Real Assets Adviser reposted this
2024 has been an incredibly active year for private capital and Churchill Asset Management. Here are my predictions for what lies ahead for the asset class in 2025: 1. The future of alternatives lies in their continued democratization. There is currently $70 trillion in untapped market potential in the wealth channel. In 2025 and into the future, the alternatives managers who invest in their talent and infrastructure, and have the brand awareness and scaled distribution capabilities to educate advisors about the opportunities, will be best positioned to capture market share. 2. Investors’ growing confidence in private debt will inspire increased allocations. Among a group of our institutional and wealth investors surveyed, 98% indicated a plan to maintain or increase allocations in private debt in 2025. This reflects an increase from our previous survey in 2022, and indicates a growing confidence in the asset class driven in significant part by the strong performance of the largest, scaled managers that have invested in their talent and infrastructure and have developed differentiated sourcing models and focused and consistent investment strategies. 3. Relationships will continue to reign supreme. Fostering long-term, trusting relationships with partners, investors and our team members has long guided our approach to doing business. Capital is a commodity. Businesses are fundamentally comprised of people, and the ways in which we deliver value with integrity, transparency and excellence will ultimately drive our company's success. As I often say... it's all about the people.