WELCOME TO OUR MONTHLY NEWSLETTER.
Designed to serve as your primary source for navigating the world of alternative investments.
Midway through 2024, a wait and see mode still exists. Interest rate reductions haven’t materialized as the U.S. Federal Reserve awaits firmer data on cooling inflation, and that has restrained M&A and IPO activity. But there could be catalysts ahead. Overall deal activity is stabilizing, and the pressure is mounting for long-owned private markets assets to be monetized.
In our mid-year 
report, both private credit and infrastructure have been upgraded to “Positive.” Our Research Team remains cautious on office real estate but believes other real estate areas are starting to regain their footing. And they may become more constructive on growth equity and hedge fund event-driven strategies as the year continues.
To read our 
on each of the major asset classes or strategies, please reference the Strategy Ratings report highlighted in the section, “In Case You Missed It.”
To learn more about the private market investment opportunities available at iCapital, please contact our sales team ([email protected]) or login to the 
.
Thank you for your continued partnership and support.
Dan Vene
Co-Founder and Managing Partner,
Co-Head of iCapital Solutions
CHART OF THE MONTH
A significant infrastructure “funding gap” exists requiring annual investment of $3.2 trillion through 2040. The potential opportunities for private capital to fund these critical infrastructure needs is one of the reasons we’ve upgraded our outlook on infrastructure strategies to “Positive.”
THE 19th HOLE: BEYOND THE GREEN: LARRY FINK
, CEO of the world’s largest asset manager, 
, gives his perspective on perseverance, inspirational leadership, and his unwavering belief that technology, innovation and responsible investment can create a better financial future for all. Hear his conversation with 
, Chairman and CEO of iCapital.
IN CASE YOU MISSED IT
Access iCapital’s current outlook on the major alternative investment asset classes and strategies, including private equity, private credit, real assets, and hedge funds. 
While venture capital and buyout strategies get the bulk of the headlines, it’s growth equity that remains the top performer. 
MONTHLY ALTS PULSE
, iCapital Co-Founder and Managing Partner, and 
, Co-Founder and Partner of 
, discuss the current state of alternative investing and the role technology has played in creating greater access. 
MONTHLY MARKET ROUNDUP
In the current environment, middle-market co-investments can provide a broader opportunity set than mega and large deals, along with more paths to value creation and lower leverage levels with limited downside. Hamilton Lane offers their perspective on the current state and shares ideas on how to access this segment of the market.
Enterprises continue to innovate — experimenting with new infrastructure, allocating significant spend to customizing AI models, and upgrading both the employee and customer experience. Insight Partners surveyed over 400 senior technology leaders (across industries) to hear their views and determine where they’re placing their bets.
The latest quarterly data from Preqin shows a rebound in fundraising, investment, and exit activity across most private market asset classes. While investors remain upbeat about the performance and potential, the private markets are not yet in full bloom.
Strategies such as those in the macro field – where funds try and ride big trends in economics, interest rates and currency moves – performed well during the quarter. Wealth Briefing Asia shares a quick recap on how Hedge Funds fared in the first half of 2024.
BEYOND 60/40: THE VALUE PROPOSITION OF PRIVATE EQUITY
, Chief Investment Strategist, explores the role private equity plays in diversified portfolios with Rich Friedman, Chairman of 
Asset Management; and delves into Model Portfolios and Architect, iCapital’s new portfolio analytics tool, with 
, Head of Private Asset Research and Model Portfolios, and 
, Head of Architect Business Development.
MARKET PULSE
We think the recent selling pressure across technology combined with a renewed confidence in upcoming interest rate cuts sets up a rotation that can continue. So how do you position? Trimming positions in technology and communication services sectors and looking at a barbell of defensives and rate sensitive areas including regional banks, real estate, and small caps is one approach. Given the right mix of rate cuts and a soft landing, we believe investors can benefit from such a rotation. Learn more in Chief Investment Strategist ’s latest 
.
