60/40 is gone, 70/30 is in, and alternatives are too

Episode 66

Episode Summary

Steve Skancke from Keel Point joins Jeff and Bruce to chat alternatives. With his long history of both governmental and private-sector work, Steve helps break down why the 60/40 portfolio is now 70/30, and why alts make more sense now than ever.

Episode Notes

In this episode, you'll hear

  • Why traditional bond markets no longer allow for a 60/40 portfolio.
  • Alternatives strategy.
  • Alts for qualified investors, and for nonqualified investors.
  • Given the cost of alts, is the return worth it?

Related Video: Death of 60/40 model boosts interest in alts

Related Cover Story: Alts may provide the lift 60-40 portfolios need

This episode is sponsored by:

AIX is an all-digital platform that completely transforms the way we buy, own and sell alternatives.

Designed specifically to solve for the pervasive lack of connectivity and visibility that plagues the alts investing world, AIX simplifies the investing experience for all involved, eliminating day-to-day fatigue and empowering partners to capitalize on the rapidly growing alts market.

By relying on digital data rather than documents, AIX effectively eliminates the operational, legal and regulatory challenges faced by alt investment stakeholders, making investing in alternatives as easy as buying an ETF or mutual fund.

Learn more about AIX here.

Guest Bio:

Steven L. Skancke, Ph.D., is chief economic advisor at Keel Point. Prior to joining Keel Point, Skancke spent 24 years at G.W. William Miller & Co., a D.C.–based private merchant-banking firm, advising U.S. and international individual, institutional and government clients with liquid portfolios of $50 million to $5 billion.

For the 15 years prior, during the Nixon, Ford, Carter and Reagan administration, he served on the White House National Security Council Staff and economic policy team and at the U.S. Treasury, working on national security, intelligence, development and regulation of banking, tax and law enforcement.

He also is a George Washington University adjunct professor of international affairs and economics, and the co-author of two books on business productivity and profitability.

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