I have recently come across several websites (such as Yieldstreet, but there are others) that offer accredited investors the opportunity to invest in "alternative investments", meaning not traditional securities (stocks/bonds/etc). I qualify as an accredited investor, but am naturally a cautious person who likes to understand the risks I'm undertaking. And in my research I'm having a hard time distinguishing between company press and more unbiased reviews of their services.
They claim to be highly uncorrelated with the market, and based on the types of offerings they have (portfolios of things like bridge loans for real-estate, pre-settlement plaintiff advances for personal injury cases, and many other types of clearly "alternative" revenue streams) I would agree that these do not remotely hold the same risks that the more traditional markets. Not the same does not mean fewer risks, just not the SAME traditional business cycle risks.
I like to do a lot of research, and usually when I hear that an investment has a 10%+ return on it I avoid it because as the old adage goes "if it seems too good to be true, it probably is". But I can't find any hard evidence out there that these are scams, or that the risks are even disproportionately high.
I am just looking for anyone who has actual experience with these types of systems, and what sort of things to look for, or look out for. I am assuming that they are legitimate investments, not some sort of Ponzi scheme, but how does one actually go about assessing the risks associated with these types of investments?