Bringing you live news and features since 2006 

Newspaper and coins

Private equity and alternative firms move down market to support retail clients

RELATED TOPICS​

Private equity and alternative firms are moving down market to support the retail marketplace, according to research from analytics firm Cerulli Associates.

"Private investment managers, following in the tracks of hedge-fund-focused alternative firms and traditional long-only managers, are tapping the public markets," says Michele Giuditta, associate director at Cerulli. "Delivering illiquid private investments to the retail marketplace is challenging, as the typical buyout fund on average has a lifecycle of approximately 10 years." 
 
Cerulli's latest annual report, Alternative Products and Strategies 2014: Identifying Opportunities in a Dynamic Investment Landscape, focuses on the US retail and institutional alternative product landscape, including distribution and product development trends. 
 
"Private equity managers entered the mutual fund space by offering hedge funds and long-only products, such as high-yield bonds, given their expertise in distressed investing," Giuditta says. "At the same time, these firms have been hard at work identifying ways to make illiquid private investments more mainstream and allow smaller investors into their funds." 
 
While these firms have raised a relatively small amount of total retail assets, Cerulli expects that as firms' product offerings expand, they will widen their appeal beyond institutional investors and grow their share of retail assets.

Latest News

BlackRock's iShares, an undisputed leader among European ETF issuers, pushed further ahead in Q1 with EUR173 billion in trades, triple..
European ETFs raised USD47.8 billion in Q1, a 15 per cent increase compared to the same period in 2023, according..
LSEG Lipper’s March report finds that globally equity ETFs (+EUR113.2 billion) enjoyed the highest estimated net inflows for the month,..
Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..

Related Articles

etf active trading
Latest Morningstar data shows actively managed ETFs’ share of the US ETF market rose to 8.5 per cent at the...
Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
ETFs
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by