Amid a spate of exchange traded fund (ETF) launches, private credit and private equity are more accessible than ever to everyday investors and clients that aren’t yet in high-net-worth territory.
That’s just the tip of the iceberg when it comes to increased access to alternative assets and private markets. Earlier this year, the Trump Administration expanded access to alternative and private assets in employer-sponsored retirement plans with the president noting “while more than 90 million Americans participate in employer-sponsored defined-contribution plans, the vast majority of these investors do not have the opportunity to participate, either directly or through their retirement plans, in the potential growth and diversification opportunities associated with alternative asset investments. ”
Not surprisingly, there are critics asserting workers don’t need access to private markets in their 401(k) plans. Maybe they’re right that workplace retirement plans aren’t the proper vehicles for private market access, but it is clear there is momentum for alts/privates democratization and the wealth management community is embracing that wave.
Advisors See Opportunity in Private Markets Access
The AssetMark Advisor Insights: Private Markets 2025 survey, which polled 400 US-based advisors, confirms the advisory community is on board with broader private markets access.
“Nearly all advisors (91%) say access to private market investments is critical for differentiation,” according to the study. “Among advisors not currently offering private markets, 68% plan to add them within the next year – and of that group, 59% would consider switching firms to gain access, especially those with higher practice Assets Under Management (AUM) and those serving wealthier clients. * These findings underscore a growing urgency for advisors to meet client demand and stay competitive. ”
Indeed, advisors view private markets as key to their ability to differentiate themselves from competitors. So it’s not surprising that 83% expect to boost access to the asset class over the next three years, notes AssetMark.
“This momentum reflects both advisor conviction and rising client expectations—particularly among high-net-worth households. The willingness of nearly six in ten advisors who are planning to add private markets to switch firms in order to do so signals a competitive race among firms to meet demand,” adds the research firm.
Private Credit, Equity ETFs Could Shine
As noted at the outset of this piece, the universe of private asset ETFs is expanding at a feverish pace. The ages of many of these products can be measured in just months, so the jury is still out regarding performance.
However, these ETFs do offer utility in terms of access, mostly favorable costs and, potentially, some help on the oft-discussed private market liquidity front. Any and all of those points could make these ETFs attractive to advisors and clients over the long-term.
“Despite strong interest, advisors cite persistent barriers that limit broader adoption. High investment minimums and limited liquidity are the top concerns among those already offering private market investments, especially for clients with less than $1 million in assets,” concludes AssetMark. “Advisors are calling for solutions that offer seamless onboarding, transparent fees and data, and flexible redemption options. These improvements could significantly broaden participation, making private markets more practical for a wider range of clients. ”
