A majority of alternative investment consultants will recommend that their clients invest more in private equity, private real estate, infrastructure and hedge fund asset classes over the 12 months ending June 30, 2012, according to Preqin.
Preqin's Investment Consultant Outlook is based on a survey of 70 consultants last summer.
For private equity, 21% of consultants said their clients expect to commit significantly more money, 39% expect to commit slightly more, and 16% are forecast to commit the same amount as in the previous 12 months ended June 30.
For private real estate, a total of 72% of consultants said their clients will commit significantly or slightly more money in the next year, and 16% said their clients likely will make the same allocation as the prior year.
Fifty-eight percent said their clients will commit a lot or somewhat more capital to infrastructure, while 39% said they expect the same amount of investment in the asset class as they did in the year ended June 30.
About 41% of consultants said they expect to commit slightly more money to hedge funds by the middle of 2012, while just 13% said they expect to invest much more in hedge funds. About one-third of consultants said their clients expect to invest about the same amount in hedge funds as in the prior year.