Maura Reilly Kennedy, Managing Director, Neuberger Berman met with Julie Cooling, Founder & CEO, RIA Channel to discuss the key benefits of private equity and what advisors should consider before allocating to the asset class.
“Roughly 85% of global private equity investors expect to maintain or increase their allocation to private equity over the next year,” cites Reilly Kennedy. As the size and diversification of the public markets shrink, and investors look to the private markets for alpha and growth, the demand for private equity has skyrocketed. In the past, high minimums, long lock-up periods, and access to quality managers has mostly limited private equity allocation to institutional investors.
Neuberger Berman, a $433 billion global investment manager with more than three decades of experience in private markets, has rolled out their own registered private equity fund offering, geared towards eligible individual investors.
While there is a rising number of private equity solutions geared towards solving some of the challenges associated with PE, Reilly Kennedy cautions, “that not all private equity firms are created equally.” Relative to traditional fund managers, the dispersion of returns amongst top and bottom PE managers is relatively drastic, making manager selection one critical factor to performance.
Over the last 30 years, NB has built strong relationships with some of the top performing private equity managers in the world. NB has been a primary investor, a secondary investor and a co-investor alongside these managers, as well as a direct lender and offers advisors extensive experience and access into the asset class.
Neuberger Berman is a private, independent, employee-owned international investment manager. Grounded in fundamental research, innovation, and longterm investment performance, NB manages a range of equity, fixed income, private equity and hedge fund strategies on behalf of institutions, advisors and individual investors worldwide.
To learn more on this topic, register & watch Neuberger Berman’s webcast: Integrating Private Equity Into Your Practice.
At a time when investors are cautious about the return outlook for traditional public markets, private equity may offer important long-term advantages, including strong historical returns, decreased volatility and a source of diversification. In their quest to further diversify client portfolios, we’ve seen growing demand from advisors for quality registered private equity fund offerings.
Join us as Maura Reilly Kennedy, Managing Director, NB Private Equity, and David Robbins, Manager, RIA/Family Office Team, lead a discussion covering:
- An overview of the private equity landscape
- The advantages of allocating to private equity
- Strategies for implementing private equity solutions in client portfolios