital index, as well as between bitcoin and the Barclays Hedge Fund Index. The DCC model showed no volatility transmission between bitcoin and the Barclays Hedge Fund Index, whereas volatility persists between bitcoin and the FTSE Venture Capital Index, connecting risk between the financial time series with only low correlations. These findings suggest that bitcoin could be used by investors, policy makers, and hedgers for diversification in alternative investment fund portfolios.

Smart and sustainable cities are often assessed using indicator-based models. However, most existing systems evaluate cities as a whole, offering limited support for project-level decision-making, particularly in small and medium-sized cities with scarce resources. This study aims to fill this gap by developing a comprehensive indicator framework tailored to the evaluation of smart city projects, designed to guide investment choices and support evidence-based planning. To build this framework, a systematic review of international indicator systems was conducted, compiling and refining over 1200 indicators into a unified taxonomy. The analysis revealed structural imbalances, with environmental and social dimensions prevailing over economic and governance aspects, and confirmed substantial redundancies, with nearly one-third of indicators overlapping. Using project actions as an analytical lens, gaps were detected and 73 evaluation areas defined. From these, anticipated impact indicators were developed and linked to corresponding performance metrics. Beyond consolidating fragmented systems, the framework provides a practical and balanced tool for multidimensional project assessment. An initial empirical pre-validation demonstrated its coverage and usability, reinforcing its potential to support planners and policymakers in comparing investment alternatives. Unlike traditional ranking or maturity models, it directly bridges the gap between abstract smart city strategies and tangible, project-level outcomes.

The Indian diaspora, comprising Non-Resident Indians (NRIs) and Persons of Indian Origin (PIOs), plays a pivotal role in India’s economic growth through remittances, deposits, and diverse investment activities. Over the years, their investment avenues have expanded beyond traditional bank deposits to include equity markets, mutual funds, real estate, portfolio management services, and alternative investment funds. These opportunities, however, are governed by a complex set of regulatory frameworks under the Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI), and taxation laws. This study critically examines the regulatory landscape for NRI and PIO investments with a particular focus on RBI Master Directions, which consolidate evolving guidelines under the Foreign Exchange Management Act (FEMA). Drawing on secondary data sources and prior research, the study identifies regulatory gaps, highlights compliance challenges, and explores the implications of digital transformation and fintech adoption for overseas investors. The findings emphasize the need for greater regulatory clarity, simplified compliance, and alignment with global financial standards to encourage sustainable diaspora investment in India.

The growing concern over insufficient retirement savings in South Africa highlights the importance of understanding the factors that influence individuals’ decisions to invest in Retirement Annuity Funds (RAFs). The purpose of this study is to assess critical factors influencing an individual’s intention to invest in RAF in an emerging economy. The study examines the relationships between awareness and knowledge of RAFs, including their tax benefits, and financial literacy, and how these factors influence individuals’ intention to invest in RAFs. A quantitative research approach was employed, using structured surveys distributed to university employees in KwaZulu-Natal, South Africa. The findings reveal that while individuals have moderate to high awareness of RAF tax benefits, this knowledge does not significantly influence investment intention. Additionally, financial literacy was found to have a negative relationship with the intention to invest, suggesting that financially literate individuals may prefer alternative investment options. The study contributes to knowledge by highlighting these relationships, providing insights that can help the national treasury and financial service providers develop guidelines to improve awareness and knowledge to influence attitudes about the benefits of investing in a RAF.

Abstract The article introduces an innovative esg-metric quantitative methodology, developed as additive scoring model based on the outcomes of esg-questionnaires. A focused esg-assessment based on Environmental, Social & Governance attributes had been developed & thereafter coupled to a robust quantitative framework (topic of the present work). This lead to gain a synthetic scoring measure m, rating R, esg-sustainability probability p and esg-default like risk probability $$\psi =1-p$$ , (therefore a full metric) from the realized answers provided by the company ( answering the questionnaires). Starting from general quantitative assumptions, with an high degree of independence of the questions/business typology investigated, the realized score value is mapped into a normalized probability function p, with $$p\in (0,1)$$ , in order to make different questionnaires scales and score methodologies comparable. Main mathematical assumptions underlying the model had been summarized, justified & mathematical details are provided in the final Appendix. The instrument developed had been applied to few questionnaires (4) submitted to potential startups/targets of a Venture Capital, in order to outline first model application with real values. In future an higher number of esg-questionnaires will be studied with the proposed methodology. Introducing an abstract structured framework enables, other the main results here presented, demonstrating theorems like theorem 5, opening operational research opportunities in the field of applied quantitative methods for esg-assessment and even more in general in the theory of quantitative scoring.

