Private Asset Partner

Some investment offices choose to build portfolios by balancing passive exposure to more efficient asset classes (such as listed equity or fixed income) with exposure to private asset classes, in order to maximize returns while minimizing management fees. However, accessing private asset classes presents a challenge to investment offices that lack resources, experience or strong industry relationships. Additionally, adding private assets to a broader portfolio requires sophisticated cash flow modeling and planning, as private assets draw capital for several years before producing net distributions, potentially creating liquidity constraints.

Makena provides a unique solution to investors looking for assistance in accessing and managing a portfolio of private assets. Our private asset class solutions have been thoughtfully constructed and are now diversified across 10+ vintage years. Investors gain immediate exposure (i.e., no J-curve) to high quality private assets which complement and complete your existing portfolio.

  • Private assets provide durable return streams and alpha generation to long-term portfolios
  • Investing in private asset classes is a distinct skill set which is expensive and difficult for many investment offices to acquire and retain
  • The distinct cash flow dynamics of private assets cause potential liquidity constraints on a broader portfolio, particularly in stressed market environments
  • Makena offers a unique solution for accessing mature, diversified portfolios of private assets by enabling investors to bypass the J-curve effect associated with constructing a private asset portfolio

Annual Net Cash Flow as % of NAV

Significant negative net cash flow in the early years of a private asset program build-out.