Embracing an Evolving World: New and Growing Asset Classes in Private Markets
In a challenging market environment of modest returns, allocating to private credit may serve as an alternative source of returns to help enhance performance for portfolios. The market is now evolving in ways that are aggressively driving capital toward private markets and away from traditional public markets, and operations need to keep up.
With the ever-expanding amounts of data needed to stay competitive, making informed decisions quickly is driving the need to have a thoughtful data strategy. Leveraging cloud-based technologies has revolutionized the way firms function, bringing a significant increase in efficiency and effectiveness, and allowing for streamlined collaboration and data sharing across groups.
This guide describes four growing assets classes within the private markets space and how managers and investors may be thinking about them. The four asset classes highlighted are:
- Infrastructure, both real and securitized
- Collateralized loan obligations (CLOs)
- Synthetic risk transfers (SRTs)
- Pooled loans