The comprehensive guide to private market asset allocation
Asset Allocation and Private Markets provides institutional investors, such as pension funds, insurance groups and family offices, with a single-volume authoritative resource on including private markets in strategic asset allocation. Written by four academic and practitioner specialists, this book provides the background knowledge investors need, coupled with practical advice from experts in the field.
The discussion focuses on private equity, private debt and private real assets, and their correlation with other asset classes to establish optimized investment portfolios. Armed with the grounded and critical perspectives provided in this book, investors can tailor their portfolio and effectively allocate assets to traditional and private markets in their best interest.
In-depth discussion of return, risks, liquidity and other factors of asset allocation takes a more practical turn with guidance on allocation construction and capital deployment, the “endowment model,” and hedging - or lack thereof. Unique in the depth and breadth of information on this increasingly attractive asset class, this book is an invaluable resource for investors seeking new strategies.
- Discover alternative solutions to traditional asset allocation strategies
- Consider attractive returns of private markets
- Delve into private equity, private debt and private real assets
- Gain expert perspectives on correlation, risk, liquidity, and portfolio construction
Private markets represent a substantial proportion of global wealth. Amidst disappointing returns from stocks and bonds, investors are increasingly looking to revitalise traditional asset allocation strategies by weighting private market structures more heavily in their portfolios. Pension fund and other long-term asset managers need deeper information than is typically provided in tangential reference in broader asset allocation literature; Asset Allocation and Private Markets fills the gap, with comprehensive information and practical guidance.
Table of Contents
Foreword
Acknowledgments
About the Authors
Data Sources
Abbreviations and Acronyms
Introduction
Chapter 1: Sources of Capital: Nature, Constraints, and Objectives
Chapter 2: Asset Allocation: Models, Limits, and Adaptations
Chapter 3: Private Markets Investing
Chapter 4: The Three Dimensions of Investment
Chapter 5: Portfolio Construction and Management
Conclusion
Glossary
Bibliography
Index
