Strategic Shift: Macquarie’s $2.8 Billion Divestment and the Rise of Private Markets

Macquarie Group’s decision to sell its North American and European public investments business to Nomura for AU$2.8 billion marks a pivotal moment in its evolution as a global financial powerhouse. This transaction, one of the largest in the asset management sector this year, reflects a strategic pivot toward private markets and alternatives—a move that could redefine the landscape of institutional investing.

The Deal: A Bold Move Rooted in Strategy

The divestment involves $285 billion in assets under management (AUM) across equities, fixed income, and multi-asset strategies. While the business being sold generates steady returns, Macquarie’s rationale is clear: capital efficiency and a focus on high-margin segments. The proceeds will fuel growth in private markets, where the firm has $371.7 billion in AUM—a segment projected to grow as traditional public markets face headwinds.

Investors have already responded positively. Macquarie’s shares rose 4% on the announcement, signaling confidence in the strategic realignment. Meanwhile, Nomura’s acquisition—bolstered by the deal—will lift its global AUM to $770 billion, a 30% jump from its current $590 billion.

Why Private Markets?

1. Profitability and Growth: Private markets, including infrastructure, real estate, and credit, offer higher fees and longer lock-up periods, reducing reliance on volatile public markets. Macquarie’s private credit portfolio alone has surged to $25 billion, with $3.2 billion deployed in the third quarter of 2025 alone.
2. Structural Tailwinds: Institutional investors are shifting $3 trillion into alternatives over the next decade, driven by low public market yields and demand for inflation-hedging assets. Macquarie’s expertise in sectors like energy transition and digital infrastructure positions it to capture this flow.
3. Strategic Partnerships: The deal with Nomura isn’t just about capital—it’s about distribution power. Nomura’s U.S. wealth platform will channel client demand into Macquarie’s alternative funds, while the firms’ joint ventures, like the Nomura Macquarie Private Infrastructure Fund, highlight synergies in high-growth regions.

Risks and Considerations

The move isn’t without challenges. Public markets remain a cornerstone of retail investing, and losing the NA/Europe business risks diluting Macquarie’s brand in those regions. However, the firm’s $8.5 billion capital surplus and robust 12.6% CET1 ratio provide a buffer against volatility.

The Broader Market Shift

Macquarie’s decision mirrors a sector-wide trend. Public markets, once the bedrock of asset management, now face secular decline due to passive investing and fee compression. In contrast, alternatives are thriving, with private credit and infrastructure funds delivering 10–12% annual returns—far above the 6% average for public equities.

Conclusion: A New Era for Asset Managers

Macquarie’s AU$2.8 billion divestment is not just a tactical move but a strategic acknowledgment of the future of finance. By doubling down on private markets—a sector where it holds a $371.7 billion lead—the firm is positioning itself at the vanguard of an industry in flux. Meanwhile, Nomura’s acquisition underscores the growing importance of scale in wealth management, with its AUM set to hit $770 billion by year-end.

For investors, the takeaway is clear: the era of passive, public-market dominance is ending. Those who adapt—like Macquarie—will thrive in the new normal of alternatives, where risk-adjusted returns and specialized expertise rule.

As Macquarie’s CEO, Ben Way, noted: “This transaction allows us to focus on where we can add the most value.” In a world hungry for yield and resilience, private markets are where that value lies.