A new Preqin survey says institutional investors prefer real estate and private equity investments over hedge funds and natural resources.

In the survey—which measured investor sentiment at the start of the first half of 2016—65% of investors polled had a "positive perception of private equity" compared to just 6% with a negative perception.

Real estate was viewed positively by 52% and negatively by 12%. Meanwhile, 38% viewed hedge funds negatively vs. 32% with a positive outlook, while 33% viewed natural resources negatively and only 17% viewed the asset class positively, ThinkAdvisor reports.

The respondents to Preqin’s survey were made up of 35% public and private pensions, 15% foundations and endowments, and 10% insurers, with asset managers, family offices, funds of funds and others making up the rest.

Preqin says the results reflect the strong returns delivered by many real estate and private equity investments over the last few years. In the survey, 39% of real estate investors and 30% of private equity investors said their expectations for returns had been exceeded.

On the other hand, 62% and 49% of respondents said they were disappointed by the returns from natural resources and hedge funds, respectively. [TA]