Scott Kleinman, Co-President of Apollo Asset Management, forecasts how the private asset management industry will converge with traditional retail investment vehicles.
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“Traditional asset managers, i.e. Mutual funds, ETFs, they're gonna start injecting some amount of private assets blended into their products.”
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More from Scott Kleinman
PredictionNot checkable as stated
Kleinman: Semi-liquid PE will fail to deliver a good client experience
“It's not going to give the client, i.e. The wealth client, a good experience in the long run.”
Kleinman: Asset management growth is constrained by origination, not capital
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Kleinman: Asset management will stop segmenting by public versus private in 5-10 years
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Kleinman: Apollo Holds Lower Leverage and Fewer PIK Loans Than Competitors
“Our private equity portfolio is more defensive than most of our competitors. Our credit portfolio is for sure much higher rated, much less leverage, much less portfolio leverage. Our private lending portfolio has a fraction of the pick loans or other aggressiv…”
Kleinman: Private equity cannot scale like credit due to concentrated dealmaking
“There's only so much you can deploy in private equity. When you are making six or eight consequential decisions a year, there's only so much capital you can deploy on that basis. In the credit business, instead of buying a hundred million of this particular bo…”
Kleinman: Weak AI ROIs will weigh on markets and hit levered players
“If those ROIs don't come to pass, I don't think the whole system is going bankrupt, but that clearly will have a weighing effect on the markets. Certainly the biggest hyperscalers will be okay, but that cascades down to many, many players, some of whom have go…”
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