BlackRock has launched three mutual funds that invest in alternative investments, the BlackRock Commodity Strategies, BlackRock Emerging Markets Long/Short and BlackRock Global Long/Short Credit funds.

The rationale behind the launch is to provide individual investors access to strategies that offer non-correlated returns and diversification benefits to minimize volatility and preserve returns.

“With the extreme market volatility of recent years, investors are increasingly focused on portfolio construction and have embraced alternative investments as a way to diversify their core holdings,” said Frank Porcelli, managing director and head of BlackRock’s U.S. retail business. “BlackRock is a preeminent provider of alternative investment solutions globally, and we are pleased to extend the firm’s robust platform to our high-net-worth clients.”

Porcelli added: “Particularly for investors who are nearing retirement, alternative mutual funds can provide an added layer of portfolio diversification and risk control through multiple market cycles. The addition of these funds allows BlackRock to meet the alternative investment needs of a broader range of investors.”

-- This article first appeared on Money Management Executive.