Goldman Sachs & The Expanding Role of Private Markets in Wealth Portfolios

🎧 Episode #73: The Expanding Role of Private Markets in Wealth Portfolios

Guest: Kyle D. Kniffen, Goldman Sachs Asset Management

In this Fund Shack episode, recorded live at SuperReturn in Berlin, Ross Butler speaks with Kyle D. Kniffen, Managing Director and Global Head of Alternatives for Third Party Wealth at Goldman Sachs Asset Management. With over $500 billion in alternative assets under management, Goldman Sachs is at the forefront of delivering institutional-grade private markets strategies to the private wealth segment.

Kniffen outlines how the shift from public to private markets is reshaping modern portfolios, and how Goldman Sachs is using open-architecture, multi-asset solutions to unlock access for high-net-worth investors.

The number of public companies has declined. Innovation now happens in private markets. For wealth managers, private equity, private credit, and real assets are becoming core exposures, not niche allocations.

Goldman Sachs is responding with evergreen structures, simplified tax reporting, and lower minimums, but also stresses the need for investor education and clarity around liquidity expectations.

Institutions typically allocate 20–30% to alternatives; individual investors? Just 5%. Goldman Sachs is investing heavily in curriculum-style education for wealth advisers and clients, covering everything from "what are alternatives?" to live updates on market trends.

Delivery channels include:

• Custom sessions

• Specialist teams

• Ongoing reporting

Kniffen discusses the trade-offs between drawdown funds and evergreen formats, especially in private credit.

Evergreen vehicles offer:
✔️ Simpler onboarding
✔️ Optional liquidity
✔️ Operational ease

But also require:
- Strong duration management
- Secondary market integration
- Disciplined product structuring

Goldman applies the same innovative lens to private equity, infrastructure, and real asset, blending directs and secondaries to reduce duration risk while preserving alpha.

Diversification is key, but so is alignment. Goldman invests its own balance sheet and employee capital alongside clients. Transparency, robust reporting, and post-sale service are core to the client experience.

For most wealth clients, alternatives remain a new frontier. This creates enormous opportunity for firms that combine performance with education, care, and long-term partnership. Goldman Sachs is positioning itself as a trusted guide for wealth managers navigating this complexity.

Thank you to our episode partner, Edelman Smithfield, a specialist PR and communications consultancy for the financial markets. Their expertise in private capital spans fundraising, strategic positioning, portfolio communications, and reputation management.

🔗 Learn more: edelmansmithfield.com

📤 Share this episode with your network, Follow & Subscribe it's the most valuable way to support our growth.

www.fund-shack.com

🕰️No time for the full episode: Read a summary on Substack which contains links to the best clips and quotes.

https://substack.com/@privateequityfundshack

📧 Sponsor or guest idea?

Email katie@linearb.media

Fund Shack is an independent media platform delivering deep-dive insights into private capital and produced by Linear B Group.