Over the last few years, major Private Markets investors have recognised that the “Wealth” channel offers the potential of many $bns of untapped client assets.
Opportunity:
Wealth AUM globally is larger than traditional Inst AUM and growing at a faster rate.
Investors looking for sustainable investments to align with personal goals.
Wealth investors are seeking to diversify from the traditional 60:40 model => 50:30:20 and build an allocation to Private and Real Assets with low correlation.
Fees:
In 2000, legacy institutions accounted for over 40% of revenue generated by fees in the U.S. In 2021, that dropped to 25%.
Regulation:
New structures are evolving to allow individual investors access to private assets.
Policy:
Governments around the world are implementing policies and regulations to support the transition to a low-carbon economy, creating a supportive environment for investment in renewable energy and related technologies.
AMC Executive Search has partnered with a number of Private Markets investment firms seeking to build Wealth Distribution capabilities globally. This report is the result of the collective work we have undertaken for a range of platforms.

Customer segment:
What’s the trade-off between access and market size? A narrow focus on ultra-high-net-worth individuals may be easier to implement, but a broader focus lower down the wealth ladder could open up a larger pool of capital.
Product offering:
Which of our asset classes makes sense based on the customer segment and regulatory considerations? Do we need to develop new fund structures, or will existing ones suffice?
Distribution channel:
What’s the best way to reach our desired customer? Firms are working through private banks, financial advisers, traditional asset managers, and emerging digital channels. They are also going direct.
Coverage model:
What’s our approach to marketing and sales? This, too, will depend on the channel, but some firms are standing up dedicated teams to build relationships with banks, advisers, and other intermediaries. Others are focusing on one or more of these channels with existing teams.

Resourcing The Platform
Building the Wealth Team in key markets is a priority and can be sequenced based on level of ambition.
Key variables –
• To what extent can existing salespeople/relationship managers be leveraged to support growth of this channel?
• A product structuring expert (ideally a funds lawyer) is key to unlocking Wealth opportunities and assessing the feasibility of both products and bespoke mandates. This person should be dedicated to Wealth in EMEA/APAC and be closely connected with the US.
• How will Product Structurer secure support from existing Legal, Tax, Marketing teams?
• Given the intensification of competition, what is the business risk of moving too slowly in this build out?

A sample Resourcing Plan might cover the following functional areas. This is of course dependent on variables unique to each firm.