🎥 BlackRock's Joe DeVico and Jonathan Diorio and Partners Group's Rob Collins - “an iPhone moment for private markets"

Welcome back to the Alt Goes Mainstream podcast.

Today’s episode dives into a groundbreaking partnership that could change the trajectory of how the wealth channel invests into private markets.

We are joined by BlackRock’s Senior Managing Director, Head of the Americas Client Business, Co-Head of U.S. Wealth Advisory (USWA), and a member of the Global Executive Committee for BlackRock Joe DeVico and Head of Product for US Wealth & Head of Alts to Wealth Jon Diorio and Partners Group’s Partner, Co-Head of Private Wealth, Head of the New York Office, Member of the Global Executive Board, Partners Group Rob Collins to discuss their partnership on a private markets model portfolio purpose-built for the wealth channel.

Joe, Jon, and Rob discuss what Rob calls in the podcast the industry’s “iPhone moment.” This model portfolio partnership that brings together BlackRock’s private markets and technology capabilities and Partners Group’s history as a pioneer in the evergreen funds space is a big moment for private markets. The partnership enables the wealth channel to seamlessly access private markets solutions, understand how it fits into a broader asset allocation model, and handles rebalancing in a turnkey fashion.

We had a fascinating discussion about this partnership and why the wealth channel needs turnkey solutions such as model portfolios. We discussed:

* Why model portfolios could be the “iPhone moment” for private markets.

* The anatomy of the partnership between BlackRock and Partners Group to create private markets model portfolios.

* How to balance personalization and customization with standardization of delivery to the wealth channel.

* How to create differentiation with private markets product offerings with different product structures.

* The mechanics of a private markets model portfolio.

* How education plays a role in advisor adoption of private markets products and model portfolios.

Thanks Joe, Jon, and Rob for sharing your wisdom and experience on public and private markets as you help bring private markets into the mainstream.

Clip #1: The iPhone moment - changing the paradigm of private markets.

Clip #2: Why is now the right time?

Clip #3: Why is a comprehensive, turnkey solution needed?

A word from AGM podcast sponsor, Ultimus Fund Solutions

This episode of Alt Goes Mainstream is brought to you by Ultimus Fund Solutions, a leading full-service fund administrator for asset managers in private and public markets. As private markets continue to move into the mainstream, the industry requires infrastructure solutions that help funds and investors keep pace. In an increasingly sophisticated financial marketplace, investment managers must navigate a growing array of challenges: elaborate fund structures, specialized strategies, evolving compliance requirements, a growing need for sophisticated reporting, and intensifying demands for transparency.

To assist with these challenging opportunities, more and more fund sponsors and asset managers are turning to Ultimus, a leading service provider that blends high tech and high touch in unique and customized fund administration and middle office solutions for a diverse and growing universe of over 450 clients and 1,800 funds, representing $500 billion assets under administration, all handled by a team of over 1,000 professionals. Ultimus offers a wide range of capabilities across registered funds, private funds and public plans, as well as outsourced middle office services. Delivering operational excellence, Ultimus helps firms manage the ever-changing regulatory environment while meeting the needs of their institutional and retail investors. Ultimus provides comprehensive operational support and fund governance services to help managers successfully launch retail alternative products.

Visit www.ultimusfundsolutions.com to learn more about Ultimus’ technology enhanced services and solutions or contact Ultimus Executive Vice President of Business Development Gary Harris on email at [email protected].

We thank Ultimus for their support of alts going mainstream.

Show Notes

00:00 Introduction and Message from Ultimus, our Sponsor

01:56 Welcome to Alt Goes Mainstream Podcast

01:58 Groundbreaking Partnership Announcement

02:25 The Model Portfolio Partnership

03:32 Live from the BlackRock Studio

04:07 BlackRock's Joe DeVico and Jon Diorio, and Partners Group’s Rob Collins

06:25 The Evergreen Wealth Journey

07:33 The iPhone Moment for Private Markets

08:18 Challenges in Private Markets Adoption

08:34 The Importance of Diversified Portfolios

08:54 The Sherwin-Williams Challenge

09:08 The Simple Push Button Solution

09:40 The Uptick in Public Market Models

13:22 The Right Time for Private Markets Solutions

13:48 The Role of Technology and Wrappers

28:04 Evolution of Fixed Income Markets

28:24 Electronification of Private Markets

28:38 Educating Investors on Private Markets

29:33 Importance of Excellent Execution

30:04 Proving the Value of Evergreen Portfolios

30:49 Building the Right Solution

31:15 Client Demand for Private Market Access

31:52 Core Building Blocks of Private Markets

32:21 Simplifying Private Market Investments

32:52 Naming and Structuring Investment Products

33:52 Blurring the Lines Between Public and Private Markets

38:18 Active vs. Passive in Private Markets

40:02 Challenges in Market Adoption

40:33 Scalability and Personalization in Private Markets

41:53 Evergreen Funds: Complex but Essential

43:10 Expanding Access to Alternatives

44:25 Seismic Shift in Private Markets

45:09 Future of Private Market Solutions

47:17 Client Demand Driving Innovation

52:55 Personalization in Investment Portfolios

56:56 The Importance of Time and Simplicity

57:52 Conclusion and Podcast Outro

Editing and post-production work for this episode was provided by The Podcast Consultant.

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