Going Public with Glenn Schorr - Ep. 4: Unpacking the past few months in private markets
Alt Goes Mainstream: The Latest on Alternative Investments, WealthTech, & Private Markets
AUM Growth, Capacity Limits, and Private Credit Evolution
Discussion of aligning AUM growth with performance, natural capacity constraints, private credit's expansion beyond direct lending, banks' evolving roles, and managers using insurance balance sheets as long-duration capital.
We are back with the latest Going Public with Evercore’s Glenn Schorr.
On this episode of Going Public, we unpack the rollercoaster of the past few months in private markets for alternative asset managers. Private markets is much more than private equity — and this episode dives into nuances of specific strategies and what it means for alternative asset managers’ businesses.
We discussed:
- Will the exit environment for private equity improve?
- Are animal spirits back in markets — and what does it mean for exits?
- Why and how private markets is more than private equity and private real estate.
- Why the wealth channel has been a contributor to alternative asset manager growth.
- How are banks responding to the expanding reach of private credit?
- Why private real estate could be a compelling category going forward, with 90%+ of real estate being privately owned.
Making private markets more public — with expert analysis
Alt Goes Mainstream has partnered with an expert who has seen the evolution of alternative asset managers from their early days.
Glenn Schorr is a Senior MD and Senior Research Analyst at Evercore ISI, where he covers brokers, banks, asset managers, and trust banks as an analyst.
He has covered financials since 2000 and started coverage of alternative asset managers when the first firms went public.
He’s consistently come up as one of the most thoughtful and well-respected analysts in the space. He balances deep research with a creative flair (just read one of the titles of his research reports and you can see his love of the game). He’s been named to Institutional Investor’s All-America Research Team for his coverage, most recently ranking #2 and runner up in 2023, #1 and #2 in 2022. Prior to Evercore, Glenn was a Senior MD at Nomura, serving as the lead financials analyst.
Listen in as Glenn shares market stories, the evolution of alternative asset managers as businesses, the biggest and most exciting trends in private markets based on what the industry’s largest players are doing, and we go “around the horn” for his analysis on the publicly traded firms.
Show Notes
00:00 Introduction and Countdown
00:15 Introduction to Alt Goes Mainstream
00:48 Meet Glenn Schorr: Wall Street Analyst
02:08 Market Trends and Earnings Season
02:15 Impact of Tariffs and Market Activity
03:20 M&A and IPO Activity
03:35 Private Equity and Market Dynamics
04:34 Optimism in the Market
06:11 Fundraising and Stock Prices
06:52 Private Credit and Infrastructure
08:31 Scale and Diversification
10:19 Perpetual Capital and Investor Mindset
13:51 Mega Trends and Long-Term Investments
15:50 Real Estate and Market Cycles
17:14 Long-Term View on Asset Managers
20:04 Fee Structures and Performance
24:15 Wealth Channel and Operational Challenges
26:17 Institutional vs. Retail Investors
28:41 Public vs. Private Markets
31:01 Ceiling on Capital Raising
31:42 Stewardship and Capacity Management
33:03 Private Credit Market
33:27 Direct Lending Market
33:43 Competitive Banking Landscape
33:55 Current State of Direct Lending
34:22 Private Credit Market Expansion
34:52 Investment Grade Private Credit
36:19 Banks vs. Private Credit
37:39 Banks' Adaptation Strategies
38:53 Private Credit Market Size
41:01 Insurance and Private Markets
41:44 Apollo's Insurance Strategy
43:45 Insurance Balance Sheet Power
44:32 Insurance and Wealth Channels
44:54 Private Wealth Return Hurdles
46:47 Product Innovation in Private Markets
47:00 Alternative Asset Managers' Strategies
49:43 Wealth Channel Product Choices
50:39 Approval Process for Wealth Platforms
52:29 Third-Party Evaluators in Private Markets
53:28 Convergence of RIAs and Investment Consultants
54:15 Distribution Strategies for Asset Managers
55:39 Servicing and Education in Private Markets
56:16 Segmenting the Wealth Channel
56:43 Morgan Stanley's Advisor Strategies
57:45 Notable Developments in Private Markets
59:19 Optimism in Financial Markets
01:00:39 Concluding Thoughts and Future Outlook
Editing and post-production work for this episode was provided by The Podcast Consultant.
Company Coverage and Disclosures
Evercore ISI
Glenn Schorr
| Ticker | Company
| AAMI | Acadian Asset Management
| APO | Apollo Global Management, Inc.
| BAC | Bank of America Corporation
| | Glenn Schorr holds a long position in equity securities of Bank of America Corporation.
| BK | Bank of New York Mellon Corp.
| | Bank of New York Mellon Corp. is a client of Evercore LLC, and Evercore LLC has provided investment banking services to Bank of New York Mellon Corp. in the last 12 months.
| | Evercore ISI or an affiliate has received compensation from Bank of New York Mellon Corp. for investment banking services in the last 12 months.
| | Glenn Schorr holds a long position in equity securities of Bank of New York Mellon Corp.
| BLK | BlackRock, Inc.
| | BlackRock, Inc. is a client of Evercore LLC, and Evercore LLC has provided investment banking services to BlackRock, Inc. in the last 12 months.
| | Evercore ISI or an affiliate expects to receive or intends to seek compensation for investment banking services from BlackRock, Inc. within the next three months.
| | Glenn Schorr holds a long position in equity securities of Blackrock Inc.
| BX | Blackstone, Inc.
| | Blackstone, Inc. is a client of Evercore LLC, and Evercore LLC has provided investment banking services to Blackstone, Inc. in the last 12 months.
| | Evercore ISI or an affiliate expects to receive or intends to seek compensation for investment banking services from Blackstone, Inc. within the next three months.
| | An employee, employee's immediate family member, director or consultant of Evercore ISI or one of its affiliates (but not the covering research analyst or a member of the covering research analyst's household)is an officer, director or advisory board member of Blackstone, Inc..
| | Evercore ISI or an affiliate has received compensation from Blackstone, Inc. for investment banking services in the last 12 months.
| | Analyst has a financial interest in a private equity fund managed by Blackstone, Inc..
| | Glenn Schorr holds a long position in equity securities of Blackstone, Inc.
| | A member of Benjamin Rubin's household holds a long position in equity securities of Blackstone, Inc.
| OWL | Blue Owl Capital, Inc
| C | ...
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