The paper contributes to the debate on the holistic sustainability assessment of real estate projects, integrating economic, financial, environmental, and social aspects. A methodological study is presented to support decision-making processes involving the preferability ranking of alternative investment scenarios: new building production vs. retrofitting the existing stock, in the context of urban transformation interventions. The study integrates life cycle approaches by introducing the social components besides the economic and environmental ones. Firstly, a composite unidimensional (monetary) indicator calculation is illustrated. The sustainability components are internalized in the NPV calculation through a Discounted Cash-Flow Analysis (DCFA). Life Cycle Costing (LCC) and Life Cycle Assessment (LCA) are suggested to assess the economic and environmental impacts, and the Social Return on Investment (SROI) to assess the intervention’s extra-financial value. Secondly, a methodology based on multicriteria techniques is proposed. The Hierarchical Analytical Process (AHP) model is suggested to harmonize various performance indicators. Focus is placed on the criticalities emerging in both the methodological approaches, while highlighting the relevance of multidimensional approaches in decision-making processes and for supporting urban policies and urban resilience.

Investment decision-making is often characterized by uncertainty and the subjective weighting of criteria. This study aims to develop a more robust decision support framework by integrating the Generalized Interval-Valued Hesitant Intuitionistic Fuzzy Soft Set (GIVHIFSS) with the Analytic Hierarchy Process (AHP) to objectively weight criteria and handle multi-evaluator hesitancy. In the proposed GIVHIFSS-AHP model, the AHP is employed to derive mathematically consistent criterion weights, which are subsequently embedded into the GIVHIFSS structure to accommodate interval-valued and hesitant evaluations from multiple decision-makers. The model is applied to a numerical case study evaluating five investment alternatives. Its performance is assessed through a comparative analysis with standard GIVHIFSS and GIFSS models, as well as a sensitivity analysis. The results indicate that the model produces financially rational rankings, identifying blue-chip technology stocks as the optimal choice (score: +2.4). The comparative analysis confirms its superiority over existing models, which yielded less-stable rankings. Moreover, the sensitivity analysis demonstrates the robustness of the results against minor perturbations in criterion weights. This research introduces a novel and synergistic integration of the AHP and GIVHIFSS. The key advantage of this approach lies in its ability to address the long-standing issue of arbitrary criterion weighting in Fuzzy Soft Set models by embedding the AHP as a foundational mechanism for ensuring validation and objectivity. This integration results in mathematically derived, consistent weights, thereby yielding empirically validated, more reliable, and defensible decision outcomes compared with existing models.

Awareness of red flags might prevent individuals from being fraud by impacting their investment decisions, and these decisions might also be affected by unconscious factors. The study aims to investigate the impacts of awareness of red flags of financial statement fraud, risky investment intention, fantasy, trust, and self-confidence of individuals on their investment decisions on new and unknown investment alternatives. Results show that investment decisions on new and unknown alternatives are negatively affected by awareness of red flags of financial statement fraud, while they are positively affected by fantasy and risky investment intention, and trust has no significant effects on investment decisions.

In the last ten years, India's Fintech industry has grown exponentially, delivering revolutionary changes in the face of financial services. Driven by advances in technology, regulatory backing, expanding digital consumer universe, and rising smartphone and internet penetration, Fintech has not only transformed traditional bank models but also enabled financial inclusion, economic empowerment, and employment generation. This research investigates the multi-faceted effect of Fintech on India's economy, specifically in terms of digital payments, blockchain technology usage, alternative payment systems, and investment and banking services. Based on a systematic review of literature, this paper critically discusses the way technology such as UPI, Aadhaar-based services, and digital platforms have made financial inclusion possible, lowered operating costs, and democratized access to financial products for the underprivileged. The research also identifies regulatory issues, cybersecurity threats, and institutional response to such disruption, calling for robust regulatory mechanisms to protect consumers as well as financial institutions. The research also evaluates Fintech's contribution toward credit accessibility for MSMEs and its macroeconomic impact in general. This report seeks to give insights into the future direction of Fintech in India and provide policy suggestions for a secure and inclusive digital financial environment.

