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The increasingly unforgiving nature of public equity markets, coupled with the continued evolution and growth of private investment markets, is making it easier for more companies to stay private. As a result, investors seeking to capture the full range of investment opportunities across the U.S. economy have little choice but to increasingly pursu...

Looking at the outlook of the major asset classes, there is potential for a break in the clouds. But overall, the things we have been worried about for some time—high valuations for certain risk assets, record-low interest rates, slow economic growth—have not gone away. We remain concerned that investors are stuck in a low-return world ...

Over time, and as more investors allocate capital to private equity, the market has evolved to become increasingly sophisticated and competitive. As a result, there has been an expansion of investment scope and a profusion of specialized sub-strategies (for example, co-investing, direct investing, sector-focused strategies) and managers expanding i...

As technological advances are disrupting and transforming companies in every sector, the traditional investing landscape is also being disrupted. Venture capital is at the core of the transformation and has become a critical component of a long-term investment strategy. With the potential for attractive returns and significant impact to society, ve...

Portfolio management for families of significant wealth is distinctly different than those with traditional wealth management needs. For these families, wealth typically exists in a much more complex ecosystem—among real estate investments, operating companies, or multiple generations, by way of example. These factors and other considerations ...

Monitoring concentration in investment managers is an important component of portfolio risk management. While portfolio-level analysis on liquidity, beta, and volatility are frequently monitored, a minority of investment teams use active risk to size managers. By considering the return profile of a manager along with its size in the portfolio, acti...

Sustainability is increasingly material to investment return, and there are five prominent trends—including climate change and technological revolution—that are likely to have relevant implications for investment portfolios over the long term. Ultimately, investors that evolve more quickly to incorporate these risks and opportunities into...

A large and growing cohort of next generation (next gen) investors in the Asia-Pacific (APAC) are preparing to take on the responsibility of managing their family’s wealth and take on an active role in maintaining sustainable generational success. While there is no standardized playbook for establishing family sustainability, next gen investors and...

A well-defined governance system is what drives a strategy for portfolio investments—all the while increasing a family’s ability to formulate its goals and policies, make decisions, and perform an oversight function. This paper can help families in the development of their own decision-making framework and focuses on three core building blocks...

Both successful business leadership and portfolio management depend on many similar traits, including conviction, expertise, hard work, and teamwork. But to be successful as an investor over the long run also can require some fundamental adjustments in mindset and direction. In making this transition, five recommendations are presented for those lo...

Families of wealth often ask for views on two related topics—how to think about philanthropy versus impact investing and how to best implement a socially and/or environmentally impactful investment strategy. While common themes transcend these topics, each is distinct and presents an opportunity by allowing families to engage in a powerful combinat...

In this second paper of a two-part series on philanthropy and sustainable investing, we outline how families may wish to identify opportunities within sustainable and impact investing themes. Along with four guiding principles to help create an impactful portfolio, we discuss the broad opportunity set, how to construct and then actively manage...

Although business-owning families have foundational reasons for staying invested, most at some point will contemplate whether, when, and how to divest. By asking five key questions, a business owner's decision to hold a concentrated position or unwind all or a portion of the business can be made with greater confidence.

The polarizing and often misunderstood cryptoasset landscape has grown exponentially in recent years. While there are substantial risks associated with these young assets, they continue to grow in importance along with its blockchain technology. This paper reviews some of the space’s pressing issues, considers cryptoassets in a portfolio setting, a...

The perceived benefits of put options as a tool to protect against equity drawdowns are often outweighed by their complexity, implementation, and ongoing costs (both economic and behavioral). Investors are better served by adjusting a portfolio’s asset allocation. For those investors who must pursue a tail-risk hedge, a list of potential pitf...