Overview

The discount largely reflects that alternative assets aren’t yet as well understood by the broader market compared to more traditional listed equity exposures. The retail market is becoming more aware of the diversification benefits of alternatives, but is yet to fully appreciate the time that it takes for new investments in these asset classes to start performing strongly, which is often three or more years.

Source: https://www.afr.com/markets/equity-markets/worried-about-the-economy-wam-says-water-is-a-very-good-bet-20260722-p60hgy