PGIM and Partners Group formed a strategic partnership to construct multi-asset portfolios for individual and institutional clients.
PGIM operates a $1 trillion credit platform that includes public fixed income and private credit investments, in addition to managing a large commercial real estate portfolio. Partners Group specializes in private equity and infrastructure investments. The two firms plan to create a suite of investment products focused on broad diversification across public and private markets and multiple asset classes. These investments will be available as either stand-alone options or as parts of defined contribution plans and insurance portfolios.
“Given our unique position as an insurance-backed asset manager and one of the top global asset managers for defined contribution plans, we are well-suited to provide solutions that are differentiated and scalable across various client segments,” said Stuart Parker, head of global wealth at PGIM, in a statement. “Our partnership with Partners Group deepens our firm’s ability to provide clients with market-leading, innovative and comprehensive multi-asset investment solutions that meet their evolving needs.”
A statement from David Layton, CEO of Partners Group, noted: “Today, we combine our transformational investing approach with the ability to tailor flexible portfolio solutions to meet a broad range of investor requirements. This partnership with PGIM stands testament to that and is another important step in broadening access to private markets for a range of end clients.”
The partnerships add to a trend of asset manager team-ups to deliver products that blend exposures to public and private assets.
Last fall, Partners Group formed a partnership with alternative asset manager BlackRock to launch a model portfolio encompassing private equity, private credit and real assets. Those models were aimed at investors with qualified purchaser status.
Other asset managers, including Goldman Sachs and T. Rowe, KKR and Capital Group, Blackstone and Vanguard, have teamed up over the past year to build and launch model portfolios, SMAs and evergreen funds that combine public and private market exposure. This is happening as both private wealth investors and their financial advisors increasingly see alternative assets as a must-have in clients’ investment portfolios—a report by FUSE Research Network published in January projected that by 2029, alternative assets in the U.S. wealth management channel could rise to $3.03 trillion, or at an annualized compound growth rate of 17%.
#PGIM #Partners #Build #MultiAsset #Portfolios