In an alternatives report, JPMorgan said the public markets are challenged by yields at all-time lows and stretched valuations. Therefore, alternatives stand out as a key source for growth in the near term and the long term. Many segments, the report argues, of fixed income are less effective as volatility dampeners and diversifiers. In such an environment, alternative assets boost diversification and offer exposure to local uncorrelated economic factors, underpinned by stable income, with the potential to grow income streams. They provide another important tool investors can use for public equity diversification.