Benefits of Private Markets

Private Markets entail two key advantages for investors - historically higher returns (outperformance over Public Markets) and diversification opportunities.

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Top-quartile Private Markets funds have historically outperformed Public Markets

“There are no reasons why Private Wealth Investors wouldn’t want to get the same type of positive experience that institutions do.”

Stephen A. Schwarzman, Chairman and CEO Blackstone Group

Portfolio returns with and without Private Markets, indexed

Source: Bloomberg, Cambridge Associates, UBS, Blackstone Public Equity = MSCI ACWI; Public Debt = Bloomberg Global Aggregate; Private Equity = CAPE Global PE.
Past performance is not indicative of future results.

The outperformance of Private Markets is evident across all asset classes

“Investors who limit themselves to Public Markets are accessing only a fraction of the investable universe, missing out on opportunities for excess returns.”

EQT Group

Yearly returns across asset classes, 2012-2022

Source: Preqin, Mercer, EQT.
Past performance is not indicative of future results.

What drives the overperformance of Private Markets?

Private Markets investments increase diversification – optimizing the risk/return profile of your portfolio

“The asset class offers attractive opportunities for investors to gain differentiated exposure to long-term opportunities”

UBS Year Ahead 2024

Risk & returns of diversified portfolios, illustrative

Source: Bloomberg, Cambridge Associates, UBS
Past performance is not indicative of future results

Diversification, fully based on your financial needs

Investments in Private Markets allow for diversification across asset classes, fund managers, vintage (time), and investment size. This enables investors to select investments that precisely match their portfolio needs.