BlackRock's Bridge to Private Markets: A New Era for Retail Investors

In the ever-evolving landscape of finance, BlackRock, the world's largest asset manager, is set to revolutionize the way retail investors access private markets. In a strategic partnership with Partners Group, BlackRock is launching a first-of-its-kind model portfolio solution that streamlines access to private equity, private credit, and real assets. This innovative offering aims to empower advisors and their clients, providing a diversified alternatives portfolio with the simplicity, efficiency, and practice management benefits of a traditional public markets model.

The partnership between BlackRock and Partners Group combines BlackRock's operational expertise and Aladdin technology with Partners Group's long track record in private markets innovation. This collaboration enables the creation of a single, managed account with unified portfolio construction and management, simplifying access to private markets for retail investors and advisors. The solution features robust operating procedures and risk management, including model rebalancing and comprehensive private markets asset allocation, ensuring a well-diversified portfolio with a unified management approach.

The new multi-private markets models solution addresses several challenges faced by financial advisors in helping their clients access private markets. By offering a single subscription document, unified portfolio construction and management, and three risk profiles to choose from, the solution simplifies the investment process. This addresses the private markets allocation gap, providing advisors with a one-stop multi-private markets portfolio that meets their clients' growing demand for exposure to private markets.

In an increasingly complex market, BlackRock sees significant growth opportunity in U.S. private wealth and is actively positioning the firm to become an integral, whole portfolio partner to advisors. The new multi-private markets models solution positions BlackRock and Partners Group to capture the accelerating growth in private markets and managed models, with retail wealth investors expected to increase their allocations to private markets from $2.3 trillion in 2020 to $5.1 trillion by 2025.

By bridging the gap between public and private markets, BlackRock's strategic partnership with Partners Group offers advisors and their clients a diversified alternatives portfolio with the ease and efficiency of a traditional public markets model. This innovative solution empowers advisors to offer a more comprehensive range of investment options, catering to the growing demand for private markets exposure among retail investors. As the private markets landscape continues to evolve, BlackRock's commitment to simplifying access and enhancing the investment experience positions the firm as a leader in the quest to unite public and private markets for retail investors.