Private markets represent a significant— and relatively untapped— opportunity, much larger than many realize. While most investors’ portfolios are comprised of traditional publicly traded stocks and bonds, private markets differ as they are not traded on public exchanges. They can include direct investments in private company equity and credit, real estate, and real assets such as infrastructure or farmland.

Private markets can work alongside public holdings to offer more unique and diverse investment opportunities that help take your portfolio further.

An overview of how private credit has become an important source of financing for companies of all sizes, particularly mid-sized firms. It presents valuable investment opportunities including the potential for unique diversification benefits, as well as the possibility for protection again inflation and volatility.

What are CLOs?

Collateralized loan obligations (CLOs) offer investors a wide variety of risk return profiles and can play a powerful role in a portfolio allocation. CLOs may offer enhanced income, potentially a lower default experience versus similarly rated corporate bonds, and can provide diversification benefits for core bond portfolios. Once available only to institutional investors, CLOs are gaining attention from qualified individuals who recognize the potential material benefits of this asset class.