Once considered speculative, private markets continue to evolve, especially as the structural hurdles for ultra-high-net-worth (UHNW) investors have come down. Still, no matter the level of expertise or market environment, investors and advisors who understand this segment of the market will be in a much better position to make informed and comprehensive decisions about their portfolios.
This Truth Revealed series explores private market investing with three objectives in mind:
- To dispel some of the incorrect notions about private markets
- To help investors and advisors better understand private markets’ potential to outperform public markets
- To assist investors and advisors as they consider how private markets investing may align with their investment objectives
The private markets universe is less concentrated and larger today than any other time in history.
What you should know
- Private equity has experienced exponential growth over the last several decades.
- The universe of private equity investors has increased, particularly among the UHNW segment.
- The number of privately held companies in the U.S. dwarfs that of public companies, which translates to considerably more opportunities for private market investors.
Global participation in private markets has swelled from $600 billion in AUM in 2000 to $9.7 trillion in AUM in 2022.