BOSTON: The alternative investment industry, which includes hedge funds, private equity and real assets, is expected to grow fivefold to at least $13.6 trillion in the next half decade, professional services firm PwC said in a report.

Fuelled largely by demand by sovereign funds, public pension funds and newly wealthy individual investors for steady and strong investment returns, the alternatives industry is poised for booming growth, wrote PwC.

“Alternative asset management will undergo a transformation in the years to 2020,” PwC wrote.

PwC said a conservative forecast puts the industry size at $13.6tr in 2020 while a more aggressive forecast sees firms managing as much as $15.3tr globally, up from $2.5tr now.

Published in Dawn, June 30th, 2015

On a mobile phone? Get the Dawn Mobile App: Apple Store | Google Play