Advisor demand for alternative investments continues to grow as wealth management firms focus on the tools, processes and infrastructure needed to support wider adoption, according to iCapital’s 2026 Global Advisor Survey report, “The Next Phase of Alternatives Growth,” released on Monday.
The survey found that 89% of advisors plan to maintain or increase alternatives allocations over the next 12 months and 39% expect to increase allocations, up from only 14% last year, iCapital said in a press release announcing the survey’s findings.
Also, 84% of advisors said client interest has remained about the same or grown over the last two years, according to the survey, which also found that 51% said risk and performance analytics tools are critical.
The findings suggest alternatives continue to gain traction across the wealth management sector despite a cautious economic outlook, iCapital said.
It added that advisor priorities are also evolving as alternatives continue to make up a larger part of client portfolios.
Although access and education continue to be important, firms are increasingly concentrating on portfolio construction, risk assessment, reporting, compliance and operational efficiency, iCapital pointed out.
The survey’s findings indicate increasing demand for solutions that help advisors incorporate alternatives across a wider variety of clients and portfolios.
“The demand story is increasingly clear,” the report says. “Yet delivering alternatives consistently across firms remains challenging.”
The report adds, “The findings suggest the industry’s next growth opportunity may depend less on creating demand and more on helping advisors and firms expand the capabilities needed to serve increasingly sophisticated clients.”
The report goes on to say, “As alternatives become more established in portfolio construction, firms increasingly need the education, technology, data, and operational capabilities required to deliver alternatives more broadly and consistently across client portfolios.”
“The conversation is shifting beyond access and education toward portfolio construction, risk assessment, reporting, and the capabilities needed to deliver alternatives across a broader range of clients.” – Gary Gallagher, President, iCapital
“Demand for alternative investments continues to grow, but advisor needs are evolving,” Gary Gallagher, President of iCapital, said in the news release. “As alternatives become more integrated into client portfolios, advisors are increasingly looking for the tools, insights, and support needed to evaluate, implement, and manage these investments effectively.”
Gallagher added that the survey’s findings “suggest the conversation is shifting beyond access and education toward portfolio construction, risk assessment, reporting, and the capabilities needed to deliver alternatives across a broader range of clients.”
Survey respondents were from 15 countries, across Asia-Pacific, Europe, the Middle East and the U.S., according to iCapital.
The survey was fielded in the first half of 2026 by a third-party research firm, and included responses from 870 financial professionals, iCapital said.
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
