An Overgeneralization of Private Markets
Private markets are an evolving industry and strategies come and go out of favor. Focusing only on the headline strategies ignores the total investable opportunity that exists.
An Evolving Investment Environment
Changes in public equity and debt markets have created diversified and investible opportunities in private markets.
Historically, private market asset classes outperform public or liquid asset classes.
While private market assets under management grew 5.1% percent to an all-time high of $7.3 trillion in 2020, large institutions continue to dominate the space. These institutional allocations to private equity and debt continue to grow as a viable source of portfolio diversification and attractive returns.
Despite this trend, only 14% of independent financial advisors have found a viable private market solution for their clients.
Source: Rethinking Asset Allocation, KKR, October 2018