Brown Brothers Harriman (BBH) has released its first Private Markets Investor Survey, which captures the ideas and opinions about private market investments from 500 institutional investors and wealth advisers from the United States, the United Kingdom, Germany, Switzerland and Japan. The survey finds the majority of investors (91 percent) plan to increase their holdings of private markets alternatives within the next two years. This desire to increase exposure to alternatives is fueled by the fact that 94 percent feel they are under-exposed to private markets and need to catch up.
The research finds that the reason why investors buy private markets alternatives is spread across several factors:
28 percent of investors believe private markets outperform public markets and offer higher returns.
Another 28 percent say they’re most motivated by a view that these products offer protection against inflation.
23 percent are driven to invest