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Private markets insights
Inside the mind of a PE investor
Find out why 2024 feels like a turnaround year, which strategies and sectors are especially popular right now, and how Nathalie rates the AI opportunity in Europe.
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Deals and discounts on the secondary market
We’re expecting further growth in dealmaking, with buy-side innovations and increased focus on portfolio quality from sellers.
Source ¹: BlackRock, as of March 21, 2024.
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Private debt, poised for growth?
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2 BlackRock, Preqin June 30, 2023.
3 BlackRock, Preqin June 30, 2023.
Renewables still offer plenty of potential opportunities
Source 4: IEA, Electricity Market Report 2023.
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We look to identify changes reshaping our world and believe the mega forces – digital disruption & AI, the low-carbon transition, demographic divergence, the future of finance and geopolitical fragmentation – offer potential investment risks and opportunities. We view private markets as being uniquely positioned to benefit from these shifts.
The battery of the future is essential to the transition to a low-carbon economy, from powering electric vehicles to enhancing the reliability of the electric grid. Here are some of the private companies leading the development of these next-generation technologies, which we’re investing in on behalf of our clients.
Introducing some of the private companies that are developing the next-generation technologies that will shape the low-carbon car of the future. BlackRock is one of the largest investors in the automotive sector. In addition, we have US$170B invested in public automotive companies on behalf of our clients, putting money to work in private markets.⁵
Mark Everitt, CFA, Head of Investment Research and Strategy, BlackRock Private Markets left attendees with these three take aways during the recent virtual event:
1. Don’t skip this vintage.
2. Focus on being active.
3. Mega forces will continue to be a real driver of growth and the investment opportunity set going forward.
One approach to portfolio construction that we think must evolve is the broad allocation to listed equities and bonds. The increasing correlation of public stocks and bonds means it's difficult to find diversification and sources of returns. To help make portfolios more resilient, investors are considering exposure to alternatives investments.
Private markets are no longer an ‘alternative’ asset class. In fact, they may be more crucial to a diversified portfolio than ever before. The BlackRock Investment Institute believes that private assets should play a much more prominent role in many portfolios.
5 BlackRock, Investing Today in the Car of Tomorrow, as of 5 October 2023.