New York, United States – Billionaire investors in New York have been showing strong interest in the Alternative Investments sector. This surge in activity is evidenced by well-known figures such as Mario Gabelli of GAMCO Investors boosting his involvement with KKR, a prominent alternative asset manager. Investor Ron Baron has also made moves, initiating a new position in KKR, while Joel Greenblatt, another notable investor, has significantly increased his stake in the company.

Investors are also eyeing other key players in the sector, including Brookfield Asset Management, recently added to the portfolio of Steven Scruggs, who manages the FPA Queens Road Small Cap Value Fund. Third Avenue Management and Ron Baron have also increased their stakes in Brookfield Asset Management.

The industry is experiencing a surge in fundraising, with alternative asset managers like Blackstone, Blue Owl Capital, and Carlyle Group reporting robust momentum in recent quarters. This trend is expected to continue as demographic shifts in developed economies drive increased interest in stable cash flows and strong returns typical of alternative investments like private credit and real estate.

Furthermore, the growing demand for infrastructure investments to support the Artificial Intelligence boom and the Fourth Industrial Revolution, coupled with geopolitical uncertainties in China and Taiwan, is creating attractive opportunities in residential real estate markets. Alternative asset managers like Blackstone and KKR have been actively investing in multifamily and single-family real estate companies and REITs.

In the realm of alternatives, two standouts are OWL and Patria Investments. OWL’s focus on permanent capital funds, stable fee-related earnings, and strong growth in private credit and direct lending make it an appealing choice. Patria Investments, on the other hand, offers a high dividend yield, solid earnings coverage, and strong growth potential.

Both OWL and Patria Investments present investors with a blend of attractive dividend yields and promising growth prospects, making them viable options for those seeking stable returns even in volatile market conditions. Overall, these developments point towards a growing interest in alternative investments among high-profile investors, signaling a potential shift in investment strategies towards stable, dependable assets in the face of economic uncertainties.