In South Africa, the EDGE certification for green residential buildings, managedF by the Green Building Council South Africa (GBCSA), is still developing. The study set out to examine the impact of EDGE-certification on electricity savings of residential buildings and how these savings can be converted into financial benefits. Quantitative research was the overarching research methodology, where a single case study approach was conducted using descriptive statistics. The single case study is situated in Gauteng, South Africa, and consisted of 503 EDGE-certified residential units. The research concluded that EDGE-certified residential units in Gauteng generate electricity savings, which when converted into monetary values can be transformed into real-world savings using different investment vehicles. In this study, real-world savings is defined as the tangible and measurable financial benefits realised from efficiencies associated with green buildings. The study found that such investments, including the use of the hypothetical EDGE Alternative Investment Fund (EAI Fund), result in real-world savings, demonstrating the financial benefits of EDGE certification for owner occupiers in the South African property market.

The alternative investment universe has undergone a fundamental change through the past decades. What once remained the domain of institutional investors and high-net-worth ones is now accessible to varied participants in the market. Such investments-from private equity to hedge funds, real estate, commodities, infrastructure, and even emergents like cryptocurrencies-provide well-diversified portfolios, higher possible returns, and risk coverage. This research paper researches alternative investments thoroughly, detailing their origin and evolution, different types, various strategies, benefits, drawbacks, regulatory aspects, and future direction. Based upon market trend analysis, past data, and experts' opinions, this paper explains why alternative investments are evolving into an inextricable part of the modern investment universe. The discourse extends to macroeconomic forces and technological innovation that propelled alternative assets into the mainstream of finance, with the intended justification being the universality of such a trend, making it applicable to investors of all magnitudes.

In response to the growing interest in the effectiveness of investing in alternative assets, the academic community offers numerous publications on investing in works of art. The purpose of this article is to conduct a critical and comparative analysis of the most significant scientific publications on investment effectiveness in the auction market for paintings and to answer the question of the risk and effectiveness of these investments compared to traditional assets, such as stocks, bonds, real estate, commodities, and others. To achieve this stated objective, a literature review was conducted, covering 35 works that form the canon of global literature in the field of art market research. The primary criterion for selecting the publications was their citation frequency in the subject literature, considered in order of their publication. A supplementary criterion was the market being the subject of the study. Consequently, the selected publications include not only major world paintings in large, mature markets but also previously unexamined paintings and emerging art markets. No circumstances were found that would definitively allow for the formulation of a thesis presenting art as an attractive investment, particularly over a long-term horizon. The results differ depending on the period under study and the characteristics of the paintings in the research sample. Generally, rates of return are low and subject to high risk. Within a specific time and in a specific market, paintings with certain characteristics can yield higher rates of return and exhibit greater effectiveness than other assets. In mature art markets, this effectiveness was found to be lower than in financial markets but higher than in non-financial asset markets. In contrast, in emerging art markets, investment effectiveness was generally higher than that of both global financial and non-financial markets.

Purpose This study examines the interdependencies among gold, green bonds, bitcoin and stock markets, considering the effects of major global crises such as the COVID-19 pandemic and the Ukraine war. By using a simultaneous equations framework, the research explores how these markets interact and affect one another. Design/methodology/approach The analysis employs daily data from 2014 to 2024 and applies a simultaneous equations model to capture both direct and indirect effects among the selected financial markets. This approach ensures a comprehensive assessment while minimizing country-specific biases. Findings The results reveal bitcoin’s mixed impact on stock markets, the complex influence of green bonds and the variable safe-haven properties of gold. The study highlights the evolving nature of these relationships, particularly in times of financial distress. Practical implications Understanding these interdependencies is essential for investors, policymakers, and financial analysts aiming to manage risk and optimize portfolio strategies. The findings shed light on the role of alternative assets during periods of crisis. Originality/value Unlike previous studies that focus on individual markets or country-specific data, this research simultaneously examines four key financial markets on a global scale. By integrating a broader dataset and addressing both direct and indirect linkages, the study contributes to the literature on financial market dynamics and risk diversification.