Bear Market in Diversification Eases as Investors Seek Alternative Assets

In the face of ongoing market disruption in 2025, Wall Street’s diversification-focused professionals are witnessing a change in investment trends.

What Happened: With the tariff war in full swing, investors are shifting their focus from American equities to alternative assets such as gold, corporate debt, and a Treasury index that has seen a nearly 3% rise this year.

As reported by Bloomberg, the trading landscape is undergoing a transformation, marking a much-anticipated return to normalcy for proponents of diversification strategies.

Despite the promotion of cross-asset products by some of the industry’s leading minds, the steady rise in US shares since the financial crisis has largely overshadowed these strategies.

Currently, the S&P 500 is ...