Bailey McCann, Opalesque New York: 97% of asset managers report strong or moderate retail interest in private markets, with private equity (67%) and real estate (55%) leading demand, according to a new report from Apex Group.
The report includes insights from senior leaders in funds with assets under management ranging from under $1bn to over $50bn; and explores how increasing retail investor engagement, technological advancements, and evolving industry strategies are reshaping the future of private markets.
86% of respondents expect retail investors to make up the lions share of interest in private markets within the next five years.
The role of technology is critical in driving the retail shift. Almost 70% of asset managers see digital platforms as key enablers of retail participation, while 58% highlight blockchain and tokenisation as game-changing technologies for private market distribution.
"These findings underscore the major shift we're witnessing in private markets as retail investors are now driving significant demand across alternative asset classes such as private equity and real estate," said Peter Hughes, founder and CEO of Apex Group.
Behind the growing interest is a plethora of
coalescing factors, each contributing to allure of
private funds. At the top of that list, listed by 64%
of respondents, is the potential for higher returns. Retail investors report being interested in the diversification opportunities that come with investments...................... To view our full article Click here
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