NEW AT iCAPITAL
iCapital was named to the in the category of “Wealth Technology.” CNBC, together with market research firm Statista, has listed the top 250 fintech companies globally. The World’s Top Fintech Companies 2024 report includes companies both big and small, across a variety of different market categories. To determine the firms, a team of analysts at Statista carried out in-depth research into relevant KPIs for more than 2,000 eligible companies between March and May 2024.
IMPORTANT INFORMATION
The material herein has been provided to you for informational purposes only by Institutional Capital Network, Inc. (“iCapital Network”) or one of its affiliates (iCapital Network together with its affiliates, “iCapital”). This material is the property of iCapital and may not be shared without the written permission of iCapital. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of iCapital.
This material is provided for informational purposes only and is not intended as, and may not be relied on in any manner as, legal, tax or investment advice, a recommendation, or as an offer or solicitation to buy or sell any security, financial product or instrument, or otherwise to participate in any particular trading strategy. This material does not intend to address the financial objectives, situation, or specific needs of any individual investor. You should consult your personal accounting, tax and legal advisors to understand the implications of any investment specific to your personal financial situation.
ALTERNATIVE INVESTMENTS ARE CONSIDERED COMPLEX PRODUCTS AND MAY NOT BE SUITABLE FOR ALL INVESTORS. Prospective investors should be aware that an investment in an alternative investment is speculative and involves a high degree of risk. Alternative Investments often engage in leveraging and other speculative investment practices that may increase the risk of investment loss; can be highly illiquid; may not be required to provide periodic pricing or valuation information to investors; may involve complex tax structures and delays in distributing important tax information; are not subject to the same regulatory requirements as mutual funds; and often charge high fees. There is no guarantee that an alternative investment will implement its investment strategy and/or achieve its objectives, generate profits, or avoid loss. An investment should only be considered by sophisticated investors who can afford to lose all or a substantial amount of their investment.
iCapital Markets LLC operates a platform that makes available financial products to financial professionals. In operating this platform, iCapital Markets LLC generally earns revenue based on the volume of transactions that take place in these products and would benefit by an increase in sales for these products.
The information contained herein is an opinion only, as of the date indicated, and should not be relied upon as the only important information available. Any prediction, projection or forecast on the economy, stock market, bond market or the economic trends of the markets is not necessarily indicative of the future or likely performance. The information contained herein is subject to change, incomplete, and may include information and/or data obtained from third party sources that iCapital believes, but does not guarantee, to be accurate. iCapital considers this third-party data reliable, but does not represent that it is accurate, complete and/or up to date, and it should not be relied on as such. iCapital makes no representation as to the accuracy or completeness of this material and accepts no liability for losses arising from the use of the material presented. No representation or warranty is made by iCapital as to the reasonableness or completeness of such forward-looking statements or to any other financial information contained herein.
The iCapital model portfolios are made available for institutional use only by, iCapital Advisors, LLC (“iCapital Advisors”), an SEC-registered investment adviser that advises certain private investment funds available on the iCapital Platform (“Access Funds”) and provides other advisory services, and iCapital Markets LLC (“iCapital Markets”), a registered broker dealer that distributes the financial products included within the model portfolios. iCapital Advisors, iCapital Markets, Institutional Capital Network, Inc., and iCapital, Inc. are affiliates and are collectively referred to as “iCapital”. The iCapital model portfolios themselves are not funds. Additional disclosures and methodologies are available on the iCapital platform, including terms of use and privacy policy.
Securities products and services are offered by iCapital Markets, an SEC-registered broker- dealer, member FINRA and SIPC, and an affiliate of iCapital, Inc. and Institutional Capital Network, Inc. These registrations and memberships in no way imply that the SEC, FINRA, or SIPC have endorsed any of the entities, products, or services discussed herein. Annuities and insurance services are provided by iCapital Annuities and Insurance Services LLC, an affiliate of iCapital, Inc. “iCapital” and “iCapital Network” are registered trademarks of Institutional Capital Network, Inc. Additional information is available upon request.
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