Keep pulling the thread on Eric Mogelof.
KKR has structured its wealth and institutional vehicles to allow them to invest "pari passu" (on equal footing) in the same deals, ensuring wealth investors get the same access.
Approximately one-third of KKR's entire distribution workforce is now dedicated to its private wealth business.
KKR predicts that the average allocation to alternatives in the private wealth market will increase from the current 2-3% to 10-15% or more.
The potential shift in private wealth allocation to alternatives represents a market opportunity of trillions of dollars.
KKR's evergreen investment solutions for the wealth market contain the same underlying investments as its traditional institutional drawdown vehicles.
Eric Mogelof predicts that over 80% of all capital flows from the private wealth channel into alternatives will eventually go into evergreen investment vehicles.
KKR has entered into a strategic partnership with Capital Group to build and distribute investment solutions for non-accredited investors.
Eric Mogelof predicts that the private wealth alternatives market will consolidate, with a handful of large, well-branded, multi-asset alternative firms becoming the dominant winners.
KKR's co-CEO, Scott Nuttall, has publicly stated a long-term goal for the firm to raise 30% to 50% of its new capital from private wealth channels.
An increasing number of companies are choosing to stay private for longer periods, expanding the opportunity set for private market investors.
KKR has significantly expanded its private wealth sales team to include a physical presence in London, Zurich, Hong Kong, Singapore, Tokyo, and Australia.
Institutional investors typically allocate between 20% to 50% of their portfolios to alternatives and private